12 Indian CEOs of Global Giants

We all are familiar with names like Satya Nadella & Sundar Pichai who became the success stories of Indian Education System. In past one year these names gained several inches of columns of every news publication, because of 2 reasons - Firstly the companies that they are heading and secondly the country that they belong to.

India, is known for it's diversity. While growing up, you deal with all kinds of people, all types of cultures and different kinds of situations. So, we have something natural when it comes to problem solving. As a matter of fact we don't have any IITs anywhere near the top 100 technical institutes in the world, but we have IIM Ahmedabad, IIM Bangalore & ISB Hyderabad in the top 100 Business schools in the world.

According to a study by Egon Zehnder, there are more Indian CEOs then any other nationality after Americans in the S&P 500 companies. In one of their articles TIME quoted CEOs as "India's leading export". A study by University of Southern New Hampshire says that Indian Managers are more successful because of "A paradoxical blend of genuine personal humility and intense professional will."

Here I have listed 12 Indian CEOs, heading world's major corporate houses:
1. Sundar Pichai, CEO Google

Pichai Sundararajan was born and brought up in Chennai. He did his B.Tech from IIT Kharagpur in Metallurgical Engineering and later went to Stanford University for MS in Material Science Engineering. He also holds an MBA from Wharton School of the Unviersity of Pennsylvania.

Before joining Google, Pichai worked in engineering & product Management in Applied Materials and in McKinsey as management consulting. He was named to be the next CEO of Google on 10th August, 2015. While working at Google Pichai has been known for his crucial contributions in developing products like Google Chrome, Chrome OS & Google Drive.

2. Satya Nadella, CEO Microsoft

He was appointed as the CEO of Microsoft on 4th February, 2014. Nadella was born in Hyderabad and did his schooling from there only. He did his B.Tech from Manipal Institute of Technology in Electrical Engineering. Later he did his MS in Computer Science Engineering from University of Wisconsin, Milwaukee and received an MBA from University of Chicago.

Before joining Microsoft Nadella was a member of technology staff at Sun Microsystems. Nadella is known for his expertise in cloud computing and handles company's computing platforms and developer tools.

3. Sanjay Mehrotra, CEO SanDisk Corporation

Known to very few people, Mr. Sanjay Mehrotra is the Co-Founder, President and CEO of SanDisk Corporation, the company which is hailed for its flash memory storing solutions. After working for 23 years as the Chief Operating Officer, he was appointed as the CEO in January, 2011. He holds his bachelor's and master's degree in Electrical Engineering & Compurter Sciences from the University of California, Berkeley.

Mr. Mehrotra is a known inventor and has more than 70 patents on his name. He was awarded as "CEO of the Year" by Entrepreneur's Foundation of Silicon Valley on 10th December, 2013.

4. Rajeev Suri, President & CEO Nokia

He was born in Delhi and holds a B.Tech in Electronics & Communication Engineering from Manipal Institute of Technology. Suri has worked in Calcom Electronics in India as well as Churchgate foundation in Nigeria and later joined Nokia Group and has been working with them from past 20 years. Mr. Suri was appointed as the CEO of Nokia Group on 29th April, 2014.

He is known as "turnaround specialist" among tech circles due to his exceptional quality of bringing change and new ideas. His expertise lies in Big Data Analytics, Cloud Computing, Mobile Networks and Internet Business Models.

5. Indra Nooyi, CEO PepsiCo

Indira Krishnamurthy Nooyi was born and brought up in Chennai and did her bachelors in Physics, Chemistry & Mathematics from Madras Christian College and MBA from IIM Calcutta.She holds another management degree in Public & Private Management from Yale University.

She began her career from India as product manager in Johnson & Johnson and textile firm Mettur Beardsell. Later she joined Boston Consulting Group and held strategic positions in Motorola and Asea Brown Boveri. She joined PepsiCo in 1994 and was named as the CFO in 2001, company's net profit has from 2.7 Billion Dollar to 6.5 Billion Dollar since she became the CFO, later she was appointed as the CEO in 2006.

