ENTREPRENEURSHIP- A KEY TO ETERNAL HAPPINESS OF SELF &

SOCIETY

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 WISH YOU VERY VERY ,VERY HAPPY, PEACEFUL, PROSPEROUS NEW YEAR

Dr. Rajkumar S. Adukia

author of more than 300 books
Global business growth and motivational coach

Passionate to make anyone speaker, writer,

assisting in acquiring professional qualifications
and promotion in job
member IFRS SMEIG London 2018-2020
ex director - SBI mutual fund, BOI mutual fund
B. Com (Hons.), M.Com.,FCA, FCS, FCMA, LL.B, MBA, Dip IFRS (UK), DLL&LW, DIPR, Dip in Criminology,
Ph.D, IP(IBBI), MBF, Dip HRM
student of , MA(psychology), LLM, CFE, IBBI(RV)+++++++++++++++++
ranks mumbai university 5th , inter CA 1st , final CA 6th , final CMA 3rd +++
Chairman western region ICAI 1997
Council Member ICAI 1998-2016
Mob: 98200 61049

Request to contact through email only

[email protected]

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 Way forward

Robin Sharma said ―Everything is created twice, first in the

mind and then in reality.‖ Nearly everything around you- your chair,
your laptop, - was first conceived in someone's mind, then created in the physical
world. To create the life you want, you must start by creating the right thoughts.

It's great to visualize, but it's also very important to act - create some plan, or just
start to implement first steps. As Tony Robbins says - ―If you talk about it, it's a
dream, if you envision it, it's possible, but if you schedule it, it's real‖.

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 WE AS GLOBAL ENTREPRENEURS MENTOR

An Entrepreneur is not born, but he is developed from different vocations.

Entrepreneur is influence not by a single factor but is the result of interaction of
many such as further.

a) Family background
b) Socio-economic change.
c) Standard of education and technical knowledge.
d) Financial stability.
e) Political stability.
f) Government policy.
g) Caste and religious affiliation.
h) Availability of supporting facilities.
i) Achievements ( aims and objectives)
j) Motivation.
k) Personality and personal skill.

An Entrepreneur has to initiate the process of development crossing all the barriers
in his way. Successful entrepreneur must possess the following qualities:

 He should be a motivator.
 He must possess self confidence.
 He must be committed to the project
 He must be prepared to work for longer hours
 He must be a problem solver.
 He must have initiative, accepting personal responsibility for actions and
above all make good use of resources.

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  He must be a goal setter.
 He must be a moderate risk taker

Entrepreneur Mentorship:

Success in any business is a combination of many factors and one of them is to

keep learning about your business. The entrepreneur mentors have a direct impact
on the growth and survival of their business. The early years of any business are
therefore a crucial make-or-break period, and business mentors are vital to their
success. 89% of small business owners who didn‘t have a mentor wish that they
did. These highlight a need in the entrepreneurial community to find and connect
with qualified mentors who can deliver solid advice to help a business over those
shaky first years.

We at Adukia Law Chambers can assist you and your organisation by being your
mentor in willing to act as a trusted confidante over an extended period of time
with an objective to provide advice, counselling from a fresh perspective,
collaborate and help you as an entrepreneur stay focused on their long-term goal of
making their venture a success.

We as a navigator: It is important for budding entrepreneurs to understand the

right route to reach their destination while embarking on their entrepreneurial
journey. We as your Business mentors can expand an entrepreneur‘s viewpoint,
helping you with multiple perspectives to solve problems and give them the ability
and confidence to collaborate with trusted sources, ensuring you have a smooth
and safe drive to your destination.

Providing unbiased views: With our development-driven attitude, we firmly

believe that we can view your business with fresh, unbiased eyes and guide you,
instead of solving problems for you.

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Dear Colleague,

As we change the calendars to a new year on our desks and on the walls of
our homes, we are welcoming new possibilities. We find the nature around
us preparing for the spring. The weaving birds building the nests and the
chirping of the new born birdlings creates a symphony of new songs that
the life is suggesting us. The more we align to the nature the easier we feel
is the flow of life energy that builds us for the journey called life.

As professionals we are moving into a new phase of adaptability. Whether

moving our office to home or managing our employees who are working
from home, we are seeing changes everywhere. Our services to our clients
have also undergone change, change in the matters on which our advise is
sought and also the manner in which it is delivered. The court hearings are
now online and so are the arbitration matters. Our webinars are online and
so are our Board meetings.

The metamorphosis we are experiencing is bound to make our wings

stronger. It is helping us take higher flights. As Wallace D. Wattles says in
his book, “The science of getting Rich”, the universe responds to our
desires and the collective desires shape the universe’s desire.

Creation and accumulation of wealth or riches is also very fundamental to

this book which I use as a bible of my life. I am particularly drawn to the
philosophy that one must work towards creating wealth in life. This may

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seem quiet contrasting to the belief that lot of money is sin. I believe that
money is source for creating endless services to society. We need money
for the very charity that we wanted to do for so many years. Whether it is
our desire to provide for education of your house-help or providing food
for the needy, it cannot be only met with desire. It has to be backed by
money. The desire to earn riches vibrates with the universe because
universe responds to this vibration and brings in , lot of abundance into
our lives. And our collective desire creates abundance in nature.

As Stephen Covey in his book “7 Habits of Highly Effective People”

mentions that the synergy and not competition is the way to creating of
wealth and success. He explains that with more people joining you , the pie
gets a lot bigger than the common notion that it gets divided into smaller
pieces.

I also resonate with the 8th habit mentioned by Stephen Covey which says
“Find your voice and help others to find theirs”. Stephen Covey makes the
use of the word “Voice” to mean "unique personal significance." I believe
that as professionals, our voice is to serve as many people in the society as
possible. Our work creates for us our unique personal significance. We
professionals collectively have the capacity to shape the future for
ourselves and the nations. Today’s leadership is guided by this habit of the
Covey.

The other book which significantly has influenced me specially since

celebrating my 61st birthday is “Die empty” by Todd Henry. The
philosophy of this book motivated me to spend my day in the best possible
manner. It taught me not to postpone the most significant task of my life to
even a single minute. The author says that we should not withhold any
desire today as this gets accumulated filling up the essence of our life.

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Instead, if we bring our desire into action today and stop procrastinating,
we would die empty, empty from unfulfilled desires.

The philosophy also resonated with me, as I believe, the knowledge that
one has gained over years should not die with us. It should be
disseminated to others. And I have chosen to disseminate it by wring
books. My “Die empty” moment comes when I write a book on any subject
on which I have gained knowledge by research or taking up a any new
course. This has motivated me to acquire knowledge through various
courses. Some on professional development and some on self-
development. Whether it is to write a book on Leadership and
management Philosophies from Bhagvat Geeta and Bhagvat or to any
technical subject, I have emptied my knowledge in the books with passion
sown in very page. The book that I am sharing with you today is also one
such attempt to share my knowledge.

With wishing you a very happy new year, I invite you to write a book with
me on the subject of your passion or we can discuss any new professional
opportunity. Lets get together to create many happy days in the new year.
You can reach out to me on 9820061049 or on email at
[email protected]

With best wishes.

Dr. Rajkumar S adukia

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 INDEX

Sr. No. Content

1 Skills of Entrepreneur & Marketing
2 Steps to Become a Good Entrepreneur
3 How to Expand Your Business or Profession by using the Marketing Strategies
4 Diversification
5 How to sale? Things to remember
6 Lessons to learn from the examples of strategies applied by successful businesses
7 Opportunities / Doors of Marketing
8 Brand Loyalty in the World of Marketing
9 Marketing trends
10 Digital marketing
11 Communication skills that are crucial for sale success
12 A relationship between Marketing and innovation
13 Marketing- a conceptual study
14 Government e Marketplace
15 Micro small and medium enterprises
16 Opportunities in agriculture sector
17 Make in India
18 Start-ups India
19 Invest India
20 Foreign trade policy
21 Export & Import
22 Commercial contract
23 Negotiation & Mediation
Way forward

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Chapter 1

SKILLS OF ENTREPRENEUR AND MARKETING

Life is a sum of choices. What we choose consciously or sub-consciously – we

receive. Self-actualization or the need to realize one's own maximum potential and
possibilities is a desire which most people dream to achieve.

Realizing the Power of ‗YOU‘ is the basis of life. What ‗YOU‘ think, ‗YOU‘
become. What idea ‗YOU‘ conceive, turns ‗YOU‘ into a success story. What
‗YOU‘ believe in truthfully and blindly from the depth of your heart ultimately
happens to ‗YOU‘. ‗YOU‘ can change your destiny by ‗YOUR‘ karma. ‗YOU‘ are
the architect of your own future. YOUR future is in YOUR hands.

The essence of achievement in life is the acceptance of the fact that YOU cannot
always determine what comes your way in life, but you need to equip yourself well
enough so that you can steer yourself towards a more effective and fulfilling life –
a life which takes you from Employment seeker toEmployment creator to be
an Entrepreneur!!

To be an entrepreneur is to think differently. While most people seek refuge,

entrepreneurs take risks. They don‘t want a job; they want to create jobs. Their
goal is not just to think outside the box but to own the box. Entrepreneurs don‘t
follow the market; they define the market. This backward way of thinking is
referred by Kevin D Johnson in his book ― The Entrepreneur Mind‖ to as the
Entrepreneur Mind.

Strategies for Entrepreneurs

All entrepreneurs must ask themselves three vital questions that concern their
business strategy: Where are we now? Where do we want to be? How do we get

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there? If we don‘t know the answers to these questions, we don‘t have a strategy
for success. Businesses with a clear and a solid strategy are prepared to win.

―Thinking Big‖

Despite its popularity,―Think big‖ is ubiquitous and the saying has no clear
meaning, especially as it relates to business. In business, ―thinking big‖ simply
means pursuing ideas that maximize the scope of your potential. Likewise, it can
mean pursuing ideas that have maximum impact in the world. Despite its simple
definition, thinking big is difficult to do for many reasons, but if you are aware of
the obstacles you can avoid them altogether

One of the main obstacles to thinking big is the inability to outgrow our
environment and this result in inability to create businesses that go beyond the
confines of their reality or environment. In other words, the environment in which
we operate restricts our thinking to the point that the business suffers limited
growth or even death.

Many entrepreneurs lack the motivation to pursue big ideas. This mentality is
prevalent among entrepreneurs who have had some level of monetary success in
business that diminishes their willingness to pursue bigger ideas. The
entrepreneurs remain in their comfort or have become accustomed to going for
low-hanging fruit. It could also be that, these entrepreneurs could simply be
overwhelmed with running their own business and don‘t have the bandwidth to do
anything else. For overcoming lack of motivation, entrepreneurs should find an
individual or team to hold them accountable for pursing their big idea, step by step.

Several entrepreneurs lack the self-confidence to think big. They don‘t see
themselves running a large organization, or they are frozen by the immensity of
their idea. They may ask themselves, where do I start? How will I build a team
capable of pulling this of? Where will I get the start-up capital for such a huge
idea? To boost your self-confidence, devise and take small steps that start you
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working on your idea. For example, do some basic research about your idea or
write down your ideas. If you are like most people, these small wins will add up to
increase your confidence and to propel you forward.

An Entrepreneur may often lack the diversity and expertise of influencers required
to think and eventually to execute in a big way. To jump this hurdle, one must
establish a diverse network of individuals who think big and understand what it
takes to arrive at that level. Likewise, they can help you to vet and improve your
idea.

Create New Markets

If I had asked people what they wanted, they would have said faster horses. —
Henry Ford, founder, Ford Motor Company

There are two kinds of entrepreneurs one those who create markets and second
those who do not. On the one hand, the entrepreneur who creates markets is
considered a revolutionary. On the other hand, the entrepreneur who competes in
well-established markets is considered ordinary. Both approaches can lead to
success in business, but research indicates that the creative entrepreneur has a
better strategic position.

Blue Ocean Strategy, a best-selling business book, makes a cogent argument that
creating new markets known as ―blue oceans‖ is better than competing in
overcrowded industries known as ―red oceans.‖Which kind of entrepreneur are
you? If you have a blue ocean, you are on your way to tremendous success.
However, if you are competing in a red ocean, it‘s time to adopt strategies to
spawn innovation, leading your company to significant profits and to a sustainable
competitive advantage.

Work on Your Business, Not in Your Business

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If your business depends on you, you don’t own a business—you have a job. —
Michael Gerber, author, The E-Myth

Until an entrepreneur‘s company runs without the founder, that person is just self-
employed, the lowest rung in the hierarchy of entrepreneurs. The entrepreneurs are
often overwhelmed with their business, doing everything from their own taxes to
taking out the trash. They work nonstop not because they want to but because they
have to. They may act as though they have a team that takes care of everything, but
they don‘t.

Before you even start your business, focus on planning how to get rid of yourself,
especially if the business is service-oriented and you are the one serving. This
outlook is absolutely imperative because once the business gets going; you won‘t
have time to dedicate to planning when work piles up. You naturally will give
priority to serving clients and generating revenue rather than planning your
replacement. Finding quality people to fill all-important roles puts you in the frame
of mind of running a business. In this mode, you are really an entrepreneur, and
that‘s what it is all about. Once you have successfully eliminated the dependency
of your business on you, you can focus on growing your business or even moving
on to your next venture.

All Risk Isn’t Risky

Risk comes from not knowing what you are doing. —Warren Buffett,
businessman, investor, philanthropist

Among the several definitions of an ―entrepreneur,‖ there is a common word

―risk,‖ which is what truly defines an entrepreneur. The following simple
definition by Merriam-Webster is one of the best: ―An entrepreneur is one who
organizes, manages, and assumes the risks of a business or enterprise.‖ The focus
then becomes understanding risk and how it factors into being an entrepreneur.

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―Risk,‖ as defined by the same dictionary, is the ―possibility of loss.‖ What‘s most
interesting about this definition—and contrary to popular belief—is that it doesn‘t
impart a negative value judgment; the definition merely declares the possibility of
loss. In other words, an event can have a 1 percent or a 99 percent probability of
loss. Our response to an interpretation of those two levels of risk makes all the
difference. Entrepreneurs have a higher tolerance for risk than the average person
when it comes to starting and running a business.

Don’t Waste Time Procrastination is opportunity’s natural assassin. —Victor

Kim, entrepreneur; former owner, New England Patriots

The best entrepreneurs create environments of stressful urgency. Entrepreneurs

know that startups rarely get anything done in a relaxed, take-your-time
environment. For example, Steve Jobs, the cofounder of Apple, was notorious for
pushing his team beyond its limits by setting seemingly unrealistic timelines. As a
result, his company created products quicker than they had ever imagined was
possible and thus gained a huge competitive advantage over rival companies like
IBM.

Doctors and psychologists believe that stress caused by time constraints or urgency
has an upside. In fact, they argue that we all need stress in our lives to perform
certain tasks at a high level, ranging from avoiding a car accident to finishing a
report for work. A recent MSNBC.com article explored the benefits of stress:
―When the brain perceives physical or psychological stress, it starts pumping the
chemicals cortical, epinephrine (adrenaline) and nor epinephrine into the body.
Instantly, the heart beats faster, blood pressure increases, senses sharpen, a rise in
blood glucose invigorates us and we‘re ready to rock.‖ The article also quoted
Janet DiPietro, a developmental psychologist at the Johns Hopkins Bloomberg
School of Public Health: ―When you have a deadline, when you have to perform,

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you want some stress to help you do your best.‖ If you lack the sense of urgency to
grow your business, evaluate why you want to be in business.

Ask for Help Tell everyone what you want to do and someone will want to help
you do it. —W. Clement Stone, businessman, philanthropist.

When you start your business, lose the ego immediately. It‘s the main reason that
entrepreneurs don‘t seek help. An overinflated ego even prevents those who ask
for help from receiving it. Rarely do people want to help those who act as though
they don‘t need it. And there‘s a difference between being confident and having an
ego that‘s too big for your own good. Confidence attracts people; ego repels them.

Do What’s Most Important First the key is not to prioritize what’s on your
schedule, but to schedule your priorities. —Stephen Covey, best-selling author,
The Seven Habits of Highly Effective People.

Doing the tasks that are most important in business is counterintuitive. Normally,
these crucial tasks demand more time, energy, and focus than we care to give.
Thus, we avoid them, doing those simpler tasks that really don‘t have a major
impact on our business

Require Criticism and Disagreement in Your Company Honest disagreement is

often a good sign of progress. —Mahatma Gandhi, Indian nationalism leader,
social activist.

Making the decision to pass on a customer is especially difficult for young or new
entrepreneurs who are hungry for business and revenues. However, choosing bad
customers can cause a lot of frustration, drain resources, damage your reputation,
and eventually put you out of business. To help you decide what customers are
worth your time, consider four important signs which indicate that you should not
take a client and gracefully move on from the relationship. These signs apply
especially to entrepreneurs who run a service-oriented or consulting business.

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1. be skeptical of a client who seems not to know what is needed or who constantly
makes changes. For example, if you have a web or graphic design company,
explain clearly your creative process and the time needed for the project. Also, a
client should be comfortable with your capabilities and what to expect from you.
Find out from new clients what attracted them to your work. Show your portfolio.

2. be careful if a client is not willing to pay an hourly rate or a piece rate of some
kind. Agreeing to a fixed cost for your work is not bad per se. However, it‘s not so
great if you end up doing more work than you anticipated. Many clients encourage
you to lower your cost to lock in a good rate. In a gesture of good faith, sometimes
the client will pay you all the money up front. That way, you are beholden to the
client until it receives a deliverable it likes. These types of arrangements can be
especially stressful and strain a relationship to the point of litigation.

3. Avoid any client who hesitates to sign a well-written agreement. This is a true
test of whether a client is worth your time and effort. An agreement or contract
protects both parties and outlines expectations. Without a comprehensive
agreement you have no way to protect your interests, assess the progress of the
work you have done, and verify the deliverable.

4. Take heed of any less than good feelings you have about a potential client.
Don‘t be afraid to fire a client. Just because some customers want you doesn‘t
mean you need them.

A Bad Economy Is a Great Opportunity A pessimist sees the difficulty in every

opportunity; an optimist sees the opportunity in every difficulty. —Winston
Churchill, prime minister, United Kingdom (1940–45, 1951–55)

In short, entrepreneurs do not allow a bad economy to hold them back from
accomplishing their goals. Ironically, poor economic conditions often have the
opposite effect; they motivate entrepreneurs more and propel them to succeed even
faster. Times are not as great as I write, but entrepreneurs ignore the zeitgeist and
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create positive circumstances. They roll up their sleeves and get to work,
anticipating the next growth period. That‘s where you want to be: ready to grab the
bull by its horns and ride.

Chapter 2

STEPS TO BECOME A GOOD ENTREPRENEUR

KNOW YOU ARE ENOUGH!

You need to know that you are enough.

Before anything else, it is of paramount importance that you are completely empty
of self-doubt, self-limiting and unhealthy negative thoughts. Our self-image in our
own eyes is the most important determinant of success. If an individual
himself/herself has self-doubt of his/her ability and is skeptical of achievement of
goals – it is impossible that success is ever attained by him/her. Every person is
able and capable and there is perfection in every creation. Accept yourself and
connect totally with who you are. Be comfortable with your identity which makes
you what you are. Your beliefs, your likes, your dislikes, your perceptions, your
character need not be similar to others. Your identity is central to you and controls
your growth, if you waver and question your identity, then the growth trajectory
also falters. Do not imitate others to achieve success. Be aware of yourself and that
will give you confidence to succeed as yourself.

3 STEPS

FIRST STEP – SET A GOAL TO BECOME ENTREPRENEUR

Whatever it is that you aspire for, if you are passionate about it and desire it truly –
it is your goal. ‗Goal‘ is serious business. Be 100% clear about the reason you
have set your goal and the value your goal holds for you. When your goal is set in

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the correct way, automatically the personality you desire to achieve this goal will
come to you. Your goal can be attained only and only when it seems real to you. If
you truthfully and faithfully believe in what you desire you will most definitely
attain it. Nothing can stop you; no amount of roadblocks and no failures seem like
dead-ends when you are focused on your goal and nothing else.

Belief, faith, conviction are words that move mountains. It is a state of one‘s mind
which can lead the owner of that mind to achieve things that no one has ever
achieved just by the mere presence of this small little word ―Belief‖ - Belief in
your idea, belief in your line of action, belief in the outcome, belief in yourself.
Condition your mind to see that whatever comes in your way in your journey
towards the attainment of your desire are not obstacles but situations which you
will mold in your favor. The universe will work with you for you to achieve what
you desire.

REMEMBER STEP #1 - Set a GOAL to chart a journey from seeker to

creator.

SECOND STEP - ALIGN YOUR THOUGHTS WITH YOUR GOAL

The ultimate power lies in your own thoughts.

The single most important factor which directly determines your position in life is
your own mind. The ‗Placebo Effect‘ is a proven fact that some patients' health
improves after taking what they believe is an effective drug but which is in fact
only a placebo (a substance or treatment of no intended therapeutic value).
Therefore a person can recover from illness just by his own mind only thinking
that he is being treated.

Your achievement is a consequence of how your mind thinks. A ‗Thought‘ is the

Alpha and Omega of success. Buddha said ‗what you think, you become‘.
Accomplishment of your goal has already started when the seed was sown in your

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brain as a thought. To be successful, you have to first train your mind. You must
master your mind and have dominance over your thought.

