...Dhirubhai Ambani and Reliance "Our dreams have to be bigger. Our ambition higher. Our commitment deeper. And our efforts greater. This is my dream for Reliance and for India." - Dhirubhai Ambani. "The country has lost an iconic proof of what an ordinary Indian fired by the spirit of enterprise and driven by determination, can achieve in his own lifetime. Not only did Ambani build a large and diversified business conglomerate but also inspired many first generation entrepreneurs with his success." - Atal Bihari Vajpayee, Prime Minister, Republic of India. "Dhirubhai built an empire that is rock solid and he will always remain an icon." - Kumar Mangalam Birla, Chairman, Aditya Vikram Birla Group. The Death of an Icon The 6th of July 2002 was a black day in the Indian corporate history. The Founder and Chairman of the Reliance group of Industries (Reliance), Dhirajlal Hirachand Ambani (Dhirubhai) died after a 13 day battle for survival. A perfect combination of entrepreneurship and leadership, Dhirubhai transformed Reliance from a company with a turnover of Rs 640 million in 1976, to one with a turnover of Rs 620 billion in 2002. Starting with a small textile mill in Naroda, in 1966, Dhirubhai took Reliance into various areas like petrochemicals, polyester filament yarn, oil and gas exploration and production, refining and marketing of petroleum, textiles, power, telecom services, information management and financial services (Refer Exhibit I for Reliance Group of Companies)...
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...Introduction: 3 3.0. Advantages of frequency distribution: 3 4.0. Analysis of returns of Reliance industries limited 4 3.1 Analysis of return of ONGC: 5 3.2 Analysis of return of Bharti Airtel: 6 4. Measurement of central tendency: 6 4.1 Mode: 7 4.2 Median: 7 4.3 Mean 7 5. Conclusion: 8 REFERENCES 10 1.0. Introduction: Generally shares are issued in the primary market and new issued shares are traded in the secondary market. BSE and NSE are two renowned stock exchanges which plays an important role in Indian stock market. Most of the big companies in India are listed in these stock exchanges. The companies are enlisted with these stock exchanges as per rules and regulation specified by particular stock exchanges (Greer and Kolbe, 2008). In Indian context the company distributes the shares in lieu of capital with the help of these stock exchanges. It is an essential pillar of private sector companies. Mallin and Ow–Yong (2009) commented that capital formation is the main function of stock exchanges. Beside the main function stock exchanges in India do lots of work. It provides a place where all the securities are traded. Security market provides a linkage between saving sector and corporate sector. Stock market generally provides the all the information about price and trading of the securities altogether. The author selects three big companies i.e. Reliance industries ltd, ONGC, Bharti Airtel Ltd, to compare as required in the assignment. In this report the...
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...RELIANCE: STRATEGIES FOR SUCCESS Dhirubhai Ambani evokes strong reactions from people but nobody can be indifferent to his achievements. To the many happy shareholders of Reliance, he is good enough to deserve the Bharat Ratna and at the other extreme he is vehemently reviled for his business methods. On being criticized on his modus operandi of openly using political influence for corporate gain, Dhirubhai has repeatedly asserted: ''That is only a minor element of our work. Why not focus on the major portion related to implementation, where so many organizations goof up?'' He adds: ''I give least importance to number one. I was nothing but a small merchant but I reached this level here. I consider myself fortunate to be in this position, but I have no pride. I am as I was.'' [pic]Reliance is globally admired for its rapid and time-bound implementation methods and those are where lateral thinking is employed to the maximum. Reliance executives are constantly encouraged to think out-of-the-box, rather than traditionally or sequentially. The top bosses themselves have this tremendous ability to think laterally and look at business as a series of processes as illustrated by their quotes: ''The leadership of Reliance Industries has always shunned incremental thinking,'' says Anil Ambani, MD of the Reliance group. Older brother Mukesh Ambani says: ''We workin concentric circles, rather than in straight ranks, but there's always a center of accountability. We don't believe...
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...Introduction Foreign Market Entry Modes The decision of how to enter a foreign market can have a significant impact on the results. Expansion into foreign markets can be achieved via the following modes: ▪ Exporting (Direct/ Indirect Exporting) ▪ Licensing/ Franchising ▪ Contract Manufacturing ▪ Management contract ▪ Assembly Operation ▪ Fully Owned Manufacturing Facility ▪ Joint Venture ▪ Mergers & Acquisitions ▪ Strategic Alliance ▪ Third Country Location ▪ Counter Trade ▪ Direct investments Heading : Mahindras Take a Giant Leap with Insurance Arm Deal By : Satish John, Mumbai. Date : 21st Septermber 2012 News Paper : Economic Times Us-based LeapFrog’s purchase of 15% in a key Mahindra & Mahindra Group subsidiary hasgiven the auto to tourism group several fold returns on its original investment and the third such high return investment for its investors in less than a decade. LeapFrog, the world’s largest insurance investor for low-income customers on Thursday said ti would buy a 15% stake in Mahindra Insurance Brokers for Rs. 80.41 Crore. This firm which is subsidiary of the much bigger and better know M&M Financial services was started in 2004 for a measly Rs. 50 Lakh.The LeapFrong purchase values the firm at Rs. 520 crore. LeapFrog specfialises in investing in companies that cater to rural markets.”We feel very proud that we invested Rs. 50 Lakh and today...