She was ranked as 1st most powerful woman in Business in 2009 & 2010 by Fortune. Forbes named her as 3rd most powerful woman in the world in 2008 and 13th in 2014. TIME listed her among the 100 most influential people in the world in 2007 & 2008.

6. Sanjay Kumar Jha, CEO Global Foundries

Jha was born in Bhagalpur, Bihar. He holds a Bachelor of Sciences in Engineering from University of Liverpool and a PhD in Electronics Engineering from University of Strathclyde, Scotland. Mr. Sanjay Jha was appointed as the CEO of Global Foundries on January, 2014, the company has the second largest semiconductor foundry business in the world.

Before this he served as the CEO of Motorola Mobility for 4 years. Jha started his career with Qualcomm in 1994 as senior engineer and excelled up to the post of COO of Qualcomm & President of Qualcomm CDMA Technologies. In 2005, he was elected to the Board of Directors of Semiconductor Industry Association.

7. Ivan Menezes, CEO Diageo

Mr. Ivan Menezes was appointed as the CEO of Diageo, a British multinational alcoholic beverage company, in July, 2013. Some of the brands owned by the company are Guinness, Johnnie Walker whisky, Smimoff vodka and Captain Morgan rum. He was born in Pune and was educated at St. Stephen's College, Delhi and holds an MBA from IIM Ahmadabad and US Kellogg School of Management.

Menezes joined Diageo in 1997 and currently he is also the Non-executive director of US based fashion retailer Coach Inc. His father was the chairman of Indian Railway Board & his brother Victor Menezes is the former chairman and CEO of Citibank.

8. George Kurian, CEO NetApp

NetApp is a US based computer storage and data management company. George did his schooling from St. Joseph's High School, Bengaluru and then joined IIT Madras but later he left IIT Madras to pursue a degree in Electrical Engineering from Princeton University and did his masters in business administration from Stanford University.

He joined the company in 2011 and was appointed as the CEO in June 2015. Before joining NetApp, George was the vice president and manager of the Application Networking and Switching Technology Group at Cisco Systems. He has also worked in companies like Akamai Technologies, McKinsey & Company and Oracle Corporation. His twin brother Thomas Kurian is a president at Oracle.

9. Ajaypal Singh Banga, CEO Mastercard

On 12th April, 2010 Mastercard announced that Mr. Ajay Banga will serve as the CEO of the company and also he would become a member of Master Cards's Board of Directors. Mr. Banga was born in Pune but belonged to Jalandhar. His father was an Indian Army officer and retired as lieutenant general. He did his schooling from Secunderabad, Delhi, Jalandhar, Hyderabad & Shimla and then went to St. Stephen's College, Delhi for BA in Economics Hons. Later he did his MBA from IIM Ahmedabad.

Banga started his career with Nestle in 1981 and after working for 13 years he shifted to PepsiCo. He has a keen interest in Social Development issues and is a renowned speaker. On 5th February, 2015 President Barack Obama appointed Banga to serve as a Member of the President's Advisory Committee for Trade Policy & Negotiations. He is also a member of Board of Directors of Dow Chemical Company; and member of International Business Council of the World Economic Forum.

10. Nikesh Arora, CEO SoftBank Internet & Media Inc.

                   

Nikesh Arora is the President of SoftBank Corporation & CEO of SoftBank Internet & Media Inc, and is a former Google Executive. Born to an Indian Airforce Officer, he did his B.Tech from IIT BHU in Electrical Engineering. He also holds an MBA from Northeastern University and a degree from Boston College.

Arora holds a dozen companies on his CV and started working at Fidelity Investments in 1992. He has worked as Chief Marketing Officer at Deutsche Telekom and later in 2004 joined Google. He held various positions at Google and left in July, 2014 from the post of Senior Vice President & Chief Business Officer. To lead SoftBank's operations he was paid a record amount of 135 Million Dollar making him the 3rd highest paid executive in the world.