Imagine wealth, victory, success – and you will achieve it. You want success and
the universe will serve it to you if you can control your thought process. A human
mind is a reservoir of power: It can conjure up zillion thoughts. The art is in taking
that one thought which you believe in, and turning it into reality.

Fill your mind with positive thoughts. Let there be no place for negativity, gossip,
worry and criticism. You will destroy the beautiful seed of pure thought even
before it germinates. Water your thought, nurture it and let it grow into
unimaginable wealth and success. Every individual is his own person. He alone
knows what motivates him and drives him to achieve. With his personal
experiences and emotions he alone can work on his impulse to make it a reality.
Don‘t poison that beautiful ability by clouding it with negative thoughts.

The aphorism, "As a man thinketh in his heart so is he," not only embraces the
whole of a man's being, but is so comprehensive as to reach out to every condition
and circumstance of his life.

REMEMBER STEP #2 – Align your Thoughts with your goal

THIRD STEP – JUST GO FOR IT! TAKE ACTION TO ACHIEVE

Niyataṁ kuru karma tvaṁ karma jyāyohyakarmaṇaḥ|

Śarīrayātrāpi ca tenaprasiddhyedakarmaṇaḥ||8||

Sri Krishna said: Perform your prescribed duty (karma) because action (karma) is
superior to inaction. Even the maintenance of your body cannot be accomplished
through inaction.

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Action is imperative to achieve. Action is just the simple act of doing. It is
common knowledge that no idea can be turned into reality without action on the
idea. Creation of an idea and the desire to turn it into reality backed by all the
monetary power available will still not guarantee riches unless there is action
performed towards that idea. Over- analyzing and over-thinking will kill the idea
even before inception.

So, the key is to start and start now! If you want to earn your millions in your
profession, have faith in yourself, just pick up a pen and paper and write down a
detailed plan action schedule regarding the steps you will take to achieve your
goal. Be ready to give yourself that push of ignition to just ‗begin‘ like the starter
in a vehicle – your initiation of action to attain your goal can be compared to the
starter in a vehicle because it is the most important device which is used to rotate
an internal-combustion engine so as to initiate the engine's operation under its own
power, without which the entire vehicle, the time and money spent on its creation
is a waste, and the same holds true for your ‗action‘.

So, if you want to become rich, successful, reach the great heights of success you
have imagined in your life – it‘s not going to come to you while you just sit there
at your table dreaming about it.

The more you work, struggle and do whatever it takes to reach closer to your goal,
you will observe that the worst is over and somehow things are getting better and
better. Remember your goal and your well defined plan to achieve your goal, just
focus on it; it will give you the strength to keep moving forward. Patiently persist.
Don‘t lose your enthusiasm when you suffer setbacks on your road to success.
They are mere stumbling blocks. Gather your determination and tenaciousness and
with single-minded strength of purpose forge ahead. The harder you work, the
closer your goal will seem. To reach the pinnacle of success you have to climb the
small little steps on the staircase which will take you there.

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REMEMBER STEP #3 – Take Action to achieve your Goal. Don’t wait for
things to happen to you….Go out there and make them happen!

SKILLSETS OF ENTREPRENEUR

-―A you are what you think you are”-James Allen

“If you want something you’ve never had, you must be willing to do something
you’ve never done.” - Thomas Jefferson, American Founding Father and third
President of the United States

As an entrepreneur understanding what you want or what the goal that we wish to
reach is determines the kind of business enterprises we will incorporate.

The concept of karma (the law of Action) is the core idea of the Bhagavad Gita,
the Holy Hindu Scripture. You have to find what you are truly passionate about. If
today were the last day of your life, would you want to do what you are going to
do today? If the answer is ‗No‘, it is certain that something is wrong and needs to
be changed. For you will attract riches and fame only if you are doing something
you are passionate about. Fuel the passion. Infuse enthusiasm into your work –
then only you will achieve success. If you think you can - you will. If you think
you can‘t - you won‘t. Your ‗WILL‘ can change everything. It can pull you out
from the depths of misery. It can give you hope. It can make you millions. It can
change your fortunes and your future. The ‗will‘ comes from ‗within‘. You are
unstoppable once you have willed it.

“Whatever course you decide upon, there is always someone to tell you that you
are wrong. There are always difficulties arising which tempt you to believe that
your critics are right. To map out a course of action and follow it to an end
requires courage.”– Ralph Waldo Emerson, American essayist, lecturer, and poet

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Bhagvat Geeta describes the qualities of an individual that help him attain his goal.
It says for a entrepreneur to attain his goal he should possess fearlessness, purity of
mind, steadfastness in spiritual knowledge, charity, control of the senses,
performance of sacrifice, study of the sacred books, austerity, and
straightforwardness; non-violence, truthfulness, absence of anger, renunciation,
peacefulness, restraint from fault-finding, compassion toward all living beings,
absence of covetousness, gentleness, modesty, and lack of fickleness; vigor,
forgiveness, fortitude, cleanliness, bearing enmity toward none, and absence of
vanity.

What differentiates a person who is goal oriented versus a person who has no goal
set for himself is that the first one is determined to achieve it no matter what.

Here are some of the skills you need as an entrepreneur

a. Interpersonal skills and Customer Interaction.

Almost every business requires you to interact with customers, vendors, debtors,
creditors and other stakeholders on a daily basis. Your one to one interaction is
important as the people judge the integrity, longevity and prosperity of the
business based on their interaction with the people behind the company. So even
the most innovative and productive idea may fall flat if the face behind the
company is not dependable. The ability to communicate or interact well with other
people (whether it is peers, subordinates or your team) is what is known as
interpersonal skills. They may include a variety of activities like –
Communication, Listening, body language, ability to collaborate, display of work
ethics and workplace etiquette, display of personal etiquette, commitment capacity,
professionalism, problem solving capability, decision making ability, self-
confidence, receptiveness to feedback, showing appreciation, positive attitude and
overall vibrant demeanour. Improving interpersonal skills will keep you in the
good memory of people and attract people to do business with you.

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 b. Your AIDA – Awareness, Interest, Desire, and Action –Model

It is a fallacy that destiny will play a part in getting customers to your doorstep and
taking your business to great heights while you sit nestled in your cocoon waiting
for them to approach you. Action is imperative.

In 1898, E. St. Elmo Lewis, American advertising and sales pioneer, developed a
model which mapped a theoretical customer journey from the moment a brand or
product attracted consumer attention to the point of action or purchase. According
to this concept, every sale has four parts. These four parts are referred to as AIDA
– an acronym which stands for Awareness, Interest, Desire, and Action. The
Awareness stage stands for making the customer aware of the existence of a
product or service; The Interest stage represents generating genuine customer
interest in your product or service; The Desire stage involves getting the customer
to make a decision; The Action stage is getting the customer to take the next step
towards purchasing the chosen product or service.

Get your AIDA model in order and analyze how you will take your customer from
‗awareness‘ to ‗action‘. By breaking down your way of dealing with the customer
into these four basic parts, you will be able to identify areas where you need to put
in more conviction and effort to increase your business growth.

c. Customer Profitability

The meaning of ‗customer profitability analysis‘ is simply analyzing whether a

customer is profitable for your business or not. It seems highly inappropriate to
suggest that a ‗customer‘ could be a deterrent for business growth. However, the
idea behind ‗customer profitability analysis‘ is to determine whether it costs more
to do business with certain clients than what they bring in. It is a method of

23
looking at the various activities and expenses incurred in servicing a particular
customer within a given period of time while determining its profitability to the
business.

The rationale for doing a customer profitability analysis lies in the fact that once
you are able to measure the customer profitability, you will be able to consciously
manage it too. There are many ways to assess your customer‘s value to your
business viz. sales volume, gross margin, profitability, number of transactions, and
average sale per transaction etc. You can then use this information to identify high
value customers for your business who value and will pay for your company‘s
products and services and in turn focus your resources and energies on
highlighting opportunities with respect to them. This will improve your
productivity and result in business growth.

d. How you manage your Time

Much has been written and said about the importance of managing ‗time‘, but
somehow everyone is always short of it. So, are you doing it right?

If the Egyptians had known when they invented the 24-hour day that the future
generations will use it as an excuse for not getting things done in time, I‘m sure
they would have added a couple of hours more to the day. However, we would
have found excuses of shortage of time in that scenario as well! Without realizing
we have mastered the art of ‗blaming time‘ as a culprit for everything that goes
wrong in our life. Now approach the 24-hour day with the attitude that you have
86400 seconds in a day! Now that‘s a lot of time.

The reason a 24-hour day seems short is because when we prioritize our jobs, we
take it as an excuse for never completing the ones on low priority. We all have
things we don‘t want to do, but we have to do them anyway. However, in life you

24
cannot chose the enjoyable parts and leave out the unpleasant parts of a task. You
have to do the entire job. That‘s the only way to reach your goal. The sense of
accomplishment you will feel at the end of the most hard, boring and complicated
task is immeasurable. There is a methodological way of increasing the hours in the
day. For having more than 24 hours a day, improve your time management skills.
Prioritizing is essential but it will not create more time; it will only tell you what is
more valuable to be done first. We must prioritize but at the same time must
realize that those tasks on low priority or also essential for business growth and we
must eventually get down to them.

B The Pareto principle (also known as the 80/20 rule, the law of the vital few, or
the principle of factor sparsity) states that 80% of consequences come from 20% of
the causes. Vilfredo Pareto an Italian economist and sociologist used this principle
to establish the relationship between the inputs and outputs. The principle can be
applied to various economic factors like land and illustrates the notion that
majority of the things are controlled by the minority of the people.

The Pareto Principle can be applied in a wide range of areas such as

manufacturing, management, and human resources. The most important
application of the pareto principle has been used in personal time management.
Time management has been a challenge to most of the people. In order to
effectively utilize the time, one needs to identify the "repeated patterns" in your
daily schedule that may be causing problems to your productivity.

The pareto principle states that most people tend to thinly spread out their time
instead of focusing on the most important tasks. In terms of personal time
management, 80% of your work-related output could come from only 20% of your
time at work.

C: Parkinson‘s law is an adage that ―Work expands so as to fill the time available
for its completion‖. The law was given by Cyril Northcote Parkinson who was a

25
British naval historian and an author in an essay published in the Economist in the
year 1955. The law applies to any work; however Parkinson used this to describe
the bureaucracy in an organization.

The application of this law can be seen in every sphere right from the way we
spend our time on personal tasks to the way how we spend our time in the
organization. For someone who has a lot of time at disposal and has very few tasks
to accomplish, they can expand their work to fill the available time. Whereas for
someone who has many tasks to be achieved in lesser available time, the work
shall be done in a quick manner shrinking the time available.

One of the essentials of any goal we set, we have to have a clear definition of the
time line we wish to complete the task. If we say we wish to complete the book in
a year‘s time, we will expand our work of writing the book over a period of one
year. Whether the actual time required for completing the book is one year, is
something that each one has to decide. My experience tells me that, the longer one
takes to complete, the enthusiasm gets diluted. The focus shifts and the idea die
down.

MANAGING SELF IS FIRST TASK OF ENTREPRENEUR/STARTUP

OWNER

Managing self is the first task of the entrepreneur. One must have control on all the
five senses. Our thought either creates or destroys us. We have to be mindful of
what we think. Our mind has to be our servant who can take instructions and not
our master who gives us instructions

Sales – impression of increase attitude- value addition of user of services/buyer of

products

Wallace Wattles in his book ―The Science of getting Rich‖ says that we should
leave everyone with the impression of increase.

26
Simply put, to convey the impression of increase, you must want the same for
everybody that you want for yourself. It‘s leaving others feeling better than before
they met you.‖

As an entrepreneur the impression of increase gives us a mantra of sustainable

business. The sense of serving the clients with your products or services with an
impression of increasing creates a sense of satisfaction with the buyers or
consumers of your service. When as an entrepreneur you provide services with
value addition it creates a sense of delight among the consumers. Such consumers
stick to you and your products or services. As is said there is no publicity like that
from a satisfied customer, your customers bring in more customers for you. It must
be borne in mind that this attitude of impression of increase must be followed by
the businesses even when they are at the no 1 position in their field, it is often seen
that entrepreneurs who bring gratitude and value addition together, survive any
economic downturn because their customers hand hold them during these times.

As an entrepreneur, this impression of increase helps you generate more and more
clients and opportunities. This again leads to the triggering of the principle of
attraction. More satisfied clients attract many more satisfied clients.

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Chapter 3

HOW TO EXPAND YOUR BUSINESS OR PROFESSION BY USING THE

MARKETING STRATEGIES

Marketing refers to activities a company undertakes to promote the buying or

selling of a product or service. Marketing is the activity, set of institutions, and
processes for creating, communicating, delivering, and exchanging offerings that
have value for customers, clients, partners, and society at large. At a fundamental
level, marketing is the process of understanding your customers, and building and
maintaining relationships with them.

Definition of marketing:

“Marketing is an administrative and social process through which individuals

and groups obtain what they need and desire by the generation, offering and
exchange of valuable products with their equals‖.

The above definition is from book ―Management “by Mr. Philip Kotler (born 27 May
1931), a renowned American Marketing author who has been the International
Marketing chair holder at North western University since 1988, one of the most
important business centres of study in the world.

A process – wherein individuals/groups obtains- there need or desire- by

exchanging/offering/ generating or creating/ products

To understand Marketing in details emphasis should be given to the core concepts

such as process, individuals/ groups, need, desire, generation /exchange/offer &
products etc.

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Marketing is a process involving set of activities, with an aim of making the apt
promotion of product to reach it to the consumer

Individual/group: when it comes to marketing or business consumer has an

immense role to play. Ultimately it is the consumer who is going to decide the
faith of your business. Hence emphasis must be given to the their needs & desire

When it comes to conceptual definition of need and desire, the concept of

Need refers to those that are necessary for survival. On the other
hand, Desire refers to those that people want in life although there is not threat to
survival if the individual fails to accomplish them.

Exchange is one of the way people/ consumer can obtain a product. It happens
when one individuals strives to exchange something of value to another individual

So far as marketing is concern the definition of products must be extended

to include intangible objects as well, because they can be offered to a market as
well. Therefore, the broad definition of product includes services, events, persons,
places, organisations or even ideas

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Chapter 4:

DIVERSIFICATION

Diversification can be understood as the corporate strategy that a company

implements to increase the market share and sales volume by introducing new
products in new markets or industry, which is distinct from its core business.
Simply put, diversification refers to the expansion of business by entering into a
completely new segment or investing in a business which is external to the scope
of the company‘s existing product line. Businesses use this strategy for managing
risk by potential threats during the economic slowdown.

The Expansion through Diversification is followed when an organization aims at

changing the business definition, i.e. either developing a new product or expanding
into a new market, either individually or jointly. A firm adopts the expansion
through diversification strategy, to prepare itself to overcome the economic
downturns.

The Expansion Strategy is adopted by an organization when it attempts to

achieve a high growth as compared to its past achievements. In other words, when
a firm aims to grow considerably by broadening the scope of one of its business
operations in the perspective of customer groups, customer functions and
technology alternatives, either individually or jointly, then it follows the Expansion
Strategy. The reasons for the expansion could be survival, higher profits, increased
prestige, economies of scale, larger market share, social benefits, etc.

Go through the examples below to further comprehend the understanding of the

expansion strategy. These are in the context of customer groups, customer
functions and technology alternatives.

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 1. The baby diaper company expands its customer groups by offering the
diaper to old aged persons along with the babies.

2. The stockbroking company offers the personalized services to the small

investors apart from its normal dealings in shares and debentures with a
view to having more business and a diversified risk.

3. The banks upgraded their data management system by recording the

information on computers and reduced huge paperwork. This was done to
improve the efficiency of the banks.

In all the examples above, companies have made significant changes to their
customer groups, products, and the technology, so as to have a high growth.

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Chapter 5:

HOW TO SALE? THINGS TO REMEMBER

How to sale? Is currently one of the major question that bring to our minds,
people often ask the same question, they ask it goggle, in person, to their
mentors and literally every other person. The purpose is everybody & each one
of us wants to understand how to sale, how to prepare that perfect pitch which
can get them results.

Things to remember:

Sale is not a Power Point Presentation which you can prepare in person then
pitch it somebody and expect magical results to happen!

Surprisingly sale is just a three way process, it just involve Three Questions.

Question which you need to ask your client:

1. Where they are today? / What is their current standard?

2. Where do they want to reach? / What is their goal?
3. What is that one thing which is stopping them to reach that goal? /
this means why they are not able to reach to that point today?

If you can understand that problem and then provide the solution which you have
which can either make them achieve their goals faster or in a easier way or in a
better way, then magically the sales will happen.

These are the core question which sums up the logical aim of selling, you will not
be needing any fancy presentation or fancy sales person.

Thing to remember:

32
Find the pain point of your client and the sales is done

Chapter 6:

LESSONS TO LEARN FROM THE EXAMPLES OF STRATEGIES

APPLIED BY SUCCESSFUL BUSINESSES

1. Tesla, Inc. (www.tesla.com)

Tesla, Inc. (formerly Tesla Motors, Inc.) is an American electric

vehicle and clean energy company based in Palo Alto, California. Tesla's
current products include electric cars, battery energy storage from home to grid
scale, solar panels and solar roof tiles, and related products and services.

The CEO of Tesla Mr. Elon Musk is currently the world's second richest
person, according to the Bloomberg Billionaire Index, after overtaking
Microsoft billionaire Bill Gates.

Tesla being the biggest automobile company in the world and interestingly their
marketing budget for paid media is 0.

1) Exclusive premium buying process:

There are only limited number of cars of a particular model which can only be
order through online process, no salesmanship & no dealership

2) CEO‘s personal branding:

Elon Musk is one of the most followed personalities on twitter that‘s every time
when the new model is in market only one tweet about the new model is
enough for marketing

3) The winning vision statement of Tesla:

We want to create the most compelling car company in the world

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 2. Amazon:

It is an American multinational technology company based in Seattle, Washington,

which focuses on e-commerce, cloud computing, digital streaming, and artificial
intelligence. It is considered one of the Big Five companies in the U.S. information
technology industry, along with Google, Apple, Microsoft, and Facebook.

CEO of Amazon Mr. Jeff Bezos is currently the World‘s no. 1 riche person with
the net worth on $187.0 B

Introduced “cash on delivery”

Amazon‘s entire strategy was to take money first and then deliver the product
however Indians don‘t trust online websites so easily that‘s why Amazon started
the concept of ―Cash on Delivery‖ for the first time in the world

3. Mc Donald ( www.mcdonalds.com / www.corporate.mcdonalds.com):

McDonald's Corporation is an American fast food company, founded in 1940 as

a restaurant operated by Richard and Maurice McDonald, in San Bernardino,
California, United States.

CEO: Christopher John Kempczinski is an American business executive, and the

president and chief executive officer of McDonald's Corporation

Introduced “Aloo Tikki burger in India”

For the first time in the world Mc Donald started/ introduced ―Aloo Tikki burger‖
in India because Indians love potatoes and Indian spices. Mc Donald didn‘t have
any Veg Burger before that

4. Dunking donuts (www.dunkingdonuts.com):

34
The Dunking Donuts is an American multinational coffee and doughnut company.
It was founded by William Rosenberg in Quincy, Massachusetts, in 1950.

CEO: David Hoffmann

Introduced “Maska and Chai”

They realised that Indians are not going to enter their shops just to eat donuts that
is why they launch ―Muska and Chai‖ for the first time in the world

35
Chapter 7:

OPPORTUNITIES / DOORS OF MARKETING

Have you ever stopped and think in how many different ways you can market your
products and consequently increase you sale.

1. Above the Line Marketing (ATL Marketing):

Above the line marketing is using mass media to market to a wide audience.
The strength of above the line marketing is potential reach; the downside is often
relevancy. This kind of marketing is the kind of marketing that has a very broad
reach and is largely untargeted. Think about a national TV campaign, where
viewers across the nation see the same advert aired across the various networks.
This kind of marketing is mostly used for building brand awareness and goodwill.

Subheads of ATL Marketing:

I. Newspapers: Newspapers are one of the traditional mediums used by

businesses, both big and small alike, to advertise their businesses.

Advantages

• Allows you to reach a huge number of people in a given geographic area

• You have the flexibility in deciding the ad size and placement within the
newspaper

• Your ad can be as large as necessary to communicate as much of a story as you

care to tell

36
• Exposure to your ad is not limited; readers can go back to your message again
and again if so desired.

• Free help in creating and producing ad copy is usually available

• Quick turn-around helps your ad reflect the changing market conditions. The ad
you decide to run today can be in your customers' hands in one to two days.

Disadvantages

• Ad space can be expensive

• Your ad has to compete against the clutter of other advertisers, including the
giant‘s ads run by supermarkets and department stores as well as the ads of your
competitors

• Poor photo reproduction limits creativity

• Newspapers are a price-oriented medium; most ads are for sales

• Expect your ad to have a short shelf life, as newspapers are usually read once and
then discarded.

• You may be paying to send your message to a lot of people who will probably
never be in the market to buy from you.

• Newspapers are a highly visible medium, so your competitors can quickly react
to your prices

• With the increasing popularity of the Internet, newspapers face declining

readership and market penetration. A growing number of readers now skip the
print version of the newspaper (and hence the print ads) and instead read the online
version of the publication.