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...History of Dhiru Bhai Ambani Introduction * Dhirubhai Ambani is referred as India's "Businessman of the Century". Founder of Reliance Group India. Childhood * Dhirubhai Ambani (Dhirajlal Hirachand Ambani) was born on 28 December 1932, at Chorwad, Junagadh in the now state of Gujarat (India). * Parents Name: Hirachand Gordhanbhai Ambani and Jamnaben. Entrepreneurship * Dhirubhai was the second son of a school teacher and started his entrepreneurial career by selling "pakora" to pilgrims in Mount Girnar. * At the age of 17, Dhirubhai went to Aden (now part of Yemen) and worked for A. Besse & Co. Ltd., the sole selling distributor of Shell products. * Two years later Dhirubhai was promoted to manage the company’s filling station at the port of Aden. * In the year 1958,Dhirubhai Ambani returned to Mumbai and started his first company, Reliance Commercial Corporation, a commodity trading and export house. * The first office was set up at the Narsinathan Street in Masjid Bunder. It was a 350 Sq.in partnership with Champaklal Damani. * In the year 1965, Dhirubhai Ambani started his own company. * In the year 1966, as a first step in Reliance's highly successful strategy of backward integration, he started the textile mill in Naroda, Ahmedabad. * Textiles were manufactured using polyester fibre yarn. Dhirubhai started the brand "Vimal". * Dhirubhai diversified his business with the core specialisation being in...
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...NTRODUCTION: AN INVITATION TO BOMBAY The envelope was hand-delivered to our house in Golf Links, Tan enclave in New Delhi whose name captured the clubbable lifestyle of its leisured and propertied Indian residents, soon after we had arrived in the middle of a north Indian winter to begin a long assignment. It contained a large card, with a picture embossed in red and gold of the elephant-headed deity Ganesh, improbably carried on the back of a much smaller mouse. Dhirubhai and Kokilaben Ambani invited us to the wedding of their son Anil to Tina Munim in Bombay. In January 1991, just prior to the explosion in car ownership that in later winters kept the midday warmth trapped in a throat-tearing haze overnight, it was bitterly cold most of the time in Delhi. Our furniture had still not arrived-a day of negotiations about the duty payable lay ahead at the Delhi customs office where the container was broken open and inspected-and we camped on office chairs and fold-up beds, wrapped in blankets. The Indian story was also in a state of suspension, waiting for something to happen. The Gulf War, which we watched at a big hotel on this new thing called satellite television, was under- cutting many of the assumptions on which the Congress Party’s family dynasty, the Nehrus and Gandhis, had built up the Indian state. The Americans were unleashing a new generation of weap- ons on a Third World regime to which New Delhi had been close; its Soviet friends were standing by, even agreeing with...
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...on June 15, the Bombay High Court had ordered RIL to sell the gas for 44% less than the government-set price. Indian business in declined 20%: FICCI Gulf has ABG Plans to Raise $150 Million to Fund Expansion ABG Shipyard Ltd., bidding for control of Great Offshore Ltd., plans to raise $150 million to fund expansion, reviving a proposal from April last year. ABG, which originally sought to raise $200 million, will seek shareholder approval for the new plan on July 7, Chief Financial Officer Dhananjay Datar said in an interview in Mumbai, where the company is based. Indian companies with interest in the Gulf have witnessed their business in the region decline by 20%. According to Federation of Indian Chambers of Commerce and Industry (FICCI), strict visa rules in many countries in the Middle East are obstructing easy flow of manpower for project execution....
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...Reliance Industries Limited CSR Initiative Analysis About Reliance Reliance Industries Limited (RIL) is India's largest private sector enterprise with businesses across the energy and materials value chain and a strong presence in the rapidly expanding retail, telecommunications and media sectors. RIL's diverse projects and operations touch lives of people in many ways and create value by helping in overall and holistic development of communities across multiple geographies. Through its various initiatives, the group endeavours to play a relevant role by serving communities and projects that address gaps in basic societal requirements. Reliance’s Philosophy RIL seeks to continue its contribution to the society through its distinct value proposition that meets the needs of millions of people, enhancing their lives through healthcare, improving quality of living by providing education and enabling livelihoods by creating employment opportunities-through the following: a) For the Business- value created for the society through business (including employment generation, market growth, creating opportunities etc.) b) By the Business- value created through CSR initiatives across different operatingfacilitieswithappropriatelinkagestolocalcommunitiesinwhichtheyoperate. c) Beyond Business- value created through interventions for the communities in diverse geographies across India. The key philosophy of all CSR initiatives of RIL is guided by three core commitments...