11. Dinesh Paliwal, CEO Harman International

Dinesh Paliwal is the Chairman, President & CEO of Harman International, a leading provider of premium audio and infotainment systems for the automotive, consumer & professional markets. He belongs to Agra, UP and did his BE from IIT Roorkee. He also holds a MS in Applied Science and Engineering and MBA in Finance from Miami University, Oxford, Ohio.

Before Harman he worked for 22 years with ABB Group and played a key role in company's dramatic turn around from 2002-2007. In 2010 he was named Metro New York Entrepreneur of the Year, He also received the Pinnacle Award as one of the outstanding 50 Asian-Americans in Business 2012.

12. Shantanu Narayen, CEO Adobe

Adobe announced on 12 November, 2007 that Shantanu Narayen will be the new CEO of Adobe Systems, after working with Adobe for around 10 years. He was born and brought up in Hyderabad and did his Bachelors in Engineering from Osmania University, India. He also holds an MBA from the University of California and a MS in computer Science from Bowling Green State University, Ohio.

He started his career with Apple Inc and later moved on to Silicon Graphics. He also Co-Founded Pictra Inc., a company that mastered the concept of Photo Sharing over Internet. He also serves on the Board of Dell Inc. and the advisory board of Haas School of Business, University of California, Berkeley.

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Xiaomi’s Global Head to attend Vibrant Gujarat Summit …

Vibrant Gujarat Global Investors Summit (VGGIS), 2015, is a three day summit aimed to pool Industrialists, Businessmen, Investors, Entrepreneurs and Government under a single roof. As a part of this summit a “Global CEO conclave” is scheduled to be held at the Pandit Deen Dayal Petroleum University, Gandhinagar, Gujarat on 11th January. This three day summit will be inaugurated by Prime Minister of India, Mr. Narendra Modi on 11 January itself, Business and Industry delegates of 121 different countries are expected to attend this Summit.

Huggo Barra, The head of Global Operations of Chinese mobile maker Xiaomi, is one of the 33 CEOs who will attend this “Global CEO Conclave.” Huggo Barra is the Ex Google executive and was the face of Android into those Initial years. Xiaomi was recently in news, when Delhi court put restrictions on selling a certain type of Mobile Handsets of Xiaomi, in India due to a patent infringement case. Still, company has recently launched its RedMi Note 4G version and is set to release RedMi Note 2 by the end of January this year in India.

India is being seen as an emerging market for manufacturers as it already has the required buyers,
Supposedly. Vibrant Gujarat Summit, will see many firms from USA, UK, Australia, Russia, Japan, Qatar, Taiwan, Malaysia, Singapore, Denmark and many other countries. The summit has been greatly projected as a venue where the government has prepared to showcase the potential of Gujarat in terms of Talent and Eligibility. 

Prominent leaders, who are going to attend the “Global CEO Conclave” are, World Bank President Jim Yong Kim, CEO of Vodafone Group Vittoio Colao, Global VP of Intel Corporation John Davies, Group Vice President of Ford Motors David Schoch, CEO of RasGas, Chairman & CEO of Suzuki Motor Corporation and Many others.

Vibrant Gujarat Summit is an initiative by the state Government to lure the Investors and Industrialists around the world and invite them to “pool in their money” in Gujarat & India. This has been seen closely in relation with government’s Make In India campaign. Vibrant summit will tell stories of Small Firms of India, that how they managed to become a National OR Global producers and exporters, starting from a “One room Factory”.

“There are two objectives. One, to encourage small and medium enterprises, to tell them the details of evolution of manufacturing units. Second, to fetch fund and technology from visiting foreign industry leaders for the local industries.”

This will be the 7th edition of this summit, which was started in 2003 by Mr. Modi himself. Modi Government at the Central as well has been talking about Development, Good Governance and Policy Reforms on daily basis. Allowing FDI in Insurance and very recently, easing the Land Acquisition Bill, weakening the norms of Land Acquisition, evidently shows government soul moto to boost the Manufacturing and Infrastructure sector. Reportedly government has reduced a hefty amount of 15,000 crore from the Rural Development schemes, and using the same in various Infrastructure development projects.