37
 II. Magazines: Magazines are a more focused, albeit more expensive,
alternative to newspaper advertising. This medium allows you to reach
highly targeted audiences.

Advantages

• Allows for better targeting of audience, as you can choose magazine publications
that cater to your specific audience or whose editorial content specializes in topics
of interest to your audience.

• High reader involvement means that more attention will be paid to your
advertisement

• Better quality paper permits better colour reproduction and full-colour ads

• The smaller page (generally 8 ½ by 11 inches) permits even small ads to stand
out

Disadvantages

• Long lead times mean that you have to make plans weeks or months in advance

• The slower lead time heightens the risk of your ad getting overtaken by events

• There is limited flexibility in terms of ad placement and format.

• Space and ad layout costs are higher

III. Radio

Advantages

• Radio is a universal medium enjoyed by people at one time or another during the
day, at home, at work, and even in the car.

38
• The vast array of radio program formats offers to efficiently target your
advertising dollars to narrowly defined segments of consumers most likely to
respond to your offer.

• Gives your business personality through the creation of campaigns using sounds
and voices

• Free creative help is often available

• Rates can generally be negotiated

• During the past ten years, radio rates have seen less inflation than those for other
media Disadvantages

• Because radio listeners are spread over many stations, you may have to advertise
simultaneously on several stations to reach your target audience

• Listeners cannot go back to your ads to go over important points

• Ads are an interruption in the entertainment. Because of this, a radio ad may

require multiple exposures to break through the listener's "tune-out" factor and
ensure message retention

• Radio is a background medium. Most listeners are doing something else while
listening, which means that your ad has to work hard to get their attention

IV. Television

Advantages

• Television permits you to reach large numbers of people on a national or regional

level in a short period of time

• Independent stations and cable offer new opportunities to pinpoint local

audiences

39
• Television being an image-building and visual medium, it offers the ability to
convey your message with sight, sound and motion Disadvantages

• Message is temporary, and may require multiple exposures for the ad to rise
above the clutter

• Ads on network affiliates are concentrated in local news broadcasts and station
breaks

• Preferred ad times are often sold out far in advance

• Limited length of exposure, as most ads are only thirty seconds long or less,
which limits the amount of information you can communicate

• Relatively expensive in terms of creative, production and airtime costs

2. Below the Line Marketing (BTL Marketing):

This kind of marketing is the kind of marketing that targets specific groups
of people with focus. For example, a leaflet drop in a specific area, a Google Ad
words campaign targeting a certain group or a direct telemarketing campaign
targeting specific businesses. This kind of marketing is best for conversions and
direct response.

Sub Heads of BTL Marketing:

I. Price promotions

Price promotions are also commonly known as" price discounting". These can be
done in two ways:

(1) A discount to the normal selling price of a product, or

(2) More of the product at the normal price. Price promotions however can also
have a negative effect by spoiling the brand reputation or just a temporary sales

40
boost (during the discounts) followed by a lull when the discount would be called
off.

II. Coupons

Coupons are another, very versatile, way of offering a discount. Consider the
following examples of the use of coupons:

- On a pack to encourage repeat purchase

- In coupon books sent out in newspapers allowing customers to redeem the

coupon at a retailer

- A cut-out coupon as part of an advert

- On the back of till receipts

The key objective with a coupon promotion is to maximize the redemption rate -
this is the proportion of customers actually using the coupon.

It must be ensured when a company uses coupons that the retailers must hold
sufficient stock to avoid customer disappointment.

Use of coupon promotions is often best for new products or perhaps to encourage
sales of existing products that are slowing down.

III. Gift with purchase

The "gift with purchase" is a very common promotional technique. In this scheme,
the customer gets something extra along with the normal good purchased. It works
best for -Subscription-based products (e.g. magazines) -Consumer luxuries (e.g.
perfumes)

IV. Competitions and prizes

41
This is an important tool to increase brand awareness amongst the target consumer.
It can be used to boost up sales for temporary period and ensure usage amongst
first time users.

V. Money refunds

Here, a customer receives a money refund after submitting a proof of purchase to

the manufacturer. Customers often view these schemes with some suspicion -
particularly if the method of obtaining a refund looks unusual or onerous.

VI. Frequent user / loyalty incentives

Repeat purchases may be stimulated by frequent user incentives. Perhaps the best
examples of this are the many frequent flyer or user schemes used by airlines, train
companies, car hire companies etc.

VII. Point-of-sale displays

Shopping habits are changing for the people living in metropolitan cities. People
prefer big retail outlets like Big Bazaar to local kirana stores. Most of the decisions
of buying are taken by the virtue of point-of-sale displays in these retail outlets.

3. Through the Line Marketing (TTL Marketing):

This kind of marketing is really an integrated approach, where a company would

use both BTL and ATL marketing methods to reach their customer base and
generate conversions. It might seem obvious, although not all marketing
campaigns are like this – some are ATL only and some are BTL only (it would be
much more common to see a BTL-only marketing campaign in practice
though).This kind of marketing delivers both a wide reach and a focus on
conversions.

Things to remember:

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ATL marketing definition: Above-the-Line Marketing- widespread brand-
building advertising

BTL marketing definition: Below-the-Line Marketing- highly targeted direct

marketing focused on conversions

TTL marketing definition: Through-the-Line Marketing- integrated ATL and

BTL marketing campaigns

The terms ATL and BTL were first used in 1954 after Proctor and Gamble began
paying advertising firms separately (and at a different rate) from other suppliers
who dealt with more direct promotional efforts. In effect, marketing that was more
broad in nature was separated from marketing that was more direct in nature.

4. Account-based Marketing:

Account-based marketing is an alternative B2B marketing strategy that targets

customers who have a particular type of account. It‘s a form of segmentation [and
in marketing, specificity is always a good thing].

Account based marketing can help companies to:

43
  Increase account relevance

 Engage earlier and higher with deals

 Align marketing activity with account strategies

 Get the best value out of marketing

 Inspire customers with compelling content

 Identify specific contacts, at specific companies, within a specific market

5. Acquisition Marketing:

This is a marketing tactic that's sole purpose is to bring new customers or clients to
a business. The ultimate aim is to create an acquisition marketing strategy that runs
on autopilot. Customer acquisition refers to bringing in new customers - or
convincing people to buy your products. It is a process used to bring consumers
down the marketing funnel from brand awareness to purchase decision.

Top 10 examples of Acquisition marketing:

a) FLIPKART- WALMART: Wal-Mart acquired 77% Flipkart for $16 billion,

making it the largest acquisition involving an Indian company, in 2018.
b) TATA STEEL-CORUS: In 2007, Tata Steel took over European steel major
Corus for the price of $12.02 billion, making the Indian company, the
world‘s fifth-largest steel producer.
c) VODAFONE-HUTCHISON ESSAR: In 2007, the world‘s largest telecom
company (at the time) in terms of revenue, Vodafone, made an entered the
Indian telecom market by acquiring a 52% stake in Hutchison Essar Ltd.
Vodafone purchased 52% stake in Hutchisson Essar for about $10 billion.
d) HINDALCO-NOVELIS: Hindalco Industries Ltd. is a subsidiary of the
Aditya Birla Group and Novelis is a world leader in the production of flat-
rolled aluminum products. The Hindalco Company acquired the Canadian

44
 company Novelis for $6 billion, making the combined entity the world‘s
largest producer in rolled-aluminum.
e) RANBAXY-DAIICHI SANKYO: In 2008, Daiichi Sankyo Co. Ltd., signed
an agreement to acquire the entire shareholders of Ranbaxy Laboratories
Ltd, India. Ranbaxy‘s sale to Japan‘s Daiichi was priced at $4.5 billion.
f) ONGC-IMPERIAL ENERGY: In early 2009, Oil and Natural Gas Corp. Ltd
(ONGC) took control of Imperial Energy, a UK Based firm operating in
Russia for the price of $1.9 billion.
g) MAHINDRA & MAHINDRA-SCHONEWEISS: In 2007, Mahindra &
Mahindra acquired 90 percent of Schoneweiss, a leading company in the
forging sector in Germany. This consolidated Mahindra‘s position in the
global market.
h) STERLITE-ASARCO: In the year 2009, Sterlite Industries, a part of the
Vedanta Group, signed an agreement to acquire the copper mining company
Asarco for the price of $2.6 billion.
i) TATA MOTORS-JAGUAR LAND ROVER: Tata Motors‘ acquisition of
luxury car maker Jaguar Land Rover was for the price of $2.3 billion, in
2008.
j) SUZLON-REPOWER: Wind Energy premier Suzlon Energy acquired
RePower for $1.7 billion. Suzlon Energy Limited is a wind turbine supplier
based in Pune, India and RePower systems SE (now Senvion SE) is a
German wind turbine company founded in 2001, owned by Centre bridge
Partners.

6. Affiliate Marketing:

45
Affiliate marketing is the act of marketing someone else‘s brand, website, product
or service in return for a fee. The fee is performance-based. The more successful
the affiliate marketing is, the more the affiliate will get paid.

7. Affinity marketing : Also known as partnership marketing affinity marketing is

about creating strategic, mutually beneficial partnerships.

Businesses partner together so that they can leverage different audiences and
increase their brand awareness.

8. Agile marketing: Agile marketing is about being open, receptive and

responsive to change with your marketing strategy. As the name suggest, it‘s about
being flexible and not sticking to a rigid plan.

You could say, then, that agile marketing is more of an attitude than a
strategy. Inspiration for the term comes from the techie world of agile
development, where iterations to software would be steady and incremental.

7. Alliance marketing : As with affinity or partnership marketing, alliance

marketing is about two businesses collaborating. The difference with alliance
marketing is that the collaboration runs deeper.

Companies that are teaming up [because it can be more than one] pool their
resources to promote and sell a product or service.

8. Ambush marketing: A business that uses ambush marketing will attempt to

associate its products or services with an event that already has official
sponsors. As the name suggests, companies use this low-cost tactic to ambush
events and compete for exposure against competitors.

9. Article marketing:

Article marketing is a type of advertising in which businesses write articles and

then strategically placed on the internet. Articles need to be about relevant topics.

46
Once written, they‘re distributed to news outlets, article banks, forums, PR sites
and article submission sites.

10. Augmented marketing: Augmented marketing is the idea of adding value to a

proposition via an additional, innovative offer.

The word ‗augmented‘ means ―having been made greater in size or value‖. So by
laying on extra benefits, augmented marketing increases the chances of a sale.

You‘ll find stacks of examples in the pizza industry, where you find lots of 'buy
one, get one free' offers.

11. Behavioural marketing: Behavioral marketing is marketing to consumers

that‘s automated, but nonetheless based on their behaviour. It is an online
marketing strategy.

Typically, behaviours that trigger a certain marketing message would be when

someone:

 Clicks on a link.

 Visits a certain web page.

 Downloads a PDF.

 Buys something.

 Shares or likes a post on social media

12. Below the line [BTL] marketing

 Below the line marketing is targeted marketing that doesn't use mass media
[so not things like TV, radio, social media and similar things that are widely
consumed]. It‘s the opposite of above the line marketing [see number

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 13. Black hat marketing: Black hat marketing refers to unethical SEO tactics.
Google analyzes websites against certain criteria before deciding what to rank
where. There are ways of cheating the system, but doing so would be gambling
with your business. It‘s just not worth it. Any gains are likely to be short-term;
if Google catches on, you can expect your website to incur a penalty

14. Brand marketing:

Brand marketing is the concept of marketing an identity [and not a product or

service]. Most businesses know that they have to work out their brand positioning.
They need to understand what they stand for, what their USPs is and what the
perception of their company are. Sometimes, certainly over the long-term, it pays
off to communicate values over items because it‘s more conducive to encouraging
customer engagement and loyalty.

15. Brick and mortar marketing:

Quite simply, brick and mortar marketing is any form of marketing that exists in a
retail shop.

16. Business to business [B2B] marketing:

Quite simply, B2B marketing happens when one business markets a product or
service to another.

17. Business to consumer [B2C] marketing:

B2C marketing refers to any marketing that‘s specifically dedicated to consumers.

18. Business to people [B2P] marketing:

Business to people marketing is a B2B marketing strategy which recognises that,

in reality, it's not the businesses [as entities] that are buying what you're trying to
sell. It's actually still people that are doing the purchasing [in the form of decision

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makers]. This shift in perspective results in bespoke, personal marketing [which is
always more effective].

19. Buzz marketing:

Buzz marketing is marketing that seeks to induce drama, excitement and

anticipation about a product. When it works, buzz marketing is amazing. The
trouble is, if you get a campaign wrong, everything can fall flat. A poor result can
even wreak havoc with your brand image.

Apple is great at buzz marketing. They sell great gadgets, but have nevertheless
mastered the art of building excitement without saying much.

20. Call centre marketing:

Call centre marketing happens when a business authorizes a specialist company [a

call centre or contact centre] to cold call people [and market a product or service].

21. Call to action [CTA] marketing: This is the name given to any online
marketing collateral that prompts someone to take a specific action. So, we're
talking about any banners, buttons, copy or graphics that ask users to do something
[like download a PDF, subscribe to a newsletter or click a link].

Typically, this action would lead to the user entering some sort of sales funnel.

22. Catalogue marketing:

Catalogue marketing is the act of using a catalogue to showcase products or

services. It‘s a type of direct marketing [see number 48] that‘s most popular with
mail order retailers. Catalogue marketing might seem like a slightly old fashioned
form of marketing, but, perhaps surprisingly, research indicates the people still like
being able to thumb through a catalogue.

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There‘s something about physical marketing that works.

23. Cause marketing:

Cause marketing is attaching some sort of charitable or inspirational angle to a

product, service or brand. Crucially, cause marketing only works when you find a
cause that both the business and its customers care about.

24. Celebrity marketing: Celebrity marketing means getting a celebrity to

endorse a product or service.

The logic is that celebrity endorsements increase sales because consumers can
connect and identify with someone. In other words, to them, it feels like they‘re
buying from the celebrity and not a faceless business.

25. Channel marketing:

Channel marketing is any marketing strategy that helps a product or service reach
the consumer in a quicker, more efficient way.

In business, a ‗channel‘ is all the activities and people involved in taking

something from production to consumption. That‘s stuff like manufacturers,
wholesalers, distributors, retailers, marketing collateral and suchlike.

Interestingly, although this tactic is known as celebrity marketing, a product

doesn‘t need an endorsement from a famous superstar. The ‗celebrity‘ just needs to
be a person who is well known to the target audience.

26. Close range marketing [CRM]

Brands who like close range marketing use WiFi or Bluetooth to send promotional
messages to customers‘ smart phones or tablets. This is usually an in-store
experience, because the customer‘s device must be within range of the shop‘s
transmitter or beacon.
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Also known as proximity marketing close range marketing is a very modern
strategy.

27. Closed loop marketing:

Closed loop marketing is the act of using information and performance data to
produce more effective marketing strategies.

By analysing what‘s working with a campaign and what isn‘t, a business can
eliminate a degree of guesswork from their next project. As the phrase goes, this
reduces uncertainty and ‗closes the loop‘.

28. Cloud marketing:

Cloud marketing is simply using all the modern tools on the internet to continually
connect with and market to customers.

Today, businesses are able to surface the same marketing message in multiple
places. So you might see one ad advert in an email, on a website, on Twitter, on
YouTube, or in your Face book feed.

29. Communal marketing:

Communal marketing happens when a business uses customers‘ stories about a

product or service in a promotional campaign. It‘s marketing that aims to create a
deeper bond between a business and its customers. It‘s very effective because the
people are real.

When they talk about their experiences, it helps non-customers identify with the
product easier. They can see themselves feeling and experiencing the same things.

29. Communal marketing:

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Communal marketing happens when a business uses customers‘ stories about a
product or service in a promotional campaign. It‘s marketing that aims to create a
deeper bond between a business and its customers. It‘s very effective because the
people are real.

When they talk about their experiences, it helps non-customers identify with the
product easier. They can see themselves feeling and experiencing the same things.

30. Community marketing:

Community marketing is any marketing that concentrates on an existing customer

[as opposed to new customers].

Sometimes known as loyalty marketing, community marketing is useful because

the cost of maintaining a customer will always be cheaper than the cost of
acquiring a new one.

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Chapter 8:

BRAND LOYALTY & WAYS TO CREATE BRAND LOYAL

CUSTOMERS

Brand loyalty is the favour given by a consumer in order to buy a specific brand in
a particular product category. Consumers, who give a type of preference for a
brand, have the following mindset:

―I am committed to this brand‘,

―I am willing to pay a higher price for this brand over other brands‖ and

―I will recommend this brand to other‖, a good loyalty can lead to various and
numerous benefits such as an improved market share, lower marketing cost and
improved opportunities for brand extension

In view of Philip kotler, a customer’s loyalty to specific brands has been a big
focal point of strategic marketing planning over the last years. Brand is the image
for a product in a market. Brand loyalty meaning a situation in which a
consumer generally buys the same manufacturer originated product or

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service repeatedly over time rather than buying from more suppliers within
the same category.

Brand loyalty generation:

The usual process of brand loyalty generation is that initially, a consumer makes a
trial purchase of a specific product from a given brand. If the product meets the
customer‘s expectations and gives satisfaction, the consumer often forms a habit of
buying this same product or service.

Six magical ways to create brand loyal customers:

Ask questions: The first step involves asking the customers what they really want,
in the huge sense of the question. This includes that they need in general, what
they are trying to accomplish, what image they are trying to portray, how they
want to be served and so on.

Communicate: The second step is communicating to the customers what they

should expect from the brand. It is of no use to try and please everyone and try to
be all things. Some of strategy usually ends up in too many things half-heartedly
and satisfying no one. Instead, companies should figure out their core
competencies and focus on them, delivering outstanding products and services in a
given area.

Creating ways to provide feedback by customers: Following third step is to

create easy ways for the customers to provide feedback about their brand after
using it. This step is forgotten by many companies. Companies should be creative
in finding ways to get customer feedback regularly and practice it to make sure
that the customers know about these ways.

Listen to your customer: The fourth step, which is closely related to the third one,
is listening to what your customers says about product attributes that actually they
need. This includes both utilizing the customer feedback, as suggested in the third

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step, but also other ways people communicate about their brands, such as through
the Internet or using marketing research agencies. This process needs to be done
on a regular basis with fail.

Repeat the process: The final step is that of repetition of above all process. The
whole process needs to be repeated constantly in order to be successful and
generate higher levels of loyal customers.

Significant effect of brand loyalty:

There are three important outcomes that are the backbone of the importance of
brand loyalty. The first reason pointed out is that companies with high brand
loyalty provide huge sales volumes. According to AnthonyGiddens studies- an
English sociologist, the average company loses around approximately 13% of their
customer base every single year and that shows just how challenging it can be in
the competitive environment of the modern marketing trend. To achieve a mere
1% of annual growth, the sales need to increase by 14% to both new and existing
customers. By reducing customer loss, business growth can be dramatically
improved and brand loyalty can be increased slowly. Those two factors lead to
more consistent sales of greater sales volumes, due to the fact that the same brand
is purchased by the customers repeatedly. The second reason for the importance of
brand loyalty mentioned is premium pricing ability. Giddens and Hofmann stated
that with increased levels of brand loyalty, consumers become less price-sensitive
obviously. They are ready to pay higher cost for their preferred brand because they
sense some special and unique value in that given brands that other brands do not
provide. On top of that, loyal customers are less prone to chase after discounts.
The third and final reason is connected to product search. Customers who loyal to
a particular brand are ready to search for that brand and are less sensitive to
competitors. It causes in lower advertising costs, marketing expenses and

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distribution expenditure. Attracting a new customer costs up to four to six times as
it does to retain an already existing one.

The customer loyalty can reduce susceptibility to competitive actions very much,
since competitors may be discouraged from spending their time and money in
order to attract already satisfied customers. Yet another positive effect of brand
loyalty is that loyal customers often provide more valuable suggestions to
companies, allowing them to enhance their products and services accordingly to
the consumers‘ desires. Finally, loyal customers allocate proportionally more of
their budget to their ―first choice‖ brand than customers who switch to another
brand later on. On top of that, it has been confirmed that loyalty can increase
customers‘ ―forgiveness‖, should a failure in service or quality occur and the
resistance to premium prices is also reduced.

Chapter 9:

MARKETING TREND THAT WILL DRIVE FUTURE:

The definition of what we consider as ―marketing‖ is constantly changing and

becoming broader. Marketing has moved beyond branding and advertising;
marketers must work together with other departments to focus on building great
customer experiences and engaging them for long-term relationships.

Below is the list of marketing trend that will drive future:

1. World class customer experience:

The growth of online content has given consumers more power. They are no
longer a passive party when it comes to learning about products. They‘re not
waiting for you to tell you how great your products are. Instead, they‘re going out
and doing their own research. So you have to offer them something more than
information. Hence the priority has moved towards providing fantastic customer
experiences that will keep people coming back for more. In a sense, when you

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focus on building a positive business culture and providing great service, the
marketing almost takes care of itself.

2. Employee Activation:

Your employees are the human face of your brand, so concentrating on

interactions between your employees and your customers should be a key part of
your marketing strategy. When you‘re turning the responsibility of creating a great
customer service over to your employees, you need to make sure that they want
your business to succeed as much as you do. The key to this is building a solid
foundation of employee engagement and taking steps to ensure every employee
understands and is aligned with your brand mission and values.

