Tuesday, March 25, 2008

Bottom lines and market shares

The relatively disappointing performance of the Tata and Birla groups is quite strange. Take the example of the Tata group. It sells cars, trucks, mobile phone services, designer jewellery & watches and air-conditioners to name just a few products. Imagine how the group could have leveraged a strong financial services arm the way GE has done consistently done for decades. Even the Aditya Birla group, that sells tyres, cement, fabrics, fertilisers and mobile phone services among other things could have done wonders to its bottom lines and market shares with a strong presence in financial services. The why is neatly summed up by D.K Agarwal, MD of SMC Global, “ In my views, Financial sector is a sector which needs a specialised and truly personallised services. It is a sector where a group is required to have a complete focus and high level of monitoring and involvement. Though large business houses have big infrastructure but a blend of renowned track record, experience and expertise is must for venturing into financial services. The absence of determined and dedicated focus may prove to be a big bottleneck. This may also adversely affect other business as well as goodwill of a big
conglomerate.”

For Complete IIPM Article, Click on IIPM Article

Posted by at
Labels: , , , , , , , , , , ,

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)