CASE STUDY ON MR.

VIJAY aGRAWAL

INTRODUCTION
So, who is an Entrepreneur?
Before we can talk about who is an entrepreneur, we first need to understand what entrepreneurship is. Many Older textbooks talk about the three production factors: land, capital and labor. Read the image below to know what these mean. But land, labor and capital have always been around, though widely unused or misused. What, then, has made these three factors of production work together to create wealth and improve peoples lives? The answer is the fourth factor of production: Entrepreneurship. This is the ability to see what others who came before missed, to make connections between things that others had not, to get all three other factors to work together to create that which had not existed before. It is this insight, this creativity that makes the other three factors productive.

Definition
An entrepreneur is a person who has possession of an enterprise, or venture, and assumes significant accountability for the inherent risks and the outcome. It is an ambitious leader who combines land, labor, and capital to create and market new goods or services.

OPENING SUMMARY
Mr. Vijay Agrawal is one of the most successful entrepreneurs and businessman in Indore. Because the concepts of entrepreneurship are essential in starting a business, it would be best if we will be able to assess the skills and the strategies being used by Mr. Vijay Agrawal in his popular and prestigious company, the Smart wear clothing co. Mr. Vijay Agrawal made a difference in the entrepreneurial industry for he was able to establish and was successful in establishing the identity of Smart wear clothing co. to the various segments in the market. Moreover, he was able to manage the whole company, with the dedication and alongside his successful and dedicated employees.

Introduction of his business

Whatever progress humanity has made have been due to the effort of leaders whose visionary efforts and innovations have changed the way people live and see the world
Mr. VIJAY Agrawal is one of such entrepreneurs. He deals in manufacturing of school and corporate Uniforms. He is the Founder and owner of Smart Wear Clothing Co.

Trader to Tycoon (early business)

In 1985, at the age of 22, he went to Delhi, to his uncles house. In Delhi he started a small shop of old newspapers and magazines. But, he was not satisfied with his work, so after living for two years in Delhi in 1988, he came back to Indore. Here he started shop of tailoring mans wear with a capital of fifty thousand Rupees. Initially he appointed 5 tailors in his shop.

Business

Model

The business model used by Mr. Vijay Agrawal is the Focus Strategy Model, which is designed to address a focused segment of the marketplace. Moreover, this model or strategy is based on the concept of serving a particular target in such an exceptional manner, that others cannot compete, and this usually means addressing a substantially smaller market segment than others in the industry, but because of minimal competition, profit margins can be very high .

Childhood
Mr. Vijay Agrawal was always interested in becoming a businessman and by his desire and hard work, he has become a successful businessman of Indore. He was born in July 11, 1963 in Barwah, Madhya Pradesh. He was educated at Stowe School. His father, Mr. Vishambhar Dayal Agrawal was a businessmen but he did not joined his family business rather he wanted to establish something out of his own hard work. His mother was a housewife. His parents were able to impart in him a sense of hard work and the need to be financially successful. During his school times he could do well in his academics and sports. He was one of naughty child in his childhood.

FAMILY BACKGROUND
I don't care how poor a man is; if he has family, he's rich. ~Dan Wilcox and Thad Mumford
Mr. Vijay Agrawal belongs to a middle class family. His father was a businessman and his mother was a house wife. He has two sisters and an elder brother. He is married to Mrs. Sunita Agrawal and has two daughters and one son. Mr. Vijay Agrawal considers his family behind his success. According, to him they are the one who motivates him to take new ventures.

Inspiration
The thing always happens that you really believe in; and the belief in a thing makes it happen.
These lines turned up to be an inspiration for Mr. Vijay Agrawal. Once his mother told this to him and from than these lines inspired him to do something different. He just did everything by having a strong believe on it. He always learned to do things with full determination and strong believe. He believes that if one wants something in life than he should be fully committed to his work. No, obstacle should be able to distract us.

Why he choose this Business?

The secret of success in life is for a man to be ready for his opportunity when it comes.
This the thing on which Mr. Vijay Agrawal strongly believes. He believes that if you are intelligent and know how to apply your intelligence, you can achieve anything. From childhood Mr. Agrawal was ambitious, intelligent and competitive. These qualities helped him to attain top position in the profession he chose. To him entering to this business was just by chance. His brother-in-law had a tailoring shop, where he often visits where he realized the demand for stitched clothes and established his own tailoring shop.

RESOURCING

WORKFORCE There are twenty employees working in the firm. MATERIALS REQUIRED Fabrics CAPITAL AND FINANCES 50000 MACHINERIES - Ten Stitching Machineries MARKET DEMAND Schools, Colleges and Corporate Firms

INITIAL CONDITION OF THE BUSINESS AND FINANCIAL POSITION

Mr. Vijay Agrawal started the business with a small tailoring shop. It was a gents tailoring shop, established in year 1975 with a capital of Rs.50, 000. At the start of the business he appointed two assistants in his firm, Mr. Ratanlal Chauhan as a tailor and Mr. Ram Mishra as one of the employee to help with their business. The business was established in Indore at R.N.T Marg.