3. Visualization:

With the explosion of smart speakers and voice search in recent years, you‘d be
forgiven for thinking that ―readable‖ content is more important than visuals and
design these days. In fact, this couldn‘t be further from the truth. While
advancements in voice search are certainly influencing the way that we‘ll create
content now and in the future, you shouldn‘t neglect visual content either. Visuals
are also easier to remember than written content. Adding data visualizations, info-
graphics, images, and videos to your text not only makes it more interesting and
attractive, but it can help your message to be absorbed better too.

4. Personalization- Your key to their heart:

When a customer has two relatively equal products in front of them, and they
needs to decide which one he or she will buy, my money‘s on the brand that won
their heart. One of the ways to engage your customers‘ hearts as well as their heads
is to personalize marketing to meet their needs.

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5. Focus on Customer Retention, Loyalty and Advocacy:

Recurring customers are more valuable than new customers. Loyal customers also
help to increase the reputation and awareness of your brand as they‘ll talk about
your company and products with their friends and family. Happy customers make
great (and free!) brand ambassadors and influencers.

6. Gen Z will influence Marketing more than Millennials:

Generation Z consists of people who were born from 1995 to 2010. These young
people have grown up in a digital world and have very different viewpoints than
generations that came before them. They‘re also more diverse than any other
generation in history. The first millennials are now approaching their 40 th birthday.
While this age group still makes up a significant proportion of the audience of
many marketers, some predictions made about their importance have fallen short
of the mark. If you‘ve been focusing your marketing strategy on Millennials, it
may be time to take a step back and come up with some new ideas for reaching the
workforce and decision-makers of tomorrow.

7. Growth in emerging markets and a more diverse audience:

Emerging markets in Asia have grown significantly over the last decade and are
expected to continue to grow over the next ten years. The smaller businesses can
market globally too. The key to success is embracing diversity from the inside.
Companies that strive for a diverse workforce and corporate culture will find that
marketing innovation flourishes naturally.

8. Integrated online offline customer experience:

Physical stores with little online presence have been struggling more in recent
years. For many businesses, the 2020 pandemic proved difficult as seeing an
unprecedented number of store closures.

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Conversely, many online retailers and digital brands have thrived. Massive
numbers of consumers have shifted to moving more and more of their purchases
and everyday activities online. However Consumers still prefer physical stores.
But brands must adjust their marketing strategy to take advantage of this increased
digitalization.

9. Consumerism:

Today‘s consumers are more aware than ever before of the effect their buying
habits have on the environment and society. People are taking more care over the
products they choose to buy and the brands they choose to associate with. In the
near future brands will be expected to be ethical in all of their business practices
and use their resources to be a force for good in the world. Those that don‘t will be
left behind as customers choose brands that align with their own values.

Brand responsibility goes beyond marketing. But marketing the things that a
company is doing to make a positive difference in the world may end up being
more effective than advertising its products.

10. The Internet of Everything:

In 2020 the Internet of Things (IoT) has already made significant changes in how
consumers interact with brands. Over the next decade, this trend will ramp up even
more as it becomes the norm for everyday devices to be connected to the internet.
Smartphone‘s, smart watches, and smart TVs are already commonplace. The
technology is becoming smaller and cheaper all the time. In the not-too-distant
future, it‘s likely that almost every electronic device will be ―smart‖ in some way.
Even more striking, smart microchips are already being implanted in humans. This
information can then be used to personalize the customer experience and provide
easier communication and engagement with the brand.

11. Hyper-Local Marketing

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Along with the growth of IoT devices and increased expectation for personalized
customer experience comes increased used of geolocation data in marketing. Local
marketing is certainly not a new concept. Even the largest global brands recognize
the value of customizing their marketing messages on a local level. And search
engines like Google have become very good at serving up businesses in the local
area whether you‘re looking for a coffee or a new pair of shoes.

Now that everyone has a Smartphone, potential customers can be targeted with
marketing messages as soon as they‘re detected to be within a certain distance
from a store. Geofencing means that brands can deliver personalized messages to a
very small set of individuals who are more likely to buy (location-based marketing
has been found to be 20x more effective than standard ads.) This reduces
marketing spend. Budget is not wasted on prospects who are less likely to result in
a sale.

Combining geolocation and IoT technology means some very sophisticated and
personalized marketing is possible. For example, a customer could get a reminder
that they‘re running low on eggs as they‘re passing close to the grocery store.

While marketing trends come and go, the basics of success remain the same:
understand the needs of your audience and communicate with them clearly and
consistently. That‘s why customer-focused content has always been the best way
to establish solid relationships with your audience. It goes without saying that
content marketing will continue to dominate the digital marketing landscape for
some time to come. Most of these trends rely on content in some way. To have
success in them you‘ll need to have a solid base of quality content across all your
marketing channels

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Chapter 10

DIGITAL MARKETING

Indeed the technological changes are significantly altering the behaviour of the
consumer across globe. Consumers have become ―prosumers‖ whereby consumers
are not only at the receiving end but are also getting actively involved in co-
creating, customizing and passionately promoting the marketing content in socially
connected era. This change is affecting the lives of both the marketers and
consumers in concrete ways. The greatest example of change is the ―internet‖ that
has significantly altered the ways of communication, sharing and finding
information and doing business. The tremendous growth of the internet and
particularly the ―World Wide Web‖ (WWW) made consumers and firms
participating in a global online marketplace which eventually urged marketers to
try and deal with the innovative ways of marketing in computer- mediated
environments. This interactive medium of today has crossed the borders of a

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conventional computer‘s screen and has embraced many digital devices namely
mobile phones, smart phones, tablets, digital outdoors and digital TV. This
revolution in digital technologies has urged companies to restructure the marketing
practices, especially in communication to engage successfully with past, present
and potential customers

Digital marketing- a concept:

Digital marketing as a concept is used differently by different people. Many times

it is used synonymously with ―internet or web marketing‖, ―e-marketing‖, ―e-
commerce‖ and ―e-business‖. Although, these terms are inter-related, yet there lies
difference among all the terms

Internet marketing refers to the promotion of goods and services over internet
requiring a real time live internet connection

E-business is a broader term that deals with application of technology in

businesses internal processes and transactions with third party.

It involves e-commerce which represents its commerce side and e-marketing

which includes its marketing side.

E-marketing also known as ―electronic marketing‖ makes use of internet and

digital technologies and involves the promotion of goods or services through
electronic methods or media.

E-commerce which reflects the commercial side of the business refers to buying
and selling using the internet and involves the financial transactions using
electronic media.

The term ―digital‖ can be defined as a data transmission technology which is finite
and non-variable in nature (Kaufman and Horton, 2014). Digital is expressed in
contrast to ―analog‖ which is a continuous data transmission technology. A

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marketing action becomes digital if relies over a digital medium to execute a
marketing function. Digital marketing differentiates itself from the internet
marketing as digital marketing not only includes the channels that require real time
internet connection, but also includes digital outdoors, digital TVs, SMS (Short
Message Service), billboards, mobile apps, MMS (Multimedia Message Service),
call-back and on-hold mobile ringtones, e–books and games with a digital platform
which can run offline too. It uses digital devices, channels and platforms
irrespective of their online or offline nature. Moreover emergence of new age
concepts like wearable technology and augmented reality is pushing the
boundaries of digital marketing beyond internet So, it can be said that internet
marketing is a subset of digital marketing.

Internet the core of digital marketing:

Internet, probably the most important invention of 20 thcentury, has changed the
scope of marketing. It has emerged as a medium serving multi-channel function of
marketing, sales, distribution and relationship building. Now products are
positioned, marketed, distributed and purchased over internet. Internet has also
altered the traditional marketing mix strategy. It enables the marketer to sell more
variety of mass customized products. Internet facilitates the easy price comparison
among available products for the customers. Internet has added a new channel of
distribution which is convenient, fast and easy. Promotion has experienced the
paradigm shift whereby conversations have taken place of commercial messages
and customers have become story tellers. Marketers are now using many
marketing tactics to implement the digital marketing strategy like SEO*(Search
Engine Optimization), SEM* (Search Engine Marketing), affiliate marketing* and
PPC* (Pay-per-click) and others.

Digital Marketing Communication:

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Marketing communication can be defined as an exchange process dealing with
ideas, thoughts and information between two parties i.e. the marketer and
consumers with the aim of achieving commonality. It is an activity aimed at
conveying information like promoting a product, new product launch and
community initiatives that a marketer wishes to share with public or customers.

Digitalization of communication channels has enabled corporate to build both the

private and public channel of communication.

Various modern digital marketing channels used by the marketers namely the
websites, social networking sites, YouTube, online communities, e-mails, mobile
phones, digital TV and digital outdoors. However broadly classifying digital
channels into content based platforms and digital devices can further simplify the
understanding about digital marketing channels. Content based platforms include
websites, social networking sites, online communities, e-mails and others. Digital
devices include computers mobile phones, digital TV, digital outdoor and others.

Content Based Platforms

Content based platforms include websites, social networking sites, online

communities and e-mails. The section given below gives the details of content
based digital platforms:

a) Website: A company‘s website is a significant communication tool between a

marketer and its customers and lies at the heart of digital marketing. Design and
information content of a website positively affects the customer satisfaction.
Website is normally the first among the digital channels that potential customers
use to explore the information about the marketer. A consumer may explore the
website for seeking information only or may use this platform for buying products.
Websites can be classified into blogs, brand building sites, corporate websites-
commerce site, government site, media sharing site, news site, search engine site,
social networking site and webmail.
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b) Social Networking Sites: Social networking sites have emerged as one of the
most powerful marketing channels for marketers across the globe. They are based
on social media platforms that include online technologies, practices and
communities used by people to create content in the form of text, audio, video
etchant share feelings, knowledge, opinion and experiences with each other.

i. ―YouTube‖ has emerged as one of the most used video sharing social
networking site in recent times. It is one of the most prevalent video sharing
social networking sites where users can upload, share and watch videos.
Vast majority of the content over this platform is uploaded by the
individuals whereas many of the organizations are considering it as a useful
communication medium.

c) Online Communities

Online communities also known as „message boards‟ or „internet forums‟ refer to

web-enabled and supported discussion sites where-by users can converse with one
another in the form of posted messages. The members primarily interact with each
other via internet. Customers have the freedom to choose and become a member of
online communities. Generally members in online communities interact via social
networking sites. However, they also share their opinion in specifically crafted
forums, discussion boards, chat rooms, blogs and comment sections of news sites.
Online communities can be formed by the enthusiast customers, marketers or third
party. Consumers exhibit lot of faith in the online communities as members
appreciate the experience of other community members.

Online communities can be free or owned depending upon the control over the
content. Free communities are built using existing free social networking sites like
―Twitter‖, ―Instagram‖, ―Face book‖, ―Snap chat‖, ―Google +‖ and many more.

Owned communities also known as ―forums‖ are generally owned by the marketer
wherein stricter control over content can be exercised by the marketer. Online
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communities especially the owned communities can be really productive for
marketer in maintaining strong relationship with its customers

d) Emails:

Emails were probably the first real manifestations of internet. Emails have been an
important digital marketing channel for marketers to engage with the customers.
Email acts as a great marketing tool for marketers for obvious reasons of precise
targeting, easiness and cost effectiveness

Digital technologies have had the most significant impact on business

communication process. These modern technologies have reshaped the marketing
communication landscape with its exceptional competencies viz. interactivity,
customization, measurability, accessibility, customer engagement and handling
huge informative bases. Innumerable internet enabled digital devices like desktops,
mobiles phones, digital TV, digital outdoors and digital watches along with
interactive platforms like websites, e-mails and social media offer themselves as a
cost effective substitute for traditional marketing in every industry irrespective
obits size, nature, location and type. So, it makes sense for marketers to focus on
technology that more and more people are embracing like never before.

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Chapter 11:

COMMUNICATION SKILLS WHICH ARE CRUCIAL FOR SALE

SUCCESS

The root of sales success is the ability to gather and provide information in a way
that makes your prospect want to do business with you. Your value proposition,
your pricing, even your product‘s features — none of that matter unless you‘re
able to get your prospects to talk to you and also listen to what you have to say.

1. Pay full attention.

We‘re all busier than ever before, and selling can be an especially pressure-filled
career. So it‘s understandable that during a client meeting, your mind could
wander over to the demo you have to prepare for this afternoon, the prospecting
you forgot to do, or the contract you‘re waiting on to come in.

You have to dedicate 100% of your attention to each call; otherwise you‘ll miss
details and make your prospect repeat things they‘ve already told you. It‘ll be
obvious when you‘re not paying attention, and that‘s no way to treat buyers.

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2. Practice active listening.

Not only do you have to listen, you have to listen actively, otherwise your
conversation won‘t really go anywhere.

3. Read body language and control your own.

The same sentence said by someone who‘s smiling, looking directly into your
eyes, and sitting up straight is received very differently when the speaker is
looking away and slouching — even if they meant the same thing both times.

That‘s because while we can say pretty much anything we want, our body
language often reveals our true intentions or meaning. Great communicators know
how to read others‘ body language so they can anticipate the direction a
conversation‘s heading, and also make sure their own body language isn‘t sending
out signals they don‘t mean to broadcast.

4. Master the nuances of voice tone.

Like body language, voice tone — your voice pitch, volume, speed, and even your
word choice — affects how the words you‘re actually saying are interpreted. And
if you‘re in inside sales, the only thing you have to make an impression is your
voice.

5. Be empathetic

You don‘t necessarily have to agree with everything your prospect is saying, but
you should always at least try to see things from their point of view. And that
means more than just saying, “Hmm, I see where you’re coming from.”

When you can draw on your knowledge of your prospects‘ actual day-to-day,
you‘re better equipped to understand what they care about, which makes it more
likely you‘ll be able to help them.

6. Understand what’s not being said.

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Prospects sometimes don‘t tell the whole truth. And that‘s okay, as long as you
know how to spot when it‘s happening. Is your prospect just evaluating your
company because his boss told him to present three options? Is your prospect sold,
but her manager, the economic buyer, isn‘t? These are crucial things to know, and
you can‘t suss them out until you learn to read between the lines.

7. Speak in specifics.

Great communicators are not persuasive because they speak in dramatic, sweeping
rhetoric. They‘re able to convince people because they can point to specific
examples or anecdotes that support the point they‘re trying to make — and in the
case of salespeople, because they can demonstrate exactly how a product or feature
will help their buyer.

Be as specific as you can. And if you can throw in a catchy sound bite or two, by
all means do it. Just don‘t rely on quippy phrases to get a deal to the finish line.

8. Be a subject matter expert.

Of course, you can‘t be specific if you don‘t have any idea what you‘re talking
about. If you sell to a specific industry, you should know those industries‘
concerns, behaviours, and buying patterns down pat. If you sell to multiple
industries, know your value prop as it relates to each cold and use customer
references as backup.

Prospects will never trust you if it doesn‘t seem like you really understand your (or
their) business, so become an expert in your relevant field.

9. Know what you don’t know.

But being an expert doesn‘t mean you know everything. Unless you‘ve shadowed
your buyer, you don‘t know exactly what they do or every nuance of their
business. So don‘t act like you do. You should know enough to sketch out the

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outlines of their situation on your own, but you‘ll always have to rely on your
prospects to fill in the little details.

Be aware of the gaps in your knowledge, then ask your prospect to help fill them
in. They‘ll appreciate your honesty about what you don‘t know, and you‘ll avoid
losing deals because of false assumptions.

10. Be genuinely curious

The key to sales is asking good questions. And if you‘re not actually curious about
your prospect‘s situation, it‘ll be all too easy to slip into your elevator pitch before
you‘ve established whether any part of it is relevant to your buyer. Great
communicators are naturally curious about their conversational counterparts, and
that‘s especially crucial in sales — ask questions first, then answer them later.

11. Assume good intent

Sometimes, prospects leave out important deals that can change the trajectory of a
deal. Sometimes, they make a commitment before they've gotten approval from the
necessary stakeholders. Sometimes, they lie on purpose.

All of the above situations are frustrating — and some are certainly caused for
annoyance. But it's often difficult to distinguish between situations where a buyer
misled you on purpose and one where they made a genuine error. Jumping to
conclusions about your prospect's intent will colour the rest of your interactions in
a negative light. Always assume good intent so you're not subconsciously treating
your prospects with hostility.

12. Always be honest.

Just because you're assuming good intent doesn't mean your prospect will, so
always be upfront about the questions you can answer, the questions you can't, and
the questions with answers your prospect might not necessarily like.

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Your prospects won't be forthright about their goals and areas for improvement
unless they trust you. That means always being upfront when you don't know
something so they believe what you're saying when you do know the answer.

14. Be persistent, not pestering.

There's a fine line between persistence and pestering, and it's crucial for
salespeople to understand it. Continuing to call and email your prospect without
knowing why they're not responding is counterproductive and can only serve to
annoy and alienate them.

If you haven't received a response to a follow-up message, try a different approach.

Instead of forwarding the same email to your prospect, start fresh with a new
headline and an easier call to action. Once you re-engage them, steer the
conversation back to business.

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Chapter 12:

A RELATIONSHIP BETWEEN MARKETING AND INNOVATION

Innovation means doing things differently, exploring new territories and taking
risks. Innovations are important in the present scenario:

a. Vulnerability of existing products to changing customer needs and tastes

b. Emergence of new technologies and Increased competition from domestic and

foreign companies

c. To make the company less skewed towards particular category of products and
services

d. To be known as pioneer in the field of breakthrough products and get early bird
advantage in customers mind

e. To skim off the market as a first entrant in product category

Innovation, in today‘s dynamic business environment has emerged as the primal

strategy for increasing revenue share and fundamentally changing the market
positioning of a company. It helps the companies to cope up with fast changing
technologies and shortening of product lifetimes. Innovation must be combined
with the ability to adapt to new market forces.

72
Marketing capability is the tool in the hands of the innovators which can determine
the success or failure of innovation in the marketplace. A firm might have a strong
R&D capability but be incapable of converting it into commercially viable
products because of a poor marketing ability. Marketing further determines the
speed of diffusion/adoption of innovations. However the Innovations increase
people‘s uncertainty, make them uncomfortable and increase their feelings of
insecurity. Even the strongest technological innovation needs to be made sellable
in order to achieve success. Thus firms in high-technology markets need to excel at
two things: the ability to come up with innovations constantly, and the ability to
commercialize these innovations into the kinds of products that capture consumer
needs and preferences. A carefully designed marketing strategy would not only
speed up the process of diffusion of innovations but also help in forming a strong
market by-

a. Selecting target markets/ customers for developing and implementing a

marketing strategy

b. Devising a marketing response to shifting customer needs

c. Understanding the nature of technological discontinuities and their impact on

markets

d. Strategizing for crossing the chasm into the mainstream market

e. Targeting a very specific, strategic niche market where the firm can dominate
from the outset and forcing competitors out of the market niche, using the niche as
the base for future operations

f. Winning over pragmatist buyers in advance of broad market acceptance through

developing a solid base of references and creating word of mouth.

A carefully planned and designed Marketing strategy is important to expedite the

consumer decision/adoption process or influence people to make favourable

73
decisions. Thus the ultimate aim of marketing strategy is to get the product
adopted by the customer leading to its diffusion. Hence the marketing strategy
must integrate the factors which lead to the adoption/diffusion of the innovation.

Key innovations that influenced marketing practice:

 1450: Gutenberg's metal movable type, leading eventually to mass-

production of flyers and brochures

 1600s: Paid advertising in Italy

 1600s: Use of handbills and posters is common practice in Elizabethan

England

 1605: World's first newspaper published in Germany

 1600s and 1700s: Posters and handbills used for promotion in England

 1665: The Oxford Gazette first published in England (later renamed

the London Gazette and still published today)

Newspapers were an early form of mass communication. Pictured: The Boston

News-Letter, 1704

74
  1700s: Widespread emergence of newspapers and magazines in England and
France; by the 1730s daily newspapers in London devoted more than half
the available space to advertising

 1719: The Daily Post first published; early instance of a periodical dedicated
to business, science and innovation

 1836: Paid advertising in a newspaper (in France)

 1839: Posters on private property banned in England

The telegraph was an early form of mass communication

 1864: Earliest recorded use of the telegraph for mass unsolicited spam

 1867: Earliest recorded billboard rentals

 1876: Films produced by French film-makers, Auguste and Louis Lumiere,

made at the request of a representative of Lever Brothers in France and
feature Sunlight soap, are thought to be the first recorded instance of paid
product placement.

75
Sunlight was an early advertiser in cinema, radio and TV. Pictured: Advertisement
for Sunlight Soap washing powder, 1897

 1880s: Early examples of trademarks as branding

 1902: The first marketing course, taught by Edward David Jones, was
offered at the University of Michigan

 1905: The University of Pennsylvania offered a course in "The Marketing of

Products"

 1908: Harvard Business School opens - Harvard was an early influence on

marketing thought

 1920: The magazine, Variety, reports that 50% of cinemas show advertising
programmes

 1920s: Radio advertising commences

 1940s: Electronic computers developed

 1941: First recorded use of television advertising

76
 1955: Television viewing exceeded radio listening for the first time in
Britain

 1950s: Systematization of telemarketing

 1957: Three key scholarly texts published Wroe Alderson's Marketing

Behaviour and Executive Action; Howard's Marketing Management and
Lazer's Managerial Marketing: Perspectives and Viewpoints

 1960 E. Jerome McCarthy published his now classic, Basic Marketing: A

Managerial Approach (1960).