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...Reliance The company wasfounded by the legendary Dhirubhai Ambani (1932-2002), is India's largest private sector enterprise, with businesses in the energy and materials value chain. Group's annual revenues are in excess of US$ 34 billion. The flagship company, Reliance Industries Limited, is a Fortune Global 500 company and is the largest private sector company in India. Backward vertical integration has been the cornerstone of the evolution and growth of Reliance. Starting with textiles in the late seventies, Reliance pursued a strategy of backward vertical integration - in polyester, fibre intermediates, plastics, petrochemicals, petroleum refining and oil and gas exploration and production - to be fully integrated along the materials and energy value chain. The Group's activities span exploration and production of oil and gas, petroleum refining and marketing, petrochemicals (polyester, fibre intermediates, plastics and chemicals), textiles and retail. Reliance enjoys global leadership in its businesses, being the largest polyester yarn and fibre producer in the world and among the top five to ten producers in the world in major petrochemical products. The Group exports products in excess of US$ 20 billion to 108 countries in the world. Major Group Companies are Reliance Industries Limited (including main subsidiaries Reliance Petroleum Limited and Reliance Retail Limited) and Reliance Industrial Infrastructure Limited. Dhirajlal Hirachand Ambani also known as Dhirubhai...
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...extremely hard to get himself out of the extreme poverty he was born into. Mr. Ambani self educated himself, and became independent with a vision to one day be successful. With little money he founded Reliance Industries which focused on the trade of many products within the borders of India, he even expanded the company to include outside trade. His trade company became one that grew to one of the richest family businesses in all of India. With the financial assistance of many investors he was able to run his business the way he envisioned it. Reliance Industries appeared to be structured similar to many U.S. family businesses. Mr. Ambani was the boss, his wife was his mediator/consultant, and his sons were groomed to one day lead the company into the future. Unfortunately Mr. Ambani passed away too soon, and his prosperous company did not know who was going to lead them. In India, Hindu law requires for the eldest son to automatically be given the companies head position. Reliance industry went another way though, they went ahead and did what a successful business would do rather than follow Hindu law. They thought about the success of the business first rather than follow a law that probably never seen a company like Reliance Industries. They based their decision on what Mr. Ambani would have wanted, and that is to ensure that the business he started will continue to grow and flourish. Proper family business logic means that the successor...
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...senior Reliance Industries (RIL) director addressing a group of presspersons visiting the company’s refinery in March 2006. “In terms of size,” he hastened to add, lest “dinosaur” be read to mean something else. The occasion was the IPO of the re-born Reliance Petroleum (RPL). Reliance moves to merge Petroleum with itself Three years hence and with RPLs new 29-million-tonne refinery commissioned, a dinosaur is indeed in the making through the merger of Reliance Petroleum (RPL) and RIL. The combined entity will boast a refining capacity of 62 million tonnes (1.24 million barrels a day) and status as India’s largest company in terms of revenue and earnings. DéjÀ vu The proposed merger fits in perfectly with the style perfected by the Reliance group in the last three decades and it is a feeling of déjÀ vu for those following the company and its fortunes. The Reliance Industries we now know is an amalgam of several companies that were floated for executing specific projects and then merged with the parent. Thus, you had Reliance Petrochemicals Ltd., Reliance Polyethylene Ltd. and Reliance Polypropylene Ltd., all of which were floated to execute specific petrochemical projects in Hazira in the late 1980s and early 1990s but later merged with Reliance Industries. RPL merger inevitable and expected: Experts The original Reliance Petroleum, which made its IPO in 1993, was merged with Reliance Industries in 2002. And now comes the merger of the re-born Reliance Petroleum...