Balaji Wafers Pvt. Ltd., which from one small shop of Wafers and Sandwich in a crowded chowk, has turned into a major producer of wafers and other snacks as well and are exporting outside Gujarat as well. The story of “Chakkado” auto makers, Exporter and Manufacturer of textile chemicals Harsha Engineers Ltd. And Tiles manufacturers and exporters, Asia Granito, are among the 9 companies that have been chosen to be showcased to various leaders.

The steps taken by the government are no doubt a clear indication of its Policies and vision. The development and success of this summit clearly shows that Why Gujarat is among the very few states in India that have a high growth rate. Globalization has always been the key to development and Government’s agenda to bring Global Leaders into the country and showcase our talents and projects indeed is a good step forward.

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"MAKE IN INDIA": Another Bubble ?

A Lion designed to WORK!

" INDIA has three things that no other country in the world has: Democracy; Demographic Dividend & Demand " - Narendra Modi

The basic difference, that I found, between Shri Narendra Modi and other so called "competitors" for the position of The Indian Prime Minister, is that, "HE HAS A VISION & HE CAN THINK ...". 

With the vision to develop every Indian into a handsome buyer and make India a manufacturing hub, Shri Narendra Modi on Thursday launched his most ambitious project The "Make In India" campaign at Vigyan Bhawan, New Delhi. But the question is: " Will it succeed ? Or is it an another bubble ? "

We all are very much aware about the law and order of India, the macro & micro economic policies of India and the taxation policies of India. India ranks at 134 out of the 189 countries in the World Bank's index of "Ease of doing Business". India has never been considered to be corporate friendly. I remember a recent case, when the Reliance Industries Limited was operating in the oil fields of Andhra Pradesh in a joint venture with British Petroleum, they filed an application for the permission of doing Hydraulic Fracturing in the oil wells for increasing production and reviving old wells. According to a report published in The Hindu, they have to wait for 18 months for that application to be sanctioned. This is not just one case, there are an enormous number of permits and licenses involved in business, which are obviously not easy to clear in India.

Modi's sole focus is towards, making India a business friendly country, so that more foreign companies and domestic entrepreneurs can start businesses here. Which will in turn result in more money being pooled into the country by the FIIs (Foreign Investment Institutions). This vision and this thinking are the seed of "MAKE IN INDIA" campaign.

With 500 global CEO's, and  business stalwarts like Mukesh Ambani, Cyrus Mistry, Kumar Mangalam Birla and Azim Premji, attending Narendra Modi's ambitious investment campaign, Modi laid a red carpet  for both global and domestic industrialists and investors, Modi said, "We want our companies to shine as MNCs. The government is ready to stand as facilitators. We can change the direction and fate of India." 

" It is important to increase the purchasing power of the common man, as this would further boost demand, and ultimately spur development, in addition to benefiting investors. The faster people are pulled out of poverty and brought into the middle class, the more opportunity will there be for global business. Cost effective manufacturing and a handsome buyer (one who has purchasing power) are both required. This is a cycle, move poor people towards being a part of the middle class. Manufacturing boost will create jobs, increase purchasing power, thereby creating a larger market for manufacturers," he explained.

The Indian economy is becoming more and more dependent on the services-driven growth model, and the "MAKE IN INDIA" campaign is about to transform this into a labour-intensive manufacturing-driven growth. The Concept is a bit straight forward, Just increasing manufacturing will also not improve the situation, he quoted, "What's the point of just making Maruti Suzuki if the people are not in a condition to buy Maruti Suzuki." Hence, through skill development and increasing manufacturing, he is focused towards developing handsome buyers, which in turn will automatically increase manufacturing, as the demand will increase.

Narendra Modi said, "India is the only country that offers Democracy, Demographic Dividend and Demand and the world is ready to come to Asia. The new era of economic growth is in Asia and we have to see how to make it India's. I don't need to give an invitation; I just need to tell people the address of India. I want to take India higher on Ease-of-Doing-Business Index and want to enhance Public-Private Partnerships in skills development."