 1970s: E-commerce developed

 1980s: Development of database marketing as precursor to CRM

 1980s: Emergence of relationship marketing

 1980s: Emergence of computer-oriented spam

 1984: Introduction of guerrilla tactics

 1985: Desktop publishing democratises the production of print-advertising

(precursor to consumer-generated media and content)

 1991: IMC gains academic status

 Mid 1990s: Modern search engines started appearing in the mid-1990s, with
Google making its debut in 1998

 1990s CRM and IMC (in various guises and names) gain dominance in
promotions and marketing planning,

 1996: Identification of viral marketing

 2000s: Integrated marketing gains widespread acceptance with its first

dedicated academic research centre opened in 2002

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  2003 -2006: Emergence of social media. MySpace and LinkedIn emerged in
2003, Face book in 2004 and Twitter in 2006.

Chapter 13:

MARKETING- A CONCEPTUAL STUDY

What is marketing?

Marketing has been defined in many ways. It has been described by some, "as a
business activity; as a trade phenomenon; as a frame of mind; as a sense of
business purpose, as a structure of institutions, as the process of exchanging or
transferring ownership of products; as a process of concentration, equalization, and
dispersion; as the creation of time, place and possession utilities; as a process of
demand and supply adjustment" and many other things.

Today's consumer is more discerning and demands new products. Companies

therefore have little or no option but to offer consumer's new products. Companies
are also under pressure to devise competitive marketing strategies. These pressures
are more pronounced and intense for the marketing personnel because of their
peculiar boundary spanning role between the company on one side and consumers
representing the market place on the other. The responsibility of the marketer
assumes an even greater significance in view of the fact that they serve as the

78
pivotal link between the consumers and the company. It is through them that the
company's corporate strategy as also marketing strategies are ultimately
implemented and strategies translated into action. Successful implementation of
marketing strategies is as important, probably even more, as formulating marketing
strategies. It would be no exaggeration to state that just as marketers are the centre
piece of successful marketing strategies, well implemented marketing strategies
could well be one of the key determinants of a successful enterprise.

While business strategy in the past, has not hesitated in drawing from marketing
ideas, marketing's influence on strategic thought has grown in the recent years, and
has carved a distinct place for itself in strategy formulation. This is evident in
myriad contemporary ideas and thoughts such as product positioning, product
differentiation, market segmentation, innovation and consumer satisfaction to state
a few. Issues once regarded as falling under the purview of business strategy alone
no longer remain under that fold, instead they now form a part of marketers
discussion as well In fact marketers routinely entertain ideas or discussions that so
far remained sacrosanct to business strategy. What has happened in the process is
that marketers are not boundary-cutting nor trespassing in another discipline.
Instead, it is an indication of the acceptance and recognition of marketing ideas in
the formulation of business strategy. Rather what is happening is the confluence of
ideas and thoughts where both strategy and marketing meets. It is this appreciation
of both the areas that is responsible for narrowing the gap between strategy and
marketing and leads to a greater appreciation of marketing ideas in strategy
formulation.

While a corporate strategy is indicative of what business should we be in, a

business strategy is indicative of how a business unit or a division of the company
should compete in an industry4. If one extends this analogy to the discipline of
marketing, a marketing strategy will be indicative of how a marketing unit or
department should or chooses to compete in an industry. What has today evolved

79
as marketing strategy saw its origin in the study of psychology, sociology,
anthropology -or in the study of Consumer Behaviour in the 1970‘s. The focus
then shifted from individual consumers to markets, then to strategy in the 1980‘s.
The shift in marketing‘s focus did not mean substitution of the former for the latter
rather the latter also encompasses the former. Besides, marketing strategy like any
other strategy is influenced by and influences primarily the consumers,
competition and the market forces. The host of market factors, market conditions,
and the factor of time also act as influences. The interplay of these forces
command a shift in the predominance of price as a competitive tool to non-price
features to gain competitive edge. This led to an increase in the significance of
other non-price elements of marketing-mix. Instances such as the distribution
strategy of Videocon, Nirma, Hindustan Lever Products or Pizzahut, McDonald‘s,
Walmart or the promotion strategy of Coke and Pepsi are a few contemporary
instances of such a shift. This shift from price to non-price features, the delay in
the take-off of products such as cellular phones, microwave ovens in recent times
further reiterate the need for an emphasis on non-price features in gaining a
competitive edge. It is forces and instances such as these that reinforce the need for
marketing strategy.

Marketing strategy although familiar fails to generate a consensus definition.

The 50‘s witnessed this concept being discussed with reference to Finance
especially Budgeting, in the 60‘s the perspective shifted to strategic/long range
planning, in the 70‘sit was discussed with reference to formula planning and in the
80‘s the perspective shifted to strategic thinking.

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Chapter 14:

Government e Marketplace (GeM):

Hon'ble Prime Minister, based on recommendations of the Group of Secretaries,

decided to set up a dedicated e market for different goods & services procured by
Government Organisations / Departments / PSUs. This meant
transforming DGS&D to a digital ecommerce portal for procurement and selling of
goods and services. Government e Marketplace (GeM), created in a record time of
five months, facilitates online procurement of common use Goods & Services
required by various Government Departments / Organisations / PSUs.

GeM aimed to enhance transparency, efficiency and speed in public procurement.

It provides the tools of e-bidding, reverse e-auction and demand aggregation to
facilitate the government users, achieve the best value for their money.

Government of India (Allocation of Business) Rules, 1961, vide notification dated

8th December 2017 has made the following entry

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  32. Development, operation and maintenance of National Public
Procurement Portal—Government e Marketplace‖.

The purchases through GeM by Government users have been authorised and made
mandatory by Ministry of Finance by adding a new Rule No. 149 in the General
Financial Rules, 2017.

Advantages of GeM portal from seller perspective:

 Access to National Public Procurement market

 No charges or fee for getting registered

 Special provisions and sections for start-ups, MSMEs and Emporium

products

 Fully online, paperless and contactless platform

 A list of prerequisites for the seller registration has been made available so
that it becomes a guide to the seller during
registration https://gem.gov.in/support/sellers/?lang=english

 Brand application and brand approval process has been revamped for sellers

 Multiple invoice for single order

 Easy access to participate in bids/reverse auction

 Clock has been enabled in RA to display remaining time for seller

participation

 Online grievance redressed mechanism for quick resolution

 All sellers will be shown reasons for rejection

 Seller friendly dashboard for monitoring supplies & payments

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  Business Cockpit has been enhanced with additional parameters in existing
report as well as new chart widgets based on OEM and MAIT
recommendations

 Seller belonging to North East states and J & K are exempted from ITR at
the time of bid participation

 Dynamic Pricing- Price can be changed based on market conditions

 Direct access to Government departments and their organizations.

Chapter 15

MICRO SMALL MEDIUM ENTERPRISES (MSME)

The Government of India has introduced MSME or Micro, Small, and Medium
Enterprises in agreement with Micro, Small and Medium Enterprises Development
(MSMED) Act of 2006. These enterprises primarily engaged in the production,
manufacturing, processing, or preservation of goods and commodities. The
MSMEs are an important sector for the Indian economy and have contributed
immensely to the country‘s socio-economic development. It not only generates
employment opportunities but also works hand-in-hand towards the development
of the nation‘s backward and rural areas. According to the annual report by the
Government (2018-19), there are around 6, 08, 41,245 MSMEs in India.

Under the Atmanirbhar Bharat, Government recently announced a special

economic and comprehensive package of Rs. 20 Lakh crore for all the sections of
the society including Industries and MSMEs. Government has taken number of
initiatives to support the MSME sector in the country which include the following;
83
 i. Rs 20,000 crore Subordinate Debt for MSMEs.
ii. Rs 3 lakh crores Collateral free Automatic Loans for business, including
MSMEs.
iii. Rs. 50,000 crore equity infusion through MSME Fund of Funds.
iv. New revised criteria for classification of MSMEs.

CRITERIA FOR CLASSIFYING THE ENTERPRISE w.e.f. 1st July 2020

Criteria MICRO SMALL MEDIUM

INVESTMENT Investment in plant Investment in plant Investment in

and machinery or and machinery or plant and
equipment does not equipment does not machinery or
exceed Rs. 1/– exceed Rs. 10/– equipment does
Crore Crore not
AND AND exceed Rs. 50/-
Crore
AND

TURNOVER It does not It does not It does not

exceed Rs. 5/- exceed Rs. 50/- exceed Rs. 250/-
Crore Crore Crore

v. New Process of MSME Registration through ‗Udyam Registration‘.

vi. No global tenders for procurement up to Rs. 200 crores, which will help
MSMEs.

The Prime Minister has launched an online Portal ―Champions‖ on 01.06.2020.

The portal covers many aspects of e-governance including grievance redressal and
handholding of MSMEs. Through the portal, 19,593 grievances have been
redressed upto 17.09.2020.www.champions.gov.in

The Government has notified Public Procurement Policy for Micro and Small
Enterprises (MSEs) Order, 2012 under MSMED Act. Under this policy, 25% of
annual procurement by Central Ministries /Departments/Public Sector Enterprises
84
(CPSEs) has to be made from Micro & Small enterprises. This includes 4% from
MSEs owned by SC/STs and 3% from MSEs owned by Women entrepreneurs.
358 items are reserved for exclusive procurement from MSEs. [explained in detail
further]

The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006
contains specific provisions to deal with cases of delayed payments of the Micro
and Small Enterprises (MSEs). Under the provisions of the Act, Micro & Small
Enterprises Facilitation Councils (MSEFC) have been set up in the States/UTs.
These Councils can be approached by the MSEs for resolution of delayed payment
cases by way of conciliation and/or arbitration.

Ministry of MSME has launched SAMADHAAN portal to enable Micro & Small
Enterprises (MSEs) to directly register their cases on the portal relating to delayed
payments by Central Ministries / Departments/ CPSEs/ State Government & other
buyers.www.samadhan.msme.gov.in

Registration provision under the (MSMED) Act, 2006:

 As per section 8 of the act, according to section 8 of the act it is voluntary

formicro, small enterprises and medium enterprises providing services to
file for memorandum
 however the registration or filing of memorandum is mandatory for medium
enterprises engaged in manufacturing and production of goods related to
industries specified in schedule 1 of the Industrial Development Regulation
Act,1951
 the act has laid penalty provision under section 27 for violation of
subsection (1)of section 8 [chapter VI Miscellaneous]

85
Registration:

Website: www.udyamregistration.gov.in The Udyam Registration Portal by

government for MSME (Udyam) Registration. The ministry of micro small and
medium enterprises vide notification dated 26 thJune2020 specifies the form and
procedure for filling the memorandum

“UDYAM REGISTRATION”

 Effective from 1st July 2020

 As per this notification all registration shall be carried on a new portal called
as UdyamPortal and the enterprise will be known as Udyam.
 The registration shall be on self declaration basis without any requirement of
uploading/submitting any documents.
 On registration, an enterprise (referred to as ―Udyam in the Udyam
Registration portal) will be assigned a permanent identity number to be
known as ―Udyam‘Registration Number.
 An e-certificate, namely, ―Udyam Registration Certificate shall be issued
on completion of the registration process.

Registration process:

1. The registration form is available at Udyam Registration Portal

2. No fee for filling Udyam registration

3. Aadhaar number require for registration

4. The Aadhaar number shall be of the proprietor in the case of a proprietorship

firm, of the managing partner in the case of a partnership firm and of a karta in the
case of a Hindu Undivided Family (HUF).

86
5. In case of a Company or a Limited Liability Partnership or a Cooperative
Society or a Society or a Trust, the organisation or its authorised signatory shall
provide its GSTIN and PAN along with its Aadhaar number.

6. In case an enterprise is duly registered as an Udyam with PAN, any deficiency

of information for previous years when it did not have PAN shall be filled up
oneself-declaration basis.

7. Not more than one Udyam Registration: Provided that any number of activities
including manufacturing or service or both may be specified or added in
oneUdyam Registration.

8. Penalty for misrepresentation: Whoever intentionally misrepresents or attempts

to suppress the self-declared facts and figures appearing in the UdyamRegistration
or updation process shall be liable to such penalty as specified under section 27 of
the Act.

Registration of existing enterprises:

[Vide OM dated 6 th August 2020 (clarification as to registration of existing

enterprises)]

1. All existing enterprises registered under Entrepreneurs Memorandum–Part-II or

Udyog Aadhar Memorandum shall register again on the UdyamRegistration portal
on or after the 1st day of July, 2020.

2. All enterprises registered till 30thJune, 2020, shall be re-classified in accordance

with this notification.

3. The existing enterprises registered prior to 30th June, 2020, shall continue tube
valid only for a period up to the 31stday of March, 2021.

87
4. An enterprise registered with any other organisation under the Ministry of
Micro, Small and Medium Enterprises shall register itself under
UdyamRegistration

More clarification on the completion of registration process:

R Code from which the web page on

Portaland details about the enterprise can be accessed.

in
the process.

. No Costs or Fees are to be paid to anyone.

National Small Industries Corporation Limited (NSIC)

The National Small Industries Corporation Limited shortly referred as ―NSIC‖, is

established in 1955, and headed by Chairman-cum-Managing Director and
managed by a Board of Directors. The main function of the Corporation is to
promote, aid and foster the growth of micro and small enterprises in the country,
generally on commercial basis. The NSIC provides a variety of support services to
micro and small enterprises catering to their different requirements in the areas of
raw material procurement; product marketing; credit rating; acquisition of
technologies; adoption of modern management practices, etc. it implements its
various programmes and projects throughout the country through its 9 Zonal
Offices, 39 Branch Offices, 12 Sub Offices, 5 Technical Services Centres, 3
Technical Services Extension Centres, 2 Software Technology Parks, 23 NSIC-
Business Development Extension Offices and 1 Foreign Office.

88
Marketing support to NSIC:

NSIC acts as a facilitator to promote small industries‘ products and has devised a
number of schemes to support small enterprises in their marketing efforts, both
within and outside the country.

The NSIC as a promotional organisation has provided much needed technical and
consultancy services to the MSME sector.

Government or public procurement:

Procurement is the act of obtaining goods or services, typically for business

purposes. Government procurement also known as public procurement is
the procurement of goods, services and works on behalf of a public authority such
as a government agency. The government procurement disciplines in India are
governed by Public Procurement Order & General Financial Rule. Public
Procurement Orders & General Financial Rule are primarily been taken care by
Public Procurement Section of Department for Promotion of Industry and Internal
Trade (DPIIT)www.dipp.gov.in, Ministry of Commerce and Industry
https://commerce.gov.in/and Department of Expenditure, Ministry of
Finance respectivelywww.doe.gov.in.

The Public Procurement Policy for Micro and Small Enterprises (MSEs)
Order, 2012

The Public Procurement Policy for MSEs Order, 2012 has been notified under
section 11 of MSMED Act, 2006 and became effective from 1st April 2012
Gazette notification on 26th March 2012). The policy aimed at promoting and
development of Micro and Small Enterprises by supporting them in marketing of
products produced and services rendered by them. However, it rests upon core
principle of competitiveness, adhering to sound procurement practices and
execution of supplies in accordance with a system which is fair, equitable,

89
transparent, competitive and cost effective. Under this policy, 25% of annual
procurement by Central Ministries/Departments/Public Sector Enterprises (CPSEs)
has to be made from Micro & Small enterprises. This includes 4% from MSEs
owned by SC/STs and 3% from MSEs owned by Women entrepreneurs.

The Tender sets free of cost and exemption from payment of earnest money to
registered MSEs. As per the procurement policy when the MSEs quoting price is
within price band L-1 + 15%, and when L1 is from someone other than MSE, shall
be allowed to supply at least 20% of tendered value at L-1 subject to lowering of
price by MSEs to L-1. Further there are 358 items are reserved that are for
exclusive procurement from MSEs. [the list of such 358 items have given at the
end of this chapter]. Ministry /Department/CPSUs have been entrusted with the
task of conducting Vendor Development Programmes or Buyer Seller Meets for
MSEs especially for SC/ST entrepreneurs so as to enhance their participation in
government procurement.

LIST OF ITEMS RESERVED FOR PURCHASE FROM SMALL SCALE

INDUSTRIAL UNITS INCLUDING HANDICRAFT SECTOR.

Sl No. Item Description

1. AAC/and ACSR Conductor up-to 19 strands

2. Agricultural Implements (a) Hand Operated tools and implements (b) Animal
driven implements

3. Air/Room Coolers

4. Aluminum builder's hardware

5. Ambulance stretcher

6. Ammeters/ohm meter/Volt meter (Electro magneticupto Class I accuracy)

7. Anklets Web Khaki

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8. Augur (Carpenters)

9. Automobile Head lights Assembly

10. Badges cloth embroidered and metals

11. Bags of all types i.e. made of leather, cotton, canvas and jute etc. including kit
bags, mail bags, sleeping bags and water-proof bag.

12. Bandage cloth

13. Barbed Wire

14. Basket cane (Procurement can also be made from State Forest Corpn. and State
Handicrafts Corporation)

15. Bath tubs

16. Battery Charger

17. Battery Eliminator

18. Beam Scales (upto 1.5 tons)

19. Belt leather and straps

20. Bench Vices

21. Bituminous Paints

22. Blotting Paper

23. Bolts and Nuts

24. Bolts Sliding

25. Bone Meal

26. Boot Polish

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27. Boots and Shoes of all types including canvas shoes

28. Bowls

29. Boxes Leather

30. Boxes made of metal

31. Braces

32. Brackets other than those used in Railways

33. Brass Wire

34. Brief Cases (other than moulded luggage)

35. Brooms

36. Brushes of all types

37. Buckets of all types

38. Button of all types

39. Candle Wax Carriage

40. Cane Valves/stock valves (for water fittings only)

41. Cans metallic (for milk and measuring)

42. Canvas Products :

(a) Water Proof Deliver, Bags to spec. No. IS - 1422/70

(b) Bonnet Covers and Radiators Muff. to spec. Drg. Lv 7/NSN/IA/130295

43. Capes Cotton and Woollen

44. Capes Waterproof

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45. Castor Oil

46. Ceiling roses upto 15 amps

47. Centrifugal steel plate blowers

48. Centrifugal Pumps suction and delivery 150 mm. x 150 mm

49. Chaff Cutter Blade

50. Chains lashing

51. Chappals and sandals

52. Chamois Leather

53. Chokes for light fitting

54. Chrome Tanned leather (Semi-finished Buffalo and Cow)

55. Circlips

56. Claw Bars and Wires

57. Cleaning Powder

58. Clinical Thermometers

59. Cloth Covers

60. Cloth Jaconet

61. Cloth Sponge

62. Coir fibre and Coir yarn

63. Coir mattress cushions and matting

64. Coir Rope hawserlaid

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65. Community Radio Receivers

66. Conduit pipes

67. Copper nail

68. Copper Napthenate

69. Copper sulphate

70. Cord Twine Maker

71. Cordage Others

72. Corrugated Paper Board and Boxes

73. Cotton Absorbent

74. Cotton Belts

75. Cotton Carriers

76. Cotton Cases

77. Cotton Cord Twine

78. Cotton Hosiery

79. Cotton Packs

80. Cotton Pouches

81. Cotton Ropes

82. Cotton Singlets

83. Cotton Sling

84. Cotton Straps

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85. Cotton tapes and laces

86. Cotton Wool (Non absorbent)

87. Crates Wooden and plastic

88. (a) Crucibles upto No. 200

(b) Crucibles Graphite upto No. 500

(c) Other Crucibles upto 30 kgs.