WORKERS AND EMPLOYEES

1. 2. 3. 4. 5. 6. 7. Mr. Raju Srivastav- Manager Mr. Chottu Nisapuri- Assistant Mr. Jorej Dsouza- Accountant Mr. Shiv Mehta- Chief Tailor Mr. Asif Ali- Tailor Mr. khalid- Tailor Mr. Asmaul Husna

PRODUCTION PROCESS
Our business ethics, streamlined and cost down production process and commitment towards customer satisfaction has helped us to establish firm and long lasting relationships with our clients.

Product Range
The production in the firm is done through tailoring machineries. All the products manufactured by firm are made from superlative quality raw materials sourced from well established and reputed suppliers and distributors. The wide and comprehensive range of products includes:

School Uniform Industrial Uniforms Hospital Uniforms Caps T-Shirts Doctor Coats Lab Coats Official Uniforms Coverall Uniforms

PRESENT CONDITION OF HIS BUSINESS

From childhood Mr. Vijay was ambitious, intelligent and competitive. These qualities helped him to attain top position in the profession he chose. Today, SMART WEAR CLOTHING CO. has established a great name in the field uniform manufacturing firms. It has an annual turnover of Rs.7 lacks. It advocates for the uniforms of all leading schools of Indore and outside Indore, namely Daly College, Queens College and many more. It also holds a good command on manufacturing of corporate uniforms. Now, he has purchased one more shop just near his old showroom and is planning to merge it with the old showroom.

SATISFACTION AS AN ENTREPRENEUR
Success is not the key to happiness. Happiness is the key to success. If you love what you are doing, you will be successful.
Mr. Vijay Agrawal his one amongst those who do what there heart says. He says that he is very happy today, being the owner of such a renowned company. He to get success in the work one thing is our like towards our work. He is proud of being an entrepreneur. According to Mr. Vijay Agrawal, his success was not planned, for it just happened, though he has his five secrets to success: . You have to challenge the big one. . Have fun working. . Do the right things for the company. . Move like a bullet. . Be a common, regular person.

SWOT ANALYSIS
S - STRENGTH W - WEEKNESS O - OPPORTUNITY T - Threats

Strength
Our dedicated team of designers, business oriented professionals and quality conscious management has always been the pillar of our strength.

Weakness

Too few people to complete work on time, in budget on a consistent basis. Financial issues o Cash flow inadequate to meet necessary goals o Clients may desire to pay less for services the SHP desires to charge Lack of awareness of the firm could cause lack of chance at existing opportunities, especially in first several months. Could be trying to do too many things

Opportunities
. The utilization and maximization of the Internet . Implementation of new information systems . New market segments, which offers better profits . Establishment of an identity in the market . Brand loyalty of consumers . Success in use of advertisement and other forms of media

Threats

Changing tastes and preferences of customers Competitors have new, innovative product or service

Increase in taxation Access of competitors to channels of distribution Terrorism, outbreaks, biological warfare, and hijacks (airline threats)

Failure of one group due to inadequacy of quality materials in construction (Virgin Trains)

CONCLUTION
Mr. Vijay Agrawal is a visionary person and works very hard to achieve his vision. His belief in high intelligence and hard work has put him where he is today. He does not believe in mere luck or Gods grace, but just hard work and competitiveness.

Home > NEN Scoop > Weekly Startup Profiles

WEEKLY STARTUP PROFILES

Jumbo King Vada Pav

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JUMBO KING FOODS PVT. LTD.

Would you be able to resist delicious roadside food - if it were hygienic? Dheeraj Gupta, the Jumbo Vada Pav King, bet you couldn't. Now every day, at least 40,000 people prove him right.

Quick Facts

Entrepreneur : Dheeraj Gupta Age : 33 Company : Jumbo King Foods Pvt. Ltd. Based in : Mumbai Founded in : 2001 Industry : Hospitality/ Service / Travel

Business Summary Retail chain/ quick-service restaurants branding roadside food

The Idea Ironically, it wasn't the Mumbai-ite's love of the vada pav that initially inspired Dheeraj Gupta. Though biting into one of the piping-hot treats, consisting of deep fried potato dumpling served in a lightly-buttered bun, may be elevating, Dheeraj's original inspiration for Jumbo King Vada Pav was much more prosaic. While visiting London, Dheeraj stayed with a friend who owned a Burger King franchise. "That's when I saw how their business worked," he says. Dheeraj was fascinated by the fast food franchise business. "Back in India, I happened to come across a book about the person who set up McDonald's. It inspired me tremendously and I decided to follow the same model." But he wanted to give the business an Indian flavor. "Vada pav was the obvious food choice because Mumbai-ites love it," he says. Vada pavs are one of Mumbai's favorite roadside fast foods. Dheeraj took his idea further - he was willing to bet that, for snacks they knew were hygienic, people would pay him more than twice the price than they would pay for a vada pav from a traditional street stall. So in August 2001, Dheeraj set up an outlet called Chaat Factory close to Malad station, a suburb in Mumbai. "I wanted to sell hygienic chaats in the market. But I started with vada pavs only." His success selling this one snack focused his attention, and he renamed the company Jumbo King Vada Pav.