Mentioning incidents about industrialists and Indian people leaving India, he said, "The most important thing is faith, but we have run the country in such a way that we have failed to show faith in our own people. What happened in the last few years? Whenever I met people for the last few years they would tell me- we want to shift out. But I do not want any industrialist being forced to leave India and I can say that we have been able to bring about a change in the last few months."

Modi in his speech gave a new definition to FDI, calling the development as India's 'Collective Responsibility' he said that, "FDI is an opportunity for the foreign investors as Foreign Direct Investment but for the Indian it is a responsibility, FDI stands for First Develop India."

To the expression “Look East,” Modi added “Link West”, emphasizing on the necessity of a global vision. Mr. Prime Minister believes in the infrastructure of the future – including i-ways besides highways. The Digital India mission would ensure that Government processes remained in tune with corporate processes.

Emphasizing on the importance of exporting products that are Made In India, Modi added, "I, urge upon the youth, in particular our small entrepreneurs that they would never compromise, at least on two terms, "First, Zero defect and, second Zero effect." We should manufacture goods in such a way that they carry zero defect & we should manufacture goods with zero effect that they should not have a negative impact on the environment."

Also, in order to develop faith and trust between Indians themselves and also between the citizens of the country and the government, Modi said:

" Who is the Government for? It is for every Indian. It is for the poorest of the poor. Mantra of our Government is that we want to trust each and every Indian. The atmosphere of trust can change a lot of things. Our government wants to have a faith in each and every citizen. The change cannot only take place inside the parliament, it can also happen outside." "Industry does not come when there are too many incentive schemes. To bring industries, we have to create a development and growth oriented environment. We have to increase manufacturing and at the same time ensure that the benefits reach the youth of our nation and this is the step of a Lion", he added.

Chanda Kochhar (CEO, ICICI Bank); Kenichi Ayukawa (Managing Director & CEO, Maruti Suzuki India); Mukesh Ambani (Chairman & Managing Director, Reliance Industries); Cyrus Mistry (Chairman, TATA Group); Kumar Mangalam Birla (Chairman, Aditya Birla Group); Azim Premji (Chairman, Wipro); Amit Kalyani (Executive Director, Bharat Forge); Rajan Bharti Mittal (Vice Chairman, Bharti Enterprises); Y C Deveshwar (Chairman, ITC) all these business tycoons flaunted the idea of Mr. Narendra Modi in their respective speeches. While some of them focused more towards job generation others talked about much popular, India's hectic corporate policies. All showed a thumbs UP for the "MAKE IN INDIA" campaign, and explained how this will improve the economy of the country, in their own way.

Now I will tell you, what this "MAKE IN INDIA" campaign all about? And what are the steps taken by the government to increase  improve the condition of the Indian Economy?

What is "Make In India"?
"MAKE IN INDIA" is a new national program, designed to transform India into a manufacturing hub. And encouraging domestic & foreign investors to invest in various sectors of the Indian Economy showcasing the importance of these sectors and their bright future.

Sectors covered

There are 25 major sectors covered in this campaign, which almost cover the entire Indian Economy, these are:

Automobiles, Aviation, Chemicals, IT & BPM, Pharmaceuticals, Construction, Defense manufacturing, Electrical machinery, Food processing, Textiles and Garments, Ports, Leather, Media and Entertainment, Wellness, Mining, Tourism and Hospitality, Railways, Automobile components, Renewable energy, Bio-technology, Space, Thermal power, Roads and Highways. 

Steps Taken by the Government: 

1. Invest India cell: It is an investor facilitation cell, set up by the government for guiding foreign investors on all aspects of regulatory and policy issues and to assist them in obtaining regulatory clearances. The factual data that potential investors need for each sector have been provided in the brochures.

2. Single Window for all Clearances: All central government, state government and municipal services are being integrated with an e-Biz single window online portal. The ministry of home affairs have been asked to give all security clearances to investment proposals within 3 months.