89. Cumblies and blankets

90. Curtains mosquito

91. Cutters

92. Dibutyl phthalate

93. Diesel engines upto 15 H.P

94. Dimethyl Phthalate

95. Disinfectant Fluids

96. Distribution Board upto 15 amps

97. Domestic Electric appliances as per BIS Specifications:- - Toaster Electric,

Elect. Iron, Hot Plates, Elect. Mixer, Grinders, Room heaters and convectors and
ovens

98. Domestic (House Wiring) P.V.C. Cables and Wires (Aluminum) Conforming
to the prescribed BIS Specifications and upto 10.00 mm sq. nominal cross section

99. Drawing and Mathematical Instruments

100. Drums and Barrels 101. Dust Bins 102. Dust Shield leather

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103. Dusters Cotton all types except the items required in Khadi

104. Dyes :

(a) Azo Dyes (Direct and Acid)

(b) Basic Dyes

105. Electric Call bells/buzzers/door bells

106. Electric Soldering Iron

107. Electric Transmission Line Hardware items like steel cross bars, cross arms
clamps arching horn, brackets, etc

108. Electronic door bell

109. Emergency Light (Rechargeable type)

110. Enamel Wares and Enamel Utensils

111. Equipment camouflage Bamboo support

112. Exhaust Muffler

113. Expanded Metal

114. Eyelets

115. Film Polythene - including wide width film

116. Film spools and cans

117. Fire Extinguishers (wall type)

118. Foot Powder

119. French polish

120. Funnels

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121. Fuse Cut outs

122. Fuse Unit

123. Garments (excluding supply from Indian Ordnance Factories)

124. Gas mantels

125. Gauze cloth

126. Gauze surgical all types

127. Ghamellas (Tasllas)

128. Glass Ampules

129. Glass and Pressed Wares

130. Glue

131. Grease Nipples and Grease guns

132. Gun cases

133. Gun Metal Bushes

134. Gumtape

135. Hand drawn carts of all types

136. Hand gloves of all types

137. Hand Lamps Railways

138. Hand numbering machine

139. Hand pounded Rice (polished and unpolished)

140. Hand presses

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141. Hand Pump

142. Hand Tools of all types

143. Handles wooden and bamboo (Procurement can also be made from State
Forest Corpn. and State Handicrafts Corporation)

144. Harness Leather

145. Hasps and Staples

146. Haver Sacks

147. Helmet Non-Metallic

148. Hide and country leather of all types

149. Hinges

150. Hob nails

151. Holdall

152. Honey

153. Horse and Mule Shoes

154. Hydraulic Jacks below 30 ton capacity

155. Insecticides Dust and Sprayers (Manual only) 156. Invalid wheeled chairs.

157. Invertor domestic type upto 5 KVA

158. Iron (dhobi)

159. Key board wooden

160. Kit Boxes

161. Kodali

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162. Lace leather

163. Lamp holders

164. Lamp signal

165. Lanterns Posts and bodies

166. Lanyard

167. Latex foam sponge

168. Lathies

169. Letter Boxes

170. Lighting Arresters - upto 22 kv

171. Link Clip

172. Linseed Oil

173. Lint Plain

174. Lockers

175. Lubricators

176. L.T. Porcelain KITKAT and Fuse Grips

177. Machine Screws

178. Magnesium Sulphate

179. Mallet Wooden 180. Manhole covers

181. Measuring Tapes and Sticks

182. Metal clad switches (upto 30 Amps)

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183. Metal Polish

184. Metallic containers and drums other than N.E.C. (Not elsewhere classified)

185. Metric weights

186. Microscope for normal medical use

187. Miniature bulbs (for torches only)

188. M.S. Tie Bars

189. Nail Cutters

190. Naphthalene Balls

191. Newar

192. Nickel Sulphate

193. Nylon Stocking

194. Nylon Tapes and Laces

195. Oil Bound Distemper

196. Oil Stoves (Wick stoves only)

197. Pad locks of all types 198. Paint remover

199. Palma Rosa Oil 200. Palmgur

201. Pans Lavatory Flush

202. Paper conversion products- paper bags, envelops, Ice-cream cup, paper cup
and saucers and paper Plates

203. Paper Tapes (Gummed)

204. Pappads

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205. Pickles and Chutney

206. Piles fabric

207. Pillows

208. Plaster of Paris

209. Plastic Blow Moulded Containers upto 20 litre excluding Poly

EthyleneTerphthalate (PET) Containers

210. Plastic cane

211. Playing Cards

212. Plugs and Sockets electric upto 15 Amp

213. Polythene bags

214. Polythene Pipes

215. Post Picket (Wooden)

216. Postal Lead seals

217. Potassium Nitrate

218. Pouches

219. Pressure Die Casting upto 0.75 kg 220. Privy Pans

221. Pulley Wire

222. PVC footwears

223. PVC pipes upto 110 mm

224. PVC Insulated Aluminium Cables (upto 120 sq. mm) (ISS:694)

225. Quilts, Razais

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226. Rags

227. Railway Carriage light fittings

228. Rakes Ballast

229. Razors

230. RCC Pipes upto 1200 mm. dia

231. RCC Poles Prestressed

232. Rivets of all types

233. Rolling Shutters

234. Roof light Fittings

235. Rubber Balloons

236. Rubber Cord

237. Rubber Hoses (Unbranded)

238. Rubber Tubing (Excluding braided tubing)

239. Rubberised Garments Cap and Caps etc

240. Rust/Scale Removing composition

241. Safe meat and milk

242. Safety matches

243. Safety Pins (and other similar products like paper pins, staples pins etc.)

244. Sanitary Plumbing fittings

245. Sanitary Towels

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246. Scientific Laboratory glass wares (Barring sophisticated items)

247. Scissors cutting (ordinary)

248. Screws of all types including High Tensile

249. Sheep skin all types

250. Shellac

251. Shoe laces

252. Shovels

253. Sign Boards painted

254. Silk ribbon

255. Silk Webbing

256. Skiboots and shoes

257. Sluice Valves 258. Snapfastner (Excluding 4 pcs. ones)

259. Soap Carbolic

260. Soap Curd

261. Soap Liquid

262. Soap Soft

263. Soap washing or laundary soap

264. Soap Yellow

265. Socket/pipes

266. Sodium Nitrate

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267. Sodium Silicate

268. Sole leather

269. Spectacle frames

270. Spiked boot

271. Sports shoes made out of leather (for all Sports games)

272. Squirrel Cage Induction Motors upto and including 100 KW440 volts 3 phase

273. Stapling machine

274. Steel Almirah

275. Steel beds stead

276. Steel Chair

277. Steel desks

278. Steel racks/shelf

279. Steel stools

280. Steel trunks

281. Steel wool

282. Steel and aluminium windows and ventilators

283. Stockinet

284. Stone and stone quarry rollers

285. Stoneware jars

286. Stranded Wire

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287. Street light fittings

288. Student Microscope

289. Studs (excluding high tensile)

290. Surgical Gloves (Except Plastic)

291. Table knives (Excluding Cutlery)

292. Tack Metallic

293. Taps

294. Tarpaulins

295. Teak fabricated round blocks

296. Tent Poles

297. Tentage Civil/Military and Salitah Jute for Tentage

298. Textiles manufactures other than N.E.C. (not elsewhere classified)

299. Tiles

300. Tin Boxes for postage stamp

301. Tin can unprinted upto 4 gallons capacity (other than can O.T.S.)

302. Tin Mess

303. Tip Boots

304. Toggle Switches

305. Toilet Rolls

306. Transformer type welding sets conforming to IS:1291/75 (upto 600 amps)

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307. Transistor Radio upto 3 band

308. Transistorised Insulation - Testers

309. Trays

310. Trays for postal use

311. Trolley

312. Trollies - drinking water

313. Tubular Poles

314. Tyres and Tubes (Cycles)

315. Umbrellas

316. Utensils all types

317. Valves Metallic

318. Varnish Black Japan

319. Voltage Stablisers including C.V.T's

320. Washers all types

321. Water Proof Covers

322. Water Proof paper

323. Water tanks upto 15,000 litres capacity

324. Wax sealing

325. Waxed paper

326. Weighing Scale

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327. Welded Wire mash

328. Wheel barrows

329. Whistle

330. Wicks cotton

331. Wing Shield Wipers (Arms and Blades only)

332. Wire brushes and Fibre Brushes 333. Wire Fencing and Fittings

334. Wire nails and Horse shoe nails

335. Wire nettings of gauze thicker than 100 mesh size

336. Wood Wool

337. Wooden ammunition boxes

338. Wooden Boards

339. Wooden Box for Stamps

340. Wooden Boxes and Cases N.E.C. (Not elsewhere classified)

341. Wooden Chairs

342. Wooden Flush Door Shutters

343. Wooden packing cases all sizes

344. Wooden pins

345. Wooden plugs

346. Wooden shelves

347. Wooden veneers

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348. Woolen hosiery

349. Zinc Sulphate

350. Zip Fasteners

HANDICRAFT ITEMS

Sl.No. Item Description

351 Cane furniture; Source of Supply: North Eastern Handicrafts and Handlooms
Development Corporation Assam Govt. Marketing Corpn. Craft Society of
Manipur Nagaland Handicrafts and Handlooms Development Corpn.

352. Bamboo file tray, Baskets, Pencil stand, side racks etc.

353. Artistic Wooden Furniture; Source of Supply: Rajasthan Small Industries

Corpn., U.P. Export Corporation.

354. Wooden paper weight, racks etc.

355. Glass covers made of wood -doand grass jute

356. Jute furniture Source of Supply: West Bengal Handicrafts Dev. Corpn. Jute
Mfg. Development Corporation Orissa State Handicrafts Dev. Corpn.

357. Jute bags, file cover

358. Woolen and silk carpets Source of Supply: U.P. Export Corporation J and K
Sale and Export Corporation

MSME SAMBANDH: www.sambandh.gov.in

MSME SAMBANDH is a Public Procurement Policy Monitoring Portal, sharing

factsheets about public procurement by Central Public Sector Enterprises (CPSEs),
and facilitating officer login to publish such factsheets. The main objective to

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launch this portal is to monitor the implementation of the Public Procurement from
MSEs by Central Public Sector Enterprises

MSME SAMADHAN: www.samadhan.gov.in

Ministry of MSME has taken an initiative for filing online application by the
supplier MSE unit against the buyer of goods/services before the concerned
MSEFC of his/her State/UT.

MSME SAMADHAAN is an online Delayed Payment Monitoring System,

governed by the Micro and Small Enterprise Facilitation Council (MSEFC) for
settlement of disputes on getting references or filing on Delayed payments by
aggrieved MSMEs. Filing can be done online through MSME SAMADHAN
portal (www.samadhaan.msme.gov.in) and the status of filing can be checked
online.

MSME Global Mart Portal: www.msmemart.com

MSME GLOBAL MART is an International e-Marketing portal by NSIC for

showcasing the products & services of MSMEs.

Mission: Facilitating the Growth of Micro, Small and Medium Enterprises

MSME- CHAMPIONS: www.champions.gov.in

CHAMPIONS stand for Creation and Harmonious Application of

Modern Processes for Increasing the Output and National Strength

The single window system for the MSMEs

It has been felt necessary to put up and promote a unified, empowered, robust,
bundled and technology driven platform for helping and promoting the Micro,

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Small and Medium Enterprises (MSMEs) of the country. As the name suggests it
will aim at Creation and Harmonious Application of Modern Processes for
Increasing the Output and National Strength. Accordingly, the name of the system
is CHAMPIONS. This is basically for making the smaller units big by helping and
handholding, in particular, by solving their problems and grievances

Three basic objectives of the CHAMPIONS:

1. To help the MSMEs in this difficult situation in terms of finance, raw

materials, labour, permissions, etc.

2. To help the MSMEs capture new opportunities in manufacturing and

services sectors.

3. To identify the sparks, i.e., the bright MSMEs who can withstand at present
and become national and international champions.

OPPORTUNITIES IN MSME SECTOR

The MSME sector is a dynamic and vibrant sector of the Indian economy. As
theeconomy is growing, it is undergoing important structural changes which are
making animpact on MSME sector too. This creates a requirement for a virtual
assistance professional – a single person or an association of persons – who like an
outsourced service provider, offers highly skilled assistance in the requirements of
the micro, smaller medium enterprise, just like the professional does for large
organizations. Various areas can be tremendous opportunity areas in the MSME
sector.

Technology and Innovation

Entrepreneurship is driven by technology and innovation. Presently, the MSME

sectors associated, in public perception, with low quality standards. It is envisioned

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that theMSME sector will be upgraded through modern and new technologies to
achieve global quality standards. Niche markets will be identified and developed
for MSME products, including khadi and coir products. Technology will be the
foremost factor for enhancing the global competitiveness of Indian MSME Sector.
There will be tremendous opportunity in technology acquisition and support.

Skilled Manpower

India has a large capital of human resources. There is tremendous opportunity in

theMSME sector for skilled manpower. Skill development and training of existing
workers and entrepreneurs is necessary for enhancing managerial capabilities,
brand building capacity and developing new marketing channels.

Credit and Finance Availability

Credit availability in the MSME sector is a major cause of concern. Apart from
access to bank credit, alternate routes for equity funding through angel funding,
venture capital, private equity etc. as well as facilitating entry to capital markets
through Initial Public Offers (IPOs) and specialized exchanges for SMEs is on the
cards. The Government too proposes to attract investors to the MSME sector by
appropriate regulatory framework and other incentives.

Carbon Credits for MSMEs

Public awareness of the threat of climate change has risen sharply in the last
couple of years and an increasing number of businesses, organizations and
individuals are looking to minimize their impact on the climate. Reaping the
benefits of the new instruments like carbon credit, environment and ecological
balance have gained global significance. The MSME sector is required to be
empowered to face the future challenges. The MSMEs can implement
technological improvement programmes to avail the benefits of carbon credits.
However the MSMEs will need the help of professionals in the field of carbon

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credits and environmental issues and experts from Government sector to help them
to get the benefit of carbon credit.

Chapter 16:

OPPORTUNITIES IN AGRICULTURE SECTOR

SCOPE OF ENTREPRENEURSHIP IN AGRICULTURE

In India, among every two Indians, one is considered to be dependent on

agriculture for their livelihood. Around 52 % of the land area is cultivatable in
India compared to11% in the world. There is a need for new approach and
technology for the yet another green revolution considering the drastic change in
the agricultural landscape. Though the majority of the population is depended on
agriculture still the equivalent number of unemployment exists due to minimum
productivity. The base for India‘s growth and development depends on the
significant contribution for the economy from rural areas through agriculture
which in-turn favours the growth and development of other sectors as well forming
a chain which is quoted by other existing research in the literature review.

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Entrepreneurship helps in developing a nation‘s economy, improves production
and labour market, builds job opportunities and finally increases employment rate
which influenced most of the developing countries including India to encourage
and support entrepreneurship for their economic development and reduced
unemployment.

India focused on entrepreneurial development which is nothing but an organized

and regulated growth of an individual towards an entrepreneur employing
cultivating entrepreneurial skills in terms of knowledge, financial support,
marketing and other approaches.

Agro entrepreneurship solves the following problems:

 Reduced agriculture-related burdens.

 Assures employment opportunities especially to rural people

 Reduced migration of youths from rural to urban

 Increased economy rate

 Reduced industrial development

 Reduced urban pressure

 Agri-business ventures include:

 Farm-level producers

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  This type includes every family who is involved in agricultural
activities to increase productivity by making use of advanced
technology and market demand.

2. Service Providers: Service requirements are huge as of agriculture is considered

at village levels such as borrowing of raw materials for cultivation, equipment
requirements (Threshers, sprayers, seed drills, etc.,) and technical services.

3. Input Producers: The rural population needs input such as pesticides,

vermicompost, saplings, agricultural tools, etc., for the timely processing of
farming activities.

4. Processing and Marketing of Farm Produce: Post-production is the crucial stage

which requires both knowledge and investment.

Obstacles in Agri-Entrepreneurship Development:

1. Small illiterate owners face difficulties in converting their farm into enterprise
due to lack of information, investment, innovation and market exposure.

2. Service awareness needs to be created first among farmers before promoting the
same through self-employed groups.

3. Impact of free services extended by government organizations to the farmers is

enormous in the promotion of services which makes the farmers neglect the
services offered by self-employed teams.

4. Need of back up services by self-employed experts in terms of technical and

business-related information, access to marketing agencies, essential input and

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tools suppliers and monitoring stations to undergo modern technological
development.

5. Agri-Entrepreneurs face more legal barriers as created by specific organizations,

cooperatives and private traders.

6. Hesitations from people‘s organizations in utilizing huge investments and state

of the art technologies affect the profitability of their organizations and ultimately
results in losing the interest towards their enterprises and leaders they follow.

Scope for Agribusiness in India

1.Agricultural commodities such as temperature, sub-tropical and tropical are the

gifted ago-climate of India.

2. Agricultural inputs like inorganic and organic fertilizers, feed and fodder, etc.,
will be in demand forever.

3. There is an increasing scope for biotechnology application in the field of

agriculture to seed, bio-resist agents, microbes harvesting for bakery items etc.

4. The improved export rate for increasing the economic growth of the country.
India has vast export market potential according to World Trade Organization for
their agricultural commodities such as oil, fruits, vegetables, spices, cereals, etc.,
both in raw or processed form.

5. There is a scope for secondary and tertiary processing from the primary level for
agricultural commodities during the rise in standards of productions.

6. Production of Inland, marine and ornamental fish culture due to the vast coastal
line gains interest among the Indians due to their boundless opportunities and
increased rates.

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7. Livestock also provides tremendous scope for the rural population.

8. Bio-waste from the forest can also be utilized for production.

9. There are massive scale opportunities for beekeeping and apiary.

10. Mushroom cultivation is also taken into hands using the well-established
methods.

11. Organic products demands are increasing as people have become equally
health-conscious due to the increased use of pesticide in farming which creates an
opportunity for farmers to shift towards the traditional way of farming.

12. Need for bio-pesticides and bio-control agents is increasing, on the other hand,
for crop protection.

13. There is more potential for seed and hybrid crops in India as most varieties of
crops have attained the stage of the plateau.

14. Shift towards micro-irrigation systems and equipments that reduce the human
resources have fairly good opportunities due to reduced groundwater and labour
demand in rural areas.

15. Exports of vegetables and flowers cultivated under greenhouse conditions.

16. Consulting services from trained human resources will be taking care of
extended agricultural systems due to the reduced resources in terms of funding
from the state as well as central government.

17. Agricultural production always provides employment opportunities in terms of

marketing, transport, storage etc.

Agri-Entrepreneur should be encouraged by both Government as well as the

general public to increase the country‘s economy. This field has a large scope of

116
research in the Indian perspective since the agricultural sector in India is still
considered as a poor sector, rather than an enterprise perspective.

SCOPE OF PROFESSIONALS IN AGRICULTURE SECTOR

The study of agriculture is called agricultural science or agricultural technology.

The field combines the natural and social sciences, along with economics,
engineering and management (particularly natural resources management and
business management) of biological systems to practice, development and
understand the fields of agriculture and forestry.

Being related to the field of Life & Biological Sciences, agricultural science is
multidisciplinary and inter-related to Food Science & Technology.

Agricultural Science uses the fundamentals of biology, chemistry, physics,

mathematics and statistics to solve the problems of agriculture-food industry. But,
students also need to study economics and business management at the
undergraduate level.

With a degree in agricultural science, you can have careers in the agricultural
sector.

Major domains within the agricultural sector include agribusiness, R&D

organizations, public and private agencies, government and policy making
agencies, and private consulting companies. Agricultural science involves research
and development on production, processing, productivity of crops and end
products for consumers.

Agricultural science professionals play a vital role towards maintaining food

supply of the society. Major activities include improving the quality and quantity

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of farming, improving crop yield, minimizing labour, conservation of soil and
water, and pest

CHAPTER 17:

MAKE IN INDIA www.makeinindia.com

“Make in India ―is an Indian government initiative which was launched on

September 25, 2014, to facilitate investment, foster innovation, building best in
class infrastructure, and making India a hub for manufacturing, design, and
innovation. The development of a robust manufacturing sector continues to be a
key priority of the Indian Government. It was one of the first 'Vocal for Local'
initiatives that exposed India's manufacturing domain to the world. The sector has
the potential to not only take economic growth to a higher trajectory but also to
provide employment to a large pool of our young labour force.

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Make in India Logo
The Make in India logo is a lion. It is a lion‘s silhouette filled with cogs. This
symbolizes manufacturing, national pride, and strength.

Make in India – Objectives

There are several targets aimed by the Make in India mission. They are:

A. Rise in manufacturing sector growth to 12-14% per year.

B. Create 100 million additional jobs in the manufacturing sector by 2022.
C. Increase in the manufacturing sector‘s share in the GDP to 25% by 2022.
D. Creating required skill sets among the urban poor and the rural migrants to
foster inclusive growth.
E. A rise in the domestic value addition and technological depth in the
manufacturing sector.
F. Having an environmentally-sustainable growth.
G. Augmenting the global competitiveness of the Indian manufacturing sector.

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Since its launch, Make in India has made significant achievements. The action
plans prepared for 25 sectors has been reviewed and now focusing on 27 sectors
under Make in India 2.0. DPIIT is coordinating Action Plans for 15 manufacturing
sectors, such as food processing, pharmaceuticals and medical devices, aerospace
and defence, capital goods, biotechnology, chemicals, etc., while the Department
of Commerce is coordinating for 12 service sectors.

List of 27 sectors:

(i) Aerospace and Defence

(ii) Automotive and Auto Components

(iii) Pharmaceuticals and Medical Devices

(iv) Bio-Technology

(v) Capital Goods

(vi) Textile and Apparels

(vii) Chemicals and Petro chemicals

(viii) Electronics System Design and Manufacturing (ESDM)

(ix) Leather & Footwear

(x) Food Processing

(xi) Gems and Jewelry

(xii) Shipping

(xiii) Railways

(xiv) Construction

(xv) New and Renewable Energy

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(xvi) Information Technology & Information Technology enabled Services (IT
&ITeS)

(xvii) Tourism and Hospitality Services

(xviii) Medical Value Travel

(xix) Transport and Logistics Services

(xx) Accounting and Finance Services

(xxi) Audio Visual Services

(xxii) Legal Services

(xxiii) Communication Services

(xxiv) Construction and Related Engineering Services

(xxv) Environmental Services

(xxvi) Financial Services

(xxvii) Education Services

The ―Make in India" initiative is based on four pillars, which have been identified
to give boost to entrepreneurship in India, not only in manufacturing but also other
sectors.

The four pillars are:

(i) New Processes: 'Make in India' recognizes 'ease of doing business' as the
single most important factor to promote entrepreneurship. A number of initiatives
have already been undertaken to ease business environment.