The Opportunity It turns out that vada pavs are a young person's food. In fact, a feasibility study performed by Jumbo King showed that 75% of vada pav purchasers are 16 to 25 years old. Also, surprisingly, the majority of people purchasing the snack hail from the higher income brackets. At Jumbo King, Dheeraj and his team are therefore playing into some important trends: more young people today have money to spend; and at the same time, they are increasingly health- and hygiene-conscious, wanting to know that they are receiving good quality food. Jumbo King, explains Dheeraj, "is riding on this generation." Thousands of street-side vendors still dominate the quick food market, and placed among these, Jumbo King is distinctly different. "Right from deciding to use paper to wrap the product in, having processes and systems in place, branding a common Mumbai-ite's food, to running the business like the Western style fast-food giants, we have constantly innovated, dared and gone against the tide." In one area, Jumbo King maintains a more traditional outlook - like all retailers, they focus on location, location, location. Today, all Jumbo outlets are located near railway stations.

By combining the elements above, Jumbo King seems to have come up with a successful "secret sauce". Today the company has 30 outlets in Mumbai, two in Surat, one in Ahmedabad, one in Baroda and one in Pune.

The Money A loan of Rs. 2 lakhs kick-started the business. Growth has been helped by the fact that the business can generate quick cash flow: the first Jumbo King outlet at Malad made money from day one. "All the money from the business was ploughed back into buying the second store," says Dheeraj, who used to take back home a salary of only Rs. 5,000 a month. Dheeraj has been creative in funding additional growth, tapping different sources. He took a bank loan to open the third store at Andheri (W). The fourth store became the first franchised store of Jumbo King. Since then Jumbo King has followed the franchise model. How will Jumbo King fuel future growth? Dheeraj and his team feel they would like to bring in investors, but only after they reach the 100 store mark. "The money from this investment will take the product to a completely different league," says Dheeraj passionately.

The Team Initially there were a lot of objections. "Everyone told me I was mad to waste my hotel management degree by selling vada pavs. But I was determined to make it a success," explains Dheeraj. Dheeraj started Jumbo King along with his wife and four employees, who helped with cleaning, packing and maintenance. "We did all the accounts ourselves at the end of the day at the store. There was no office." Gradually, he integrated franchisees into the system. With the support of his wife Reeta, also an MBA, Dheeraj has managed to expand the Jumbo King team to a total of 35 employees, with an increasingly professional set up. In fact, they have brought in a CEO, and are looking for senior people to join the team. Dheeraj puts forward a mature perspective, "The idea was to get in people who have seen larger businesses, and who can anticipate issues of scaling better than I can."

The Company - today and tomorrow What started off as a tiny experiment in 2001 has expanded to 35 outlets in five cities, catering to about 40,000 people every day. This translates into some solid financials. This year, Jumbo King is looking at a turnover of Rs. 18 crores (almost $5 million) and with rapid growth to a projected turnover of Rs. 60 crores in 2008-09. Dheeraj anticipates continued growth in the fast food Indian market for Jumbo King. He believes "the Indian market can easily accommodate 5000 stores in 8-10 years time. We are looking at Jumbo King doing a billion dollars worth of

revenue by then," he says. Looking beyond India, he adds, "With such a huge local population and such a huge expat population, I don't see why there can't be 12-15,000 Jumbo King stores all over the world." And, it's not just independent vada pav stores that he's considering. Dheeraj wants to expand into food courts and malls. "Vada pavs have the potential of becoming a big category by itself, with many brands competing in this category. And we have an early mover advantage" says Dheeraj

What keeps you awake at night? "That we are far from reaching an absolute comfort zone, where our company has become anti-gravity," says Dheeraj. He explains that even with 35 outlets today, he's still plagued with the same fears that he had when he started. "Now with new outlets in other cities we are playing the wait and watch game again. We are relearning all over again. We need to see the sustainability of the model. And we feel the same fear of what happens if it doesn't work. After all, it's not daily food for people outside," signs out a nervous Dheeraj.

PEOPLE BEHIND SUCCESS OF HIS BUSINESS

PROFILE
Mr.Vijay Agrawal

Born

11 July 1963 (age 43) Barwah, Indore,India

Residence

15-n Dhanwantri Nagar ,Indore.

Nationality

Indian

Ethnicity

Marwari

Alma mater

St. Xavier's College, Calcutta Bachelor of Arts/Science, [5]

Occupation

Chairman and CEO, ArcelorMittal

Net worth

US $19.3 billion (2009)[1]

Religious beliefs Hindu

Spouse(s)

Usha

Children

Aditya Mittal Vanisha Mittal