Family Business: AN IN-DEPTH SURVEY of family businesses in India conducted recently has some
interesting insights into how such businesses plan to grow in future. The PwC
India Family Business Survey 2019 shows that nearly 60% of companies with a
turnover of more than $20 million were present in multiple countries in one
sector (35%) or multiple sectors (24%), reinforcing the belief that as companies
increase in size, a key facilitator of growth is expansion into new markets or
territories. The survey points out that this, perhaps, is why 78% of family
businesses in India currently export their goods or services and 89% plan to do
so over the next five years. “On an average, foreign sales account for 25% of the
turnover for companies in India (26% globally) and in five years, this is
expected to rise to 34% (33% globally),” it notes.
These findings assume particular significance when seen in the context of
Bajaj Auto—the world’s third-largest motorcycle company with a top line of
`30,000-crore—which is helmed by Rajiv Bajaj, the older son of group patriarch
Rahul Bajaj. Bajaj Auto currently exports as much as 40% of its products
and, consequently, likes to call itself “The World’s Favourite Indian”, a tagline
it chose after decades of using the iconic earlier one, “Hamara Bajaj”. The new
tagline reinforces the company’s strategy of exports being a key element of its
growth strategy. Rajiv Bajaj tells deputy editor Aveek Datta, who travelled to
Pune to piece together the cover story for this issue, that the origins of this
export-driven strategy lay in what Rahul Bajaj told him: “Do what you think
is best, but be the best in what you do.” In other words, Bajaj Auto should be
world class and that could happen when the company exports 20% of its products.
There are other interesting stories too. Happy Reading!
Fortune is one of the most respected business magazines in the world. It is known for its unrivaled access to world’s most influential leaders and decision-makers. In a world of business long on information and short on time, Fortune stands out with trusted insight, deep reporting and provocative story telling. Few publications cover the world of business with as much depth, breadth, wisdom, and panache. That’s why Fortune is recognized as ‘the best magazine in the world that just happens to be about business’. Fortune 500 is perhaps the best-known brand in business journalism and the ultimate hallmark of corporate success. Launched in India in October 2010 in a licensed partnership between ABP Group of Publications & Time Inc., Fortune India retains the spirit of the global brand with respect to thought leadership and practice from across the world every month while adding an Indian dimension. It is the only truly global business magazine dedicated to the global success of Indian business leaders, offering actionable insights to propel their businesses.
Fortune Indai is published every month. Fortune India publishes 18 issues in a year- Monthly, Quarterly and Bi-annual. Single Issue Digital price for monthly is 150 INR and 200 INR for special issues (Quarterly and Bi-annual)