(ii) New Infrastructure: Government intends to develop industrial corridors and

smart cities, create world class infrastructure with state-of-the-art technology and
high-speed communication. Innovation and research activities are supported
121
through a fast paced registration system and improved infrastructure for IPR
registration. The requirement of skills for industry are to be identified and
accordingly development of workforce to be taken up.

(iii) New Sectors: FDI has been opened up in Defence Production, Insurance,
Medical Devices, Construction and Railway infrastructure in a big way. Similarly
FDI has been allowed in Insurance and Medical Devices.

(iv) New Mindset: In order to partner with industry in economic development of

the country Government shall act as a facilitator and not a regulator.

Public Procurement (Preference to Make in India) Order, 2017

The Public Procurement (Preference to Make in India), Order 2017 was issued by
the Government of India as a part of the policy of the Government of India to
encourage ‗Make in India‘ and promote manufacturing and production of goods
and services in India with a view to enhancing income and employment.

Such order was issued in pursuant to Rule 153(iii) of the General Financial Rules
2017 as an enabling provision to promote domestic value addition in public
procurement. Subject to the provisions of this Order and to any specific
instructions issued by the Nodal Ministry or in pursuance of this Order, purchase
preference shall be given to local suppliers in all procurements undertaken by
procuring entities in the manner specified.

As per the order the minimum local content shall ordinarily be 50%. The Nodal
Ministry may prescribe a higher or lower percentage in respect of any particular
item and may also prescribe the manner of calculation of local content. The margin
of purchase preference shall be 20% .

Revised order dated 16th September 2020:

122
The Government of India by amending the Public Procurement (Preference to
Make in India) Order, 2017 on 16.09.2020, enable the nodal Ministries/
Departments to notify higher minimum local content requirement for Class-I &
Class-II local suppliers which was earlier fixed at 50% and 20% respectively.

Further the entities of countries which do not allow Indian companies to participate
in their Government procurement for any item, shall not be allowed to participate
in Government procurement in India for all items related to that nodal Ministry/
Department, except for the list of items published by the Ministry/ Department
permitting their participation.

Make in India – Schemes

Several schemes were launched to support the Make in India programme. These
schemes are discussed below:

Skill Indiawww.skillindia.nsdcindia.org

This mission aims to skill 10 million in India annually in various sectors. Make in
India to turn into a reality, there is a need to up skill the large human resource
available. This is important because the percentage of formally skilled workforce
in India is only 2% of the population.

Startup Indiawww.startupindia.gov.in

The main idea behind this programme is to build an ecosystem that fosters the
growth of startups, driving sustainable economic growth, and creating large-scale
employment.

Digital Indiawww.digitalindia.gov.in

This aims to transform India into a knowledge-based and digitally empowered

economy. To know more about Digital India, click on the linked page.
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Pradhan Mantri Jan Dhan Yojana (PMJDY)www.pmjdy.gov.in

The mission envisages financial inclusion to ensure access to financial services,

namely banking savings & deposit accounts, remittances, credit, insurance,
pension in an affordable manner. Click the linked article to know more about
Pradhan Mantri Jan Dhan Yojana (PMJDY).

Smart Citieswww.smartcities.gov.in

This mission aims to transform and rejuvenate Indian cities. The goal is to create
100 smart cities in India through several sub-initiatives.

AMRUTwww.amrut.gov.in

AMRUT is the Atal Mission for Rejuvenation and Urban Transformation. It aims
to build basic public amenities and make 500 cities in India more livable and
inclusive.

Swachh Bharat Abhiyanwww.swachhbharat.mygov.in

This is a mission aimed at making India more cleaner and promoting basic
sanitation and hygiene. For more information on Swachh Bharat Mission, click on
the linked article.

Sagarmalawww.sagarmala.gov.in

This scheme aims at developing ports and promoting port-led development in the
country. Read more on the Sagarmala Project in the linked article.

International Solar Alliance (ISA)www.isolaralliance.org

The ISA is an alliance of 121 countries, most of them being sunshine countries,
which lie either completely or partly between the Tropic of Cancer and the Tropic
of Capricorn. This is India‘s initiative aimed at promoting research and
development in solar technologies and formulating policies in that regard.

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AGNIIwww.agnii.gov.in

AGNII or Accelerating Growth of New India‘s Innovation was launched to push

the innovation ecosystem in the country by connecting people and assisting in
commercializing innovations.

CHAPTER 18:

START UPwww.startupindia.gov.in

Start-up is the most widespread term in present era. It has great impact on
economy of the country. People who have innovative idea are starting their start
ups with minimum resources. Skills are the only way to create our economy
healthy while starting a new business setup Entrepreneurs seeks helps. These helps
can be further divided into three categories Technical help, Financial help and
Managerial help. Institutions like Madhya Pradesh Financial Corporation
[MPFCwww.mpfc.org ], Small Industries Development Bank of India [SIDBI
www.sidbi.in ], Micro, Small Medium Enterprises [MSME, www.msme.gov.in ]
are there to help a start ups, some of the private supports are known as Angle
Investors, Venture Capitalists.

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Start up India initiative was announced by our Prime Minister Shri. Narendra Modi
on 15th August, 2015. The flagship initiative has an objective to build a strong
eco-system for nurturing innovation and Start ups in the country that will drive
sustainable economic growth and generate large scale employment opportunities.
Further to this, an Action Plan for Startup India was unveiled on 16th January
2016. The action plan comprises of 19 action items spanning across areas such as
―Simplification and handholding‖, ―Funding support and incentives‖ and
―Industry-academia partnership and incubation‖. The implementation part of this
scheme is taken care by Department of Promotion of Industry and Internal
(DPIIT). According to DPIIT, the definition of Start up would be Innovative and
carry technology along with website, mobile application etc

Since its inception, 28,979, Startups across the country have been recognised by
Department for Promotion of Industry and Internal Trade (DPIIT) as on
01.03.2020.

Salient features of Startup India action plan

1. Compliance Regime based on Self-Certification with an objective to

reduce the regulatory burden on Startups thereby allowing them to focus on
their core business and keep compliance cost low.
2. Startup India Hub with an objective to create a single point of contact for
the entire Startup ecosystem and enable knowledge exchange and access to
funding.

126
3. Rolling out of Mobile App and Portal with an objective to serve as the
single platform for Startups for interacting with Government and Regulatory
Institutions for all business needs and information exchange among various
stakeholders.
4. Legal Support and Fast-tracking Patent Examination at Lower
Costs with an objective to promote awareness and adoption of IPRs by
Startups and facilitate them in protecting and commercializing the IPRs by
providing access to high quality Intellectual Property services and resources,
including fast-track examination of patent applications and rebate in fees.
5. Relaxed Norms of Public Procurement for Startupswith an objective to
provide an equal platform to Startups across sectors vis-à-vis the
experienced entrepreneurs/ companies in public procurement.
6. Faster Exit for Startupswith an objective to make it easier for Startups to
wind up operations.
7. Providing Funding Support through Fund of Funds with a Corpus of
RS. 10,000 crore with an objective to provide funding support for
development and growth of innovation driven enterprises.
8. Credit Guarantee fund for Startupswith objective to catalyze
entrepreneurship by providing credit to innovators across all sections of
society.
9. Tax Exemptions on Capital Gains with an objective to promote
investments into Startups by mobilizing the capital gains arising from sale of
capital assets.
10.Tax Exemptions to startups for 3 Years with an objective to promote the
growth of Startups and address working capital requirements.
11.Tax Exemption on Investments above Fair Market Value with an
objective to encourage seed-capital investment in Startups.
12.Organizing Startup Fests for Showcasing Innovation and Providing a
Collaboration Platform with an objective to galvanize the Startup

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 ecosystem and to provide national and international visibility to the Startup
ecosystem in India.
13.Launch of Atal Innovation Mission (AIM) with an objective to serve as a
platform for promotion of world-class Innovation Hubs, Grand Challenges,
Startup businesses and other self-employment activities, particularly in
technology driven areas.
14.Harnessing Private Sector Expertise for Incubator Setup with an
objective to ensure professional management of Government sponsored /
funded incubators, Government will create a policy and framework for
setting-up of incubators across the country in public private partnership.
15.Building Innovation Centers at National Institutes with an objective to
propel successful innovation through augmentation of incubation and R&D
efforts.
16.Setting up of 7 New Research Parks Modelled on the Research Park
Setup at IIT Madras with an objective to propel successful innovation
through incubation and joint R&D efforts between academia and Industry.
17.Promoting Startups in the Biotechnology Sector with an objective to
foster and facilitate bio-entrepreneurship.
18.Launching of Innovation Focused Programs for Students with an
objective to foster a culture of innovation in the field of Science and
Technology amongst students.
19.Annual Incubator Grand Challenge with an objective to support creation
of successful world class incubators in India.

Who can register with Start-up India?

 Entity incorporated as private limited company, partnership firm,

limitedliability partnership
 Annual turnover of such entities should not exceed 100 crores

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  Such should have been in existence for up to 10 years from the date of
itsincorporation/registration.

Registration:

1. Incorporate your business: Incorporate your business as a Private Limited

Company or a Limited Liability Partnership or a Partnership firm. You just need to
follow the normal procedure that includes you filling up a form to get the
registration.

2. Register under Startup India

- Fill the form available for you on the Startup India website.

- Fill in all the details and upload a certain number of documents as well.

3. Documents you need to upload in a PDF format only

- Letter of recommendation along with the registration form.[A recommendation

letter from an Incubator known in a post-graduate college in India, in a format
approved by the DIPP oar recommendation letter from an incubator that the
Government of India funds as part of any specified scheme to promote innovation;
ORA letter from any of the Incubators, recognized by the Government of India,
inDIPP format. A letter of funding not less than 20% in equity, by an Incubation
Fund, Private Equity Fund, Angel Fund, Accelerator, Private Equity Fund,
registered withSEBI that endorses the innovative nature of business; ORA
recommendation later by the Central or any State Government of India; ORA
patent filed and published in the Journal of Indian Patent office in areas affiliated
with the nature of the business being promoted]

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- Upload the certificate of incorporation of your company or LLP, or the
registration certificate for a partnership company.

- Brief description of your business

4. You need to mention if you need tax exemption

- In India, startups do not have to pay income tax for the first three years but to
avail such benefits, the company must be certified by the Inter-Ministerial Board
(IMB).

- Companies registered with DIPP get relaxation as the registration is enough to

get the benefits.

5. Self-certification of the following conditions

- You are a Private limited company, an LLP or a partnership firm.

- Your business must be incorporated or registered in India, not before 5 years.

- Your company‘s turnover must not be more than Rs 100 core.

- The company has to keep innovating something new or making the

existingsystem better in its own way.

- Your business must be a fresh idea and not a splitting up or reconstruction of an

existing business.

6. Get your recognition number

- On application of this registration, you will get a recognition number with

immediate effect.

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- You get the certificate of registration or incorporation only after the authority
goes through all your uploaded documents.

[You need to be careful while uploading the data, as any discrepancy in it can
cause you huge fine of up to 50% of your paid-up capital or Rs 25,000 at the very
least.]

Starts up- Easier public procurement norms

Objective:

To make it easier for startups to participate in the public procurement process and allow
them to access another potential market for their products

Benefits:

i. Opportunity to list product on Government e-Marketplace

ii. Exemption from prior experience/turnover
iii. Earnest Money Deposit exemption

Grievance redressal at: [email protected]

Details of Top Five States in the country with highest number of recognized
Startups under Startup India Initiative

No. of Recognized
S.No. State
Startups
1 Maharashtra 3661
2 Karnataka 2847
3 Delhi 2552
4 Uttar Pradesh 1566
5 Telangana 1080

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 Startup India State Rankings 2019

Ranks States

Best Gujarat, Andaman and Nicobar Islands

performer

Top Karnataka, Kerala

performers

Leader Maharashtra, Odisha, Rajasthan, Bihar and Chandigarh

Aspiring Telangana, Uttarakhand, Haryana, Jharkhand, Punjab, Nagaland

leaders

Emerging Chattisgarh, Himachal Pradesh, Andhra Pradesh, Tamil Nadu, Madhya

states Pradesh, Uttar Pradesh Assam, Delhi, Mizoram and Sikkim

Startup India State Rankings 2018

Ranks States

Best Gujarat
performer

Top Karnataka, Kerala, Odisha, and Rajasthan

performers

Leader Andhra Pradesh, Bihar, Chhattisgarh, Madhya Pradesh, and Telangana

Aspiring Haryana, Himachal Pradesh, Jharkhand, Uttar Pradesh, and West Bengal
leaders

Emerging Assam, Delhi, Goa, Jammu & Kashmir, Maharashtra, Punjab, Tamil
states Nadu, and Uttarakhand

Beginners Chandigarh, Manipur, Mizoram, Nagaland, Puducherry, Sikkim, and

Tripura

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CHAPTER 19:

INVEST INDIA www.investindia.gov.in

Invest India was formed in 2009 under Section 25 of the Companies Act 1956 for
promotion offoreign investment with 49% equity of the then Department of
Industrial Policy and Promotion, Ministry of Commerce and Industry and 51%
shareholding by FICCI. The current shareholding pattern of Invest India is 51 % of
Industry Associations (i.e. 17% each of FICCI, CII & NASSCOM) and the
remaining 49% of Central and 19 State Governments. As reported by Invest India,
it is currently working with 1003 companies, with an indicated investment worth
USD 137 Billion and indicated employment of 1,981,147 extending end-to-end
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facilitation supports. Out of these, investments worth USD 23 Billion and 138,083
employments have been realized during September 2014 till date. Invest India has
responded to 190,431 business requests during the period from September 2014 till
date and is actively working with several Indian States to build capacity and
strengthen existing Investment Promotion Agencies as well as bring in global best
practices in investment targeting, promotion and facilitation areas.

The projects which are being handled by Invest India, inter-alia, include the
following:

i. Proactive Investor Targeting: Invest India identifies target

companies across focus sectors from target markets looking to
initiate investment into India or further expansion in India.
ii. Handholding support: The provision of high quality services to
support investors throughout the investment life cycle is extremely
important and Invest India creates vital differentiation and an
invaluable service offering of guidance, handholding, problem
solving and facilitation for investors.
iii. Bilateral CEO Forums: Government of India has
institutionalized bilateral CEOs forums with various countries to
identify new avenues for cooperation and take initiatives to
facilitate business links between countries. Invest India takes up
the responsibility of acting as the nodal point for investment
related issues/ recommendations and help action investment
specific resolutions raised at the CEOs Forums.
iv. Country – Sector Outreach: Invest India proactively contributes
to national and regional policy development by planning
Country/Sector interactions
v. Strategic Investment Research Unit: It shapes India‘s
investment landscape and drives a step change in the quality and

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 quantity of FDI. The Strategic Investment Research unit not only
act as a strong pillar for the core functions of the IPA, like investor
targeting and facilitation, but also assist in preparing investment
related briefings.
vi. Harnessing Information & Communication Technology for
FDI:Invest India scales up use of technology for investment
targeting and facilitation. Using Information and Communication
Technology, IPAs are putting in place increasingly sophisticated
investor inquiry tracking tools to handle and process such inquiries
vii. Working with State Investment Promotion Agencies: Invest
India plays a central role in ensuring that FDI is on the agenda of
all State agencies, State Governments and stakeholders,
highlighting the substantial economic and social benefits which
can be accrued locally from FDI.
viii. Startups:Startup India is a flagship initiative of the Government
of India, intended to build a strong eco-system for nurturing
innovation and Startups in the country that will drive sustainable
economic growth and generate large scale employment
opportunities. The Department for Promotion of Industry and
Internal Trade with the help of Invest India aims to empower
Startups to grow through innovation and design through this
intiative.
ix. Accelerating Growth of New India’s Innovations (AGNIi): It
aims to support the ongoing efforts to boost the innovation
ecosystem in the country by connecting innovators across industry,
individuals and the grassroots to the market and helping
commercialise their innovative solutions. Invest India provide a
platform for innovators to bring their market ready products and

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 solutions to industry thereby helping propel India into a new era of
inclusive economic growth.
x. India Investment Grid: India Investment Grid (IIG) is an online
platform to showcase investment opportunities in India to global
investors. The platform is looked after by Invest India.

Invest India The Winner of the Investment Promotion Award 2020

The United Nations (UNCTAD) [www.unctad.org] has declared Invest India- the
National Investment Promotion Agency of India- as a winner of the 2020 United
Nations Investment Promotion Award. This United Nations Investment Promotion
Award is the most coveted award for Investment Promotion Agencies. UNCTAD
stands for United Nations Conference on Trade and Development. It was
established in 1964 as a permanent intergovernmental body.UNCTAD is the part
of the United Nations Secretariat dealing with trade, investment, and development
issues. It is acentral agency that monitors performance of IPAs and identifies
global best practices. Germany, South Korea and Singapore have been some of the
past winners of the award. The award recognizes and celebrates the outstanding
achievements and best practices of Investment Promotion Agencies (IPAs) across
the globe. The evaluation was based on UNCTAD‘s assessment of work
undertaken by 180 Investment Promotion Agencies. The COVID-19 pandemic has
led to numerous challenges for Investment Promotion Agencies forcing them to
shift focus from routine investment promotion and facilitation towards crisis
management, notification of government emergency and economic relief
measures, provision of crisis support services, and contribution to national
COVID-19 business response efforts. . In March 2020, UNCTAD constituted a
team to monitor the response of IPAs to the pandemic. UNCTAD reported best
practices from Investment Promotion Agencies in the IPA Observer publications in
April and July 2020. The response of IPAs to the pandemic became the basis for
the evaluation of the 2020 United Nations Investment Promotion Award.

136
UNCTAD highlighted good practices followed by Invest India, such as the
Business Immunity Platform, Exclusive Investment Forum webinar series, its
social media engagement and focus COVID response teams (such as business
reconstruction, stakeholder outreach and supplier outreach) created as a response
to the pandemic, in its publications.

In the words of Mr. Deepak Bagla, MD & CEO, Invest India said, ―The award is a
testament to the Hon‘ble Prime Minister‘s vision of making India a preferred
investment destination. It bears testimony to his focus on Ease of Living, Ease of
Doing Business and creating an Aatmanirbhar Bharat‖.

CHAPTER 20:

FOREIGN TRADE POLICY

India is presently known as one of the most important players in the global
economic landscape. Its trade policies, Government reforms and inherent
economic strengths has attributed to its standing as one of the most sought-after
destination for foreign investments in the world. Also, technological, and
infrastructural development being carried out across the country augurs well for
the trade and economic sector in the years to come.

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The Government of India has been working on striking important deals with the
Governments of Japan, Australia, and China to increase contribution towards the
economic development of the country and growth in the global market.

The Foreign Trade Policy (FTP) was introduced by the Government to grow the
Indian export of goods and services, generating employment and increasing value
addition in the country. The Government, through the implementation of the
policy, seeks to develop the manufacturing and service sectors. This article is a
snapshot of the various aspects of the policy. The Foreign Trade Policy (FTP) was
flagged off in the financial year of 2015-16, and will remain effective until the
31st of March, 2020 which is now extended upto 31st march 2021. During this
period, all the exports and imports of the country are governed by the policy.

Foreign Trade Policies Aimed at Improving Ease of Doing Business

Here‘s an overview of some of the major initiatives under the Foreign Trade
Policy:

 Niryat Bandhu Scheme

The DGFT has come up with the Niryat Bandhu Scheme for mentoring budding
exporters on the intricacies of foreign trade by means of counseling, training and
outreach programmes. Given the rise of small and medium scale enterprises and
their role in employing people, MSME clusters have been identified for focused
interventions to increase exports.

To achieve the objective of the scheme, outreach activities will be organized in a

structured manner with the assistance of Export Promotion Councils and other
willing knowledge partners in academia and research community. Besides, for the
optimal utilization of resources, all the stakeholders will be attempted to be
associated, including Customs, ECGC, Banks and concerned Ministries.

 Electronic IEC

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Import exporter code, or in casual terms, export permit is mandatory for carrying
out exports and imports from/to another country. DGFT has facilitated the online
filing of IEC application.

 E-BRC

The initiative of Electronic Bank Certificate (e-BRC) enables DGFT to capture

essential details of realization of export proceeds directly from the banks by means
of secured electronic mode. This paves the way for implementation of various
export promotion schemes without any physical interface with the stake holders.

A Memorandum of Understanding (MOU) has been signed with 14 State

Governments for sharing e-BRC data to benefit the exporters with GST refunds.
Moreover, MOU has been signed with Enforcement Directorate, Agricultural
Directorate, Agricultural Processed Food Products Export Development Authority
and Goods and Services Tax Network (GSTN).

 Exporter Importer Profile

Exporter importer profile is created to upload various documents, and to reduce the
cost of transaction and time. One of the featured advantages of the system is that
after the documents are uploaded, it isn‘t necessary to submit the documents or
copies of the same to Regional Authority repeatedly with each application.

 Online Filing of Applications

Thanks to digitization, filing of applications has been made easier than ever before.
The DGFT has facilitated the online filing of applications to obtain IEC and
various Authorizations/scrip. The entity has introduced a web interface for online
filing of application. The application can be paid online and the fees can be
remitted through the banking facilities provided. The furnished applications are
digitally signed and submitted electronically to the concerned Regional Authority

139
of DGFT, post which it is electronically processed by the Regional Authority and
Authorization/scrip‘s are issued.