3. Single Window for business queries: A dedicated cell has been created to answer queries through a newly created web portal (http://www.makeinindia.com). The support team of the cell would answer specific queries within 72 hours.

4. Business Approach: Cell will follow a real time business approach to track visitors for their geographical location, interest and real time user behaviour. Subsequent visits will be customised for the visitor, based on the information collected. Visitors registered on the website or raising queries will be followed up with relevant information and newsletter.

5. Easing policies and laws: The governmnt is planning to ease the labour laws or formulate an entirely new law by December to ease the functioning. Also, a vast number of defence items have been de-licensed and  the validity of industrial license has been extended to three years.

Hence, The "Make In India" campaign can be very much realistic and fruitful. Although, I am still not convinced with the Idea of foreign investors, investing in India. I don't think that it would be easy to catch there attention just through a portal, which flaunting everything good about the Indian Economic Sectors. Rather the reality is entirely different.

But Yes, the campaign can be very useful towards motivating the youth and the corporate club of India that now the Indian government is not a hindrance in their way, rather it is a facilitator. Also, it will surely create jobs and at least provide good products to India, so that it will be easier for the service sector to bloom.

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Xiaomi Mi3: The Chinese understand the Indian Market, better than Indians.

All about Xiaomi & Mi3: 

• What's the buzz all about? Why the company is so much popular? 
• Why Xiaomi Mi3 was sold out from Flipkart in few seconds and The sale even crashed the website? 
• How it became world's 5th largest smartphone manufacturer in just 3 years? 
• Why it is known as "Apple of China" ? 
• What is the business model of Xiaomi? Why the phones are so cheap, yet quality rich?

The Buzz and The Introduction: On its debut in India, Xiaomi's Mi 3 got off the shelves in meager 40 minutes, in the second sale the handset got sold out in 5 seconds, in the third sale with 15,000 units on the stake the phone was out of stock in just 2 seconds, and continuing the legacy of breaking its own records, in the 4th sale with 20,000 units on sale, the phone got sold out as soon as the sale started on the e-commerce giant Flipkart.com. 

It's hard to believe, that in a country like India, where it takes 2 seconds on an average to load a page, how can a cell phone be sold out in nanoseconds. But this is not the first time the company has made headlines with its flash sales, its just new for Indians. When the Mi 3 initially went on sale in October 2013 in China, the first batch of 1,00,000 units sold out in less than two minutes. 

Xiaomi Incorporated is a Chinese electronics company, the company develops and sells smartphones, mobile apps, 3-D Tv, Mi Pad, Earphones, Powerbanks and Cases. The company is headquartered in Beijing, China and released its first smart phone in August, 2011 and it has the majority of its business in China, Malaysia, Singapore, Indonesia and India. 

Xiaomi is nicknamed as "Apple of China" as the company sells iPhone like gear at a third of the price of Apple products. The company has recently acquired much fame as it passed out well established giants like Samsung and Apple in the Chinese market with a market share of 5% in comparison with 4.8% of Apple in just 3 years. Also, the company has recently risen to become the world's 5th largest smart phone maker with a market share of 5.1% that too in just 3 years. The company gathered much of fame and news in India due to its business model and the record breaking flash sales. Mi3's sale at Flikart gathered so much traffic that for the first time it even caused the website to crash several times during the sale.

The Core Team and the Fundamentals: Company's success formula lies in its simple yet effective business model. It has 8 co-founders and all of them have strong technical backgrounds and hefty experience. Bin Lin, Xiaomi's co-founder and president, has backgrounds in Microsoft and Google's Android team. Guangping Zhou, also a co-founder and a vice president, has an experience of 14 years as the chief of hardware R&D at Motorola. Xiaomi's Chairman and CEO Jun Lei was part of the founding team at Kingsoft, a Chinese software company. Some of the senior most executives in Xiaomi have worked with Google's Android team, hence they know the Operating System inside out. In September, 2013, the company hired Hugo Barra, who was the face of Android at Google, he introduced all the new versions of Android between 2012 to 2013, which include all the versions of Jellybean. 