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...NTRODUCTION: AN INVITATION TO BOMBAY The envelope was hand-delivered to our house in Golf Links, Tan enclave in New Delhi whose name captured the clubbable lifestyle of its leisured and propertied Indian residents, soon after we had arrived in the middle of a north Indian winter to begin a long assignment. It contained a large card, with a picture embossed in red and gold of the elephant-headed deity Ganesh, improbably carried on the back of a much smaller mouse. Dhirubhai and Kokilaben Ambani invited us to the wedding of their son Anil to Tina Munim in Bombay. In January 1991, just prior to the explosion in car ownership that in later winters kept the midday warmth trapped in a throat-tearing haze overnight, it was bitterly cold most of the time in Delhi. Our furniture had still not arrived-a day of negotiations about the duty payable lay ahead at the Delhi customs office where the container was broken open and inspected-and we camped on office chairs and fold-up beds, wrapped in blankets. The Indian story was also in a state of suspension, waiting for something to happen. The Gulf War, which we watched at a big hotel on this new thing called satellite television, was under- cutting many of the assumptions on which the Congress Party’s family dynasty, the Nehrus and Gandhis, had built up the Indian state. The Americans were unleashing a new generation of weap- ons on a Third World regime to which New Delhi had been close; its Soviet friends were standing by, even agreeing with...
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...41 (-0.70%) Nifty: 5,205.10 -37.60 (-0.72%) Indian market * Indian equity markets down 0.72% * Nifty down 37.60 pts and settle at 5205.10 * Sensex down 120.41 pts at 17158.44 * Bank Nifty down 140.45 pts at 10481.60 MARKET ANALYSIS (July 20, 2012) The Indian equities closed on a weak note. Banks, capital goods, power remained the major laggards on the bourses. Banking stocks tumbled further after a Reserve Bank of India committee recommended tightening regulations on loan restructuring, including setting aside higher provisions. Refinery major Reliance closed down 0.70% at Rs 722.65 ahead of its numbers today. It is likely to post a 3% sequential rise in profits, GRMs likely to be slightly higher than USD 7 per barrel. In today’s entire trading session, the NSE Nifty struggled at around 5,200 mark and closed above that level. Stocks like ITC, Reliance, HDFC Bank, Infosys, ONGC and SBI were the negative contributors to the bourses. The Sensex was down 120.41 points or 0.70% at 17158.44, and the Nifty was down 37.60 points or 0.72% at 5205.10. Top losers on the Sensex were Dr Reddys Labs at Rs 1,611.20 down 2.68%, BHEL at Rs 228.85 down 2.47%, ICICI Bank at Rs 935 down 1.58%, Cipla at Rs 327 down 1.52% and Wipro at Rs 363.20 down 1.47%. Top gainers on the Sensex were Bajaj Auto at Rs 1,590.60 up 2.67%, Maruti Suzuki at Rs 1,144.55 up 2.43%, TCS at Rs 1,223.05 up 1.86%, Coal India at Rs 360.95 up 0.38% and Tata Steel at Rs 415.80 up...
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...Porters Five Forces Analysis for Industry Attractiveness- Competitive Rivalry With-in the Industry- Though there are many local and international companies in the industry, namely IOCL, HPCL, BPCL (All Government Owned), and Essar but none of them operates at the scale and integration levels which RIL operates. IOCL is selectively downward integrated, in terms of utilizing Naptha product to other Petrochemical products like PTA, MEG, PP & LLDPE, however the product range is not so diverse as RIL has. RIL on one hand has even further downward integrated its PTA & MEG product to become largest Polyester manufacturer and on the other hand PP and LLDPE production of Reliance is among the Asia’s highest. In terms of downward integration Reliance has gone beyond IOCL in aromatic products and plans to be sole player in many new products like Phenol etc. Haldia petrochemicals and another state owned firm GAIL are present in the downstream petrochemical business, however their scale of operation is non-threatening, or are hindered by feed-stock complications. Lastly the prices of fuels in India are regulated hence Reliance does not compete in domestic market in Diesel category, however it has a presence in Petrol and Aviation Fuel, and in select cases it competes. International players do not compete with Reliance, as they cannot match Reliance’s scale of operations and thus operate in non-competing niche product categories. However in some cases international...
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...Poverty is the mother of crime Poverty is the lack of income source to buy food. In some cases it is not only the state of having income that is below the line of poverty but it is also the inability to sustain a specified level of well being. So it is in fact that most of the crimes that occur are due to poverty. No matter how much moral the person is, if the poverty threatens his or her life then he/she is likely to indulge into such criminal acts and could try to attack the prevailing social structure. Sometimes honest people who hate corruption from depth of their beings fail to keep their mental balance and due to the pressure of poverty and resort to crimes just to maintain their existence. In such circumstances the judge only looks at the crime committed instead of finding out the cause that lead the committer to such an act. What happens is the person is sent to jail and is labelled as a criminal and after his release he is further humiliated by the society and therefore is forced to become a habitual thief. The majority of men that are locked up came from a background of poverty. They did not have their fathers. Many of their mothers had them at a young age. They did not have any positive, real male role models. They basically had to raise themselves. The fathers did not have the money to get abortions and then once the baby arrived, they did not have the money to raise the child. Then once the baby arrived, they were living in squalor and poverty and they turned on...
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