Qualcomm is an investor in the company, so it is able to procure components easily and probably it is also able to optimize the OS properly for Qualcomm chipsets. Here comes the interesting part, the company has people who know any and everything about the Android operating system, maybe they are the best team in the world when it comes to modify Android in its own way, and the company has the hardware giant Qualcomm as their primary investor, Hence, when they buy the processor, they are totally aware with the build of the processor hence they can easily modify the hardware and the software to work in the most efficient way. Not like the other companies. 

When it comes to design, Xiaomi's products are wildly customizable and simplistic, two traits that rarely go hand in hand. Xiaomi is simply a combination of both Google and Apple. From Google, Xiaomi has adopted an open operating platform that can well engage the customers. From Apple, Xiaomi has learned how to master the brand buzz. It has also learned how to compete on innovation and master the elegance in design. And most importantly, all of this is offered at a prize of nearly one-third of the products of Apple. 

For example its Mi3, that's being widely sold in India and around the world. It has a 1080p IPS 5-inch screen sourced from JDI and Sharp, the same people source iPhone's screens also. It has a Qualcomm Snapdragon 800 quad-core chipset at 2.5GHz, this is the same chipset that powered the LG G2, the Sony Xperia Z1 and the international version of the Samsung Galaxy Note 3. It has 2GB RAM and 16GB of internal memory procured from SanDisk. Its rear camera uses a 13-megapixel sensor from Sony and an LED flash from Philips and all of this is power packed with a 3,050mAh battery which is either sourced from LG or Sony, offering a marvelous 21 hours of 3G internet usage. Interestingly, despite the Mi3 is almost a year old in terms of hardware, it's able to beat new phones like the Samsung Galaxy S5 on benchmarks, Nexus 5 on benchmarks, surprisingly at half of their price. 

Effective Business Model: The above mentioned are the simple and clearly visible reasons, screaming about the success of Xiaomi Mi3. Now the question arises, How is it possible ? The reasons are that, Xiaomi follows an online distribution and sales network. It collaborates with different e-commerce websites and sell their products. This way they save 25 to 30% of the distribution and management cost. No outlets, no front desk executives and store boys, no consumption of electricity, rents, transportation or anything else. 

Apart from this, the company never exceeds its supply, i.e. it manufactures a limited number of products, making sure there are no left out or extra ones lying on the shelves, which always keeps the company as a buzz among the customers as there are very limited number of units available. But an obvious drawback of this type of network is that, eager customers have to wait a lot to get the product, they often return empty handed as we have seen in case of Flipkart's sale, when 1,50,000 registrations were there and there were just 20,000 units on sale, this often results in lost sales. 

Xiaomi reduces much of the dealer's cost and other commission agents by offering phone directly to the customers, the model is very friendly in a country like India where users are more and more cost sensitive. Also, the company doesn't spend a single penny on advertisements, no Tv or internet ads, no printed ads in newspapers or magazines, just mouth to mouth and online social networking based advertisement. 

Xiamoi always keeps the profit margin very low as copared to other Brands like Samsung, Apple, Nokia, htc OR Sony. Xiaomi’s elegant yet beautiful looking phones and precise marketing campaigns convince people to buy their phones, and the phones, of course, direct their users to Xiaomi’s app store. Xiaomi also makes much of its revenue through its app store as Google Playstore is banned in China. In many ways, this is the classic internet business model of building a user base with a nice product, and then monetizing it later with add-ons. Xiaomi’s monthly revenue from its app store doubled from April 2013 to August 2013.

Wiped off The "Chinese Brand" Tag: Chinese companies have always been criticized for their hardwares and are not trusted at all. In terms of Xiamoi the hardware is very strong, supportive and sustainable. Yet Xiamoi has tried its level best to wipe out the tag of "A Chinese Brand". Mi3, when first launched on Flipkart, was being sold as "Xiamoi Mi3". But soon the word "Xiaomi" was removed from everywhere. Even now the website is selling the cellphone as "Mi". Even physically, "Xiaomi" is not printed anywhere on the phone, it's being marketed, distributed and sold just as "Mi". Also, Xiaomi recently purchased a new domain - mi.com for a record $3.6 million. Due to this, Mi.com becomes the most expensive domain name ever bought in China. Mi.com replaces xiaomi.com as the official website domain of Xiaomi.

Few Drawbacks: Flipkart had already sold 55,000 units of Xiaomi Mi3 in India. Next sale starts on 19th August, for which registrations are open till 18th August midnight, with 20,000 more units on the sale. However, there are few drawbacks which could hold you from buying Mi3's Indian version. First of all, it has just 13.3 GB of user available memory which cannot be further extended as there is no slot for a MicroSD card. Secondly, you will just get a USB cable and the plug point with Mi3. i.e. no earphones or cases, even company's original accessories are yet not being sold in the country and will be soon available by Flipkart itself. But I guess this can be easily compensated with your regular earphone. "After Service" will not be a problem, according to me, as the company has launched two Mi3 exclusive service centers in Bangalore and New Delhi and a few more service centers in Bangalore, Mumbai, New Delhi, Chennai, Hyderabad, Pune, Gurgaon, Kolkata, Ahmedabad, Chandigarh, Coimbatore, Jaipur, Thane, Thiruvananthapuram, Noida, Bhubaneswar, Surat, Faridabad, Nagpur, and Indore. This would be enough for now as even Flipkart's sales do not cover the whole of the country and the major cities are included. 

After all this research and analysis I can confidently say that Xiamoi has a perfect business model for a country like India and also the few customizations that they have featured exclusively for Indian customers are also working well. 

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How to make money through business !

"Do you even know how to make money through business?"

A venture capitalist once asked me sarcastically, when I put forward an idea about making an e-commerce website for buying used cell phones and laptops and selling them again after adding on some commission.

Few obvious worries were, "why would people sell you? And why would they buy from you?"

I explained to him, "Mr. Clarke, you know why Google suddenly came in and just swiped the market in a decade, why amazon.com or flipkart.com and all other e-commerce companies have nailed the traditional market. It's all about the easiness you offer to the customer."

Can you even imagine your life if Google crashed some day, how will you be able to search what's new and latest in the market? Google offers easiness to people, in return people use google frequently and consistently. It offers free services to people like Youtube and Blogger, so that it can connect to more and more people and when it acquired the strength, Google made them its market. 

Do you like buying things by going to the showroom late evening after all that tiring day or just ordering them with a click. If you can make their lives easier, they are ready to pay you any and everything. You know Mr. Clarke making a delicious pizza has never been a breakthrough, but free home delivery of that pizza has been a breakthrough, as anyone would prefer to eat on their couch rather than on the store's table.

These days, everyone wants to follow the trend like use latest cellphones, but the only problem is that everyone can't afford it. So I am offering them a platform to sell the oldies and buy a new one, this way they are able to manage a few bucks for the new one. The basic problem with buying second hand products is the guarantee or reliability, but when buying from a company, the problem is solved, we will buy tested products, and sell them with a warranty of 3 months.

"Yes Mr. Clarke I know, how to make money through business, you should plan a business which makes the lives of people around you much easier. Now I am going to make this entire buying and selling process easier, by sending one of our men at their place to receive, what they want to sell and to deliver whatever they have ordered. This way they can sell their mobiles and laptops from their homes."

Then we can renovate these mobiles and laptops, if possible, and sell them after adding suitable commission charge and they will buy, because they are getting the same features, same product, at minimum price, that too with a warranty. And don't worry about the cost of sending a person to receive or deliver. All that can be well managed, Amazon is doing it even for a 50 rupees book, I am sure we can do it for a 10,000 rupee mobile.

So Mr. Clarke this is how I will make money though business, By Making Lifestyles Easier."

While planning a business, we always focus upon making money, but we should focus upon making the business user friendly and the money inflows automatically. Make your customer feel blessed and happy. 

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