 Online Inter-Ministerial Consultation

In a recent development, the exporters are provided with a facility to upload copies
of all the required documents including technical specifications, literature, and the
likes of it in PDF, JPG, JPEG or GIF format in the online filing system in respect
of:

 Fixation of norms under Advance Authorization by Norms Committees.

 Export of restricted items.

 Import of restricted items.

 SCOMET items.

The exporters are not anymore required to submit the hard copy of application
other than agricultural drawings, machine drawings, etc; which is difficult to scan
and upload. The applications will be processed online.

 Facility for CA/CS/Cost Accountant

Charted Accountants, Company Secretaries and Cost Accountants can now

upload their digitally signed documents through an electronic procedure. By using
this facility, the exporter shall link digitally uploaded annexure with his/her online
application.

 Electronic Data Interchange

DGFT has established the system of EDI with the objective of facilitating exports
and promoting good governance. The official body has set up a secured EDI
message exchange system for activities connected with documentation, namely;
Customs, banks and EPC‘s; thereby resulting in reduced physical interface of

140
exporters and importers with the Government Departments. Besides, it leads to the
waiver of transaction costs.

 Export Consignment

Export consignments will be processed without any delay/ withdrawal for any
reason. The concerned authorities can instead ask for an undertaking from exporter
and release such consignment.

 Withdrawal of Seizure of Export Related Stock

Agencies should abstain from making any seizures as it stands in the way of the
manufacturing activity and hampers the schedule of delivery. Certain agencies are
still entitled to conduct the seizure based on prima facie evidence of serious
irregularity, in which case the seizures should be withdrawn within seven days
unless the defaults are substantiated.

 Round-the-Clock Customs Clearance

24*7 customs clearance has been made available at 19 sea ports and 17 air cargo
complexes. The round-the clock Customs clearance facility has been extended to
all Bills of Entry at 19 sea ports and 17 Air Cargo Complexes. In addition to it,
Merchant Overtime Charges (MOT) need not be collected for the services
provided by the Customs officers at 24*7 Customs Ports and Airports.

 Single Window Interface

Single Window Interface for Facilitating Trade (SWIFT) has been launched to
facilitate the easier perusal of business. The system enables the importers to
electronically lodge Integrated Declaration at a single point only with Customs.
The necessary permissions are obtained from other regulatory agencies without
physically approaching them.

 Authorized Economic Operator (AEO) Programme

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In accordance with WCO‘s Safe Framework of Standards (FOS), Indian Customs
have developed an Authorized Economic Operator (AEO) programme to the
benefit of businesses engaged in international trade. The following benefits are
accorded:

 Secure supply chain from point of export to import.

 Potential to comply with the security standards when contracting to supply

overseas importers or exporters.

 Enhanced privileges of border clearance in countries partnered by Mutual

Recognition Agreement (MRA).

 Minimal disruption to flow of cargo after a disruption related to security

disruption.

 Reduction in dwell time and related costs.

 Customs advice or assistance on unforeseen issues experienced by trade

with Customs of countries with which India have partnered with MRA.

 Facility of Filing Shipping Bills

Shipping bills can now be filed online before the actual shipment. Bills of air
shipment can be filed before seven days, whereas bills of ICD‘s can be filed before
14 days for shipments by sea.

 Facilitating Export of Perishable Export Products

To reduce the costs of transportation and handling, a single window system has
been introduced to facilitate the export of perishable agricultural produce. Under
this system, multi functional nodal agencies will be accredited by the Delhi based

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Agricultural and Processed Food Products Export Development Authority
(APEDA).

 Time Release Study

Time release study is a unique tool created by the WCO for determining the actual
performance of Customs. In addition to it, the tool helps in identifying bottlenecks
in the international supply chain or constraints affecting Customs release. Indian
Customs will now implement it at major Customs locations on a six-month basis.

 Towns of Export Excellence

Specified towns with a goods turnover of Rs 750 Crore or more may be notified as
TEE based on its export potential. Handloom, handicraft, agriculture and fisheries
sector will have a threshold limit of Rs 150 Crore. Tee‘s will be provided with the
following benefits:

 Recognized associations of units will receive financial assistance under MAI

scheme on priority basis, for export promotion projects in marketing,
capacity building and technological services.

 Common service providers in these areas will be considered eligible for

Authorization under EPCG scheme.

 National Committee on Trade Facilitation (NCTF)

National Committee on Trade Facilitation (NCTE) has been constituted in

consequence to India‘s ratification of the WTO agreement on Trade Facilitation
(TFA). It has been established to facilitate domestic co-ordination and
implementation of TFA provisions.

 E-Mail Notification Service

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The Central Board of Excise and Customs (CBEC) has commenced an e-mail
notification service to assist the importers with information pertaining to all
important stages of import clearances.

 Facility of Deferred Payment

As another measure for facilitation of trade, the CBEC has introduced the facility
of deferred payment of customs duty. Certified importers under AEO programme
are considered eligible for availing the benefit of the facility.

Directorate General of Foreign Trade (DGFT):

The Directorate General of Foreign Trade (DGFT) [www.dgft.gov.in] is a

government body responsible for implementing the country‘s foreign trade policy.
The DGFT is the chief body that administers laws related to foreign trade and
foreign investment in India.It implements the foreign trade policy or the EXIM
(export-import) policy of the government and has mandate to promote exports
from India. The DGFT is an attached body of the Ministry of Commerce &
Industry, GOIby the Director-General of Foreign Trade. He/she is at the apex
position of the Indian Trade Services (ITS). It was formed in 1991 when the LGP
(liberalization, globalization, privatization) policies of the government took off.
Read more on the Economic Reforms of 1991.Before 1991, the DGFT was known
as the Chief Controller of Imports & Exports (CCI&E).The organization
formulates guidelines for Indian exporters and importers. Since the liberalization,
the DGFT is no longer the ‗controller‘, rather it is a facilitator in matters of foreign
trade. There was a policy shift from control/prohibition to facilitate/promotion of
foreign trade. The office works in tandem with other similar organizations such as
the Customs Commissionerate, the DRI authorities, the Central Excise authorities,
and the Enforcement Directorate. The DGFT is the licensing authority for
export/import businesses in India. Its offices offer facilitation to exporters in
connection with developments in international trade such as WTO Agreements,

144
Rules of Origin and anti-dumping issues, etc. to aid them in their export and
import decisions in an international dynamic environment. The Directorate is
headquartered in New Delhi with 38 regional offices all over the country.

CHAPTER 21:

EXPORT AND IMPORT:

India exports approximately 7500 commodities to about 190 countries, and

imports around 6000 commodities from 140 countries. India exported US$318.2
billion and imported $462.9 billion worth of commodities in 2014. The
Government of India's Economic Survey 2017–18 noted that five states —

145
Maharashtra, Gujarat, Karnataka, Tamil Nadu and Telangana — accounted for
70% of India's total exports. It was the first time that the survey included
international export data for states. The survey found a high correlation between a
state's Gross State Domestic Product (GSDP) per capita and its share of total
exports. With a high GSDP per capita but low export share, Kerala was the only
major outlier because the state's GSDP per capita was heavily influenced by
remittances.

The survey also found that the largest firms in India contributed to a smaller
percentage of exports when compared to countries like Brazil, Germany, Mexico,
and the United States. The top 1% of India's companies accounted for 38% of total
exports.

The provisional data for March exports, released by the Ministry of Commerce at
the end of April, reveals a grim situation. As per the data, India‘s exports during
March 2020 accounted for a little over $21.4 billion, despite a promising
performance in just the previous month. This fall of approximately 35% year-on-
year, as compared to March 2019 ($32.72 billion), is touching a multi-year low,
and the figures are bound to fall further. A key thing to note is that exports have
fallen across almost all of the commodity groups. Some commodities have
registered a decline by over 30-40%, particularly engineering goods, textiles, meat,
cereals, plastics and chemicals, which have been the major growth drivers of
exports in recent years. As an immediate aftermath of the spread of the COVID-19
pandemic to multiple countries, global demand has fallen significantly and many
orders have been cancelled. Further, the disruption of supply chains due to the
ongoing lockdown has aggravated the poor performance of Indian exports -- and
the situation is likely to worsen in the coming months, before recovery starts.
India's electrical machinery and equipment has 40 per cent dependence on imports
from China. However this number has reduced from 59.5 per cent in FY18 to 40
per cent in FY19.Although India has increased production of low-end electronic

146
components. Import dependency on China is its major limitation. The automobile
sector, which accounts for 7.5 per cent of India's GDP and a massive 49 per cent of
the manufacturing GDP, is already facing slowdown. The corona virus lockdown
has made the situation worse for the auto sector as 10 to 30 per cent of automotive
components are supplied from China. If factories do not resume activity in China,
it could adversely affect the sector.

EXPORT PROMOTION COUNCILS

The Ministry of Commerce and Industry, Government of India administers two

departments, the Department of Commerce and the Department of Commerce
www.commerce.gov.in and the Department for Promotion of Industry & Internal
Trade www.dipp.gov.in (formerly Department of Industrial Policy & Promotion).
The Minister of Commerce and Industry is the head of the Ministry of Commerce
and Industry and one of the cabinet ministers of the Government of India. The first
Minister of Commerce and Industry of independent India was Syama Prasad
Mukherjee. The current Minister is Piyush Goyal of the Bharatiya Janata Party.
Goyal took over from Suresh Prabhu on 31 May 2019.

The Department of Commerce is entrusted with formulating and implementing the

export strategy and promotion measures. There is a strong linkage between public
and private sectors with respect to the formulation and implementation of export
strategy. Export Promotion Councils (EPCs) and the Federation of Indian Export
Organisations (FIEO) take a lead to compile the views of exporters as an interface
between the Government and exporters and submit the memoranda to Government
on Policies and Budgets related to exports.

Export promotion councils in India:

The main role of the EPCs is to project India's image abroad as a reliable supplier
of high quality goods and services. In particular, the EPCs encourage and monitor
the observance of international standards and specifications by exporters. The
147
EPCs keep abreast of the trends and opportunities in international markets for
goods and services and assist their members in taking advantages of such
opportunities in order to expand and diversify exports.

The basic objective of an EPC is simple – to promote exports from the country.
Each Council is responsible for the promotion of a particular group of products,
projects and services. One of the main roles of an EPC is also to project India‘s
image overseas as a reliable supplier of high quality goods and services. EPCs are
also mandated to encourage and monitor the observance of international standards
and specifications by exporters, as well as keep them abreast of the trends and
opportunities in international markets for goods and services.

List of Export Promotion Councils in India:

1. Apparel Export Promotion Council

Apparel House, Institutional Area Sector-44,

Gurgaon-122003, Haryana
Phone: 0124-2708000-3
Fax : 0124-2708004

2. Basic Chemicals, Pharmaceuticals and Cosmetics Export Promotion

Council (CHEMEXCIL)

Jhansi Castle, 4th floor,

148
7-Cooperage Road, Mumbai - 400039
Tel. : (91)22-2021288/2021330/2026549
Fax : (91)22-2026684

3. Carpet Export Promotion Council

2nd Floor, Rajiv Gandhi Handicrafts Bhawan,

Baba Kharak Singh Marg, New Delhi - 110001, INDIA
Tele: +91-11-23364716
Fax: +91-11-23364717
Email: [email protected]

4. Cashew Export Promotion Council

Cashew Bhavan, Mundakkal, Kollam - 691001, Kerala, India

Tel.: 0474 2742704/2761003
Fax: 0474 2742704
Email: cepc@cashewìndia.org cchi.kollam@cashewìndìa.org

4. Chemicals and Allied Products Export Promotion Council (CAPEXIL)

"Vanijya Bhavan", International Trade Facilitation Center,

3rd Floor, 1/1 Wood Street, Kolkata-700016
Tel. : (91)-33-22890524/0525

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Fax : (91)33-22891724
E-mail: [email protected]

5. Council for Leather Exports

3rd floor, CMDA Tower-2 Gandhi Irwin Bridge Road,

Egmore, Chennai - 600008
Tel. : (91)44-28594367-71(5 lines)
Fax : (91)44-28594363/64
E-Mail: [email protected] m

6. Electronics and Computer Software

Export Promotion Council

3rd Floor, PHD House

Opp. Asiad Village
New Delhi 110016
Tel:+ 91 11 26965103 26964463 47480000
Fax: +91 11 26853412
Email : [email protected]

9. Engineering Export Promotion Council, India (EEPC India)

anijya Bhawan, 1st Floor, International Trade Facilitation Centre,

1/1, Wood Street, Kolkata - 700016
Tel. : 91-33-22890651/52

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Fax : 91-33-22890654
E-mail : [email protected]

10. Export Promotion Council for EOUs & SEZ Units

8G,8th Floor, Hansalaya Bldg.,

15, Barakhamba Road,
New Delhi - 110001
Tel. : (91)11-23329766-69
Fax : (91)11-23329770
E-Mail : [email protected] [email protected] , [email protected]

11. Export Promotion Council for Handicrafts

EPCH House, Pocket 6&7, Sector 'C',

LSC, Vasant Kunj, New Delhi-110070
Tel: +91-11+26135256
Fax: +91-11-26135518 & 19
Email: [email protected]

12. Gem and Jewellery Export Promotion Council

Office No. AW 1010, Tower A, G Block,

151
Bharat Diamond Bourse, Next to ICICI Bank,
Bandra-Kurla Complex, Bandra - East,
Mumbai - 400 051, India
Tel :91-22-26544600
Fax :91-22-26524764
Email : [email protected]

13. Indian Oil Seeds & Produce Export Promotion Council

78-79, Baja] Bhavan, Nariman Point,

Mumbai- 400 021
Tel.: (91) 22 22023225/22029295
Fax: (91) 22 22029236
Email: [email protected]

14. Jute Products Development & Export Promotion Council

Chatterjee International, 5th Floor, Flat No, 8, 33A, J.N.Road

Kolkata, West Bengal, 700071, India
Email: [email protected]
Phone: 033 65006816
Fax: 033-22884418
Mobile: 09230616887 (O)

15. Pharmaceutical Export Promotion Council

101, Aditya Trade Center,

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Ameerpet, Hyderabad - 500038
Tel : (91)40-23735462/66
Fax : (91)40-23735464
E-Mail : [email protected]

16. Powerloom Development & Export Promotion Council

GC-2, Ground Floor, Gundecha Onclave,

Kherani Road, Saki Naka, Andheri (East),
Mumbai - 400 072 (INDIA)
Tel. +91 (22) 67254510 / 67254497 / 67254498
Fax +91 (22) 67254526
Email : [email protected]

17. Project Exports Promotion Council of India (PEPC)

1112, Arunachal Building(11th Floor)

19, Barakhamba Road
New Delhi - 110001
TEL. : 91-11-41514673, 41514284
E-Mail : [email protected]

18. Services Export Promotion Council

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509-518, 5th Floor, APPAREL House, Sector-44,
Institutional Area, Gurgaon-122003
Tel. : (91)124-2587666 to 68
Fax : (91)124-2587666
E-Mail : [email protected]

19. Shellac Export Promotion Council

"Vanijya Bhawan" International Trade Facilitation Centre,

1/1 Wood Street, 2nd Floor, Kolkata - 700016
Tel. : (91)33-22834417,22834697, 22834698
Fax : (91)33-22834699

20. Sports Goods Export Promotion Council

1-E/6, Swami Ram Tirth Nagar,

Jhandewalan Extn. New Delhi - 100055
Tel. : (91)11-23525695-23516183
Fax : (91)11-23632147
E-Mail : [email protected]

21. The Cotton Textiles Export Promotion Council of India

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Engineering Centre, 5th Floor
9 Mathew Road, Mumbai 400004
Telephone : (022) 2363 2910 to 13
Fax : (022) 2363 2914
Email : [email protected]

22. The Handloom Export Promotion Council

34, Cathedral Garden Road,

Nungambakkam, Chennai –600034.
Tel : +91 44 28278879 / 6043
Fax : +91 44 28271761
E-Mail : [email protected]

23. The Indian Silk Export Promotion Council

B-1, Extn/A-39,
Mohan Cooperative industrial Estate,
Mathura Road, New Delhi-110044
Email: [email protected]
Telefax: 011-40571366

24. The Plastics Export Promotion Council

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Crystal Tower, Gundivali Road No. 3, Opp Sir M.V.Road,
Andheri(East), Mumbai-400 069
Tel. : (91)22-26833951/52
Fax : (91)22-26833953/4057
E-Mail : [email protected]

25. The Synthetic & Rayon Textiles Export Promotion Council

Resham Bhavan, 78,

Veer Nariman Road,
Mumbai-400020
Phone: (+91-22) 22048797, 22048690
Fax: (+91-22) 2204 8358 / 2281 0091
Email: [email protected] ; [email protected]

26. Wool & Woollens Export Promotion Council

Flat No. 614, Indra Prakash Building,

21, Barakhamba Road , New Delhi -110001
Tel: 011-23315512, 23315205
Fax: 011-23730182
Email: [email protected]

27. Wool Industry Export Promotion Council

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Churchgate Chambers, 7th Floor, 5,
New Marine Lines, Mumbai – 400020
Tel.No.0091 22-22624372
Fax No.0091 22 22624675
E-mail: [email protected]

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CHAPTER 22:

COMMERCIAL CONTRACTS

Today, in the business world, the person liable for making the contract with the
consumer, supplier or service provider or buying a goods or hiring a car, house or
etc., on lease should have enough knowledge of law of contract because all
business and commercial transactions are based on contracts which are regulated
under the law of contract. So, it is highly essential for the traders to manage the
contract effectively whereby many unexpected and unpredicted legal issues may
be avoided. The law of contract provides all relevant keys to the contracting parties
which would help them in better understanding the legal and managerial problems
in contract formulation, performance and implementation so that they can
successfully avoid some of the intrinsic mistakes usually committed by the parties
while formulating the terms and conditions for making domestic and/or
international commercial contracts.

A contract may be defined as an exchange relationship created by oral or written

agreement between two or more person, containing at least one promise, and
recognized in law as enforceable. It is an agreement between two or more persons
intended to create a legal obligation between them and to be legally enforceable.

According to the Indian Contract Act 1872,

Contract is defined under section 2(h); ―an agreement enforceable by law‖.

Agreement is defined under section 2(c); ―every promise and every set of
promises, forming the consideration for each other‖.

―Promise; according to section 2(b), when a person to whom the proposal is made
signifies his assent thereto, the proposal is said to be accepted‖

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proposal is defined under section section 2(a) as: ―when one person signifies to
other his willingness to do or abstain from doing anything with a view to obtaining
the assent of that other to such acts or abstinence, he is said to make a proposal‖.

section 2(b) Acceptance is; ―when the person to whom the proposal is made
signifies his assent thereto, the proposal is said to be accepted‖.

The essentials of a valid contract are that:

 the parties must have had contractual capacity;

 must have reached agreement on all the material terms of the contract;
 must have intended the agreement to be legally enforceable, as opposed to
merely a social or moral obligation; and
 the agreement must not be objectionable by virtue of illegality,
impossibility, or the fact that it is contrary to public policy.

A contract is an agreement which the parties intended to be legally binding. The

validity of contract is provided under section 10 of the act.

Commercial contracts bind the business world together. Although

verbal contracts can be legally enforceable, their terms may be difficult to prove.
Therefore, it is always advisable to have a written contract with suppliers,
customers, advisers; and/or government bodies. A written contract plays a vital
role in any business transaction. Apart from making the agreement between
concerned parties legally binding, contracts can also serve as future references,
part of the business‘ policies, as well serve as proof in the event of
misunderstandings, complaints or disputes needing litigation proceedings.

Some advantages of the Written Contract:

 Proof of details
 Prevent misunderstanding from arising if any
 Provide security and peace
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  Guaranteed confidentiality
 Serves as an official record of business engagement

It is important to understand that if we enter into contract with commercial

organization we will have important obligations to fulfil in return for any rewards
that we might receive. So before any commercial contract is finally signed all
parties should invest considerable time and effort in the process which can take
many months.

The terms of a commercial contract are usually quite formal and vary for each
organisation and transaction.

Enforceability of electronically executed contracts in India:

Under the provisions of the Information Technology Act, 2000 particularly Section
10-A, an electronic contract is valid and enforceable. The only essential
requirement to validate an electronic contract is compliance with the necessary
pre-requisites provided under the Indian Contract Act, 1872. That is a valid and
legally binding contract must have an offer, acceptance of such offer, be for legal
consideration, and be made in free will. Also, the courts in India give due regard
to electronic contracts under the provisions of the Indian Evidence Act, 1872.

How E - Contracts Can Be Entered Into: E-Contracts can be entered into

through modes of communication such as e-mail, internet and fax. The only
essential requirement to validate an E-Contract is compliance with the necessary
pre- requisites provided under the Indian Contract Act, 1872.

Evidentiary Value of Electronic Records:

The courts in India recognize electronic documents under Section 65-A of Indian
Evidence Act, 1872. The procedure for furnishing electronic documents as
evidence is provided under Section 65-B of the Indian Evidence Act, 1872. As per
Section 65-B of the Indian Evidence Act, 1872 any information contained in an

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electronic record produced by a computer in printed, stored or copied form shall be
deemed to be a document and it can be admissible as evidence in any proceeding
without further proof of the original.

General details to be included in commercial contract:

 Identity of the parties

 Term of the contract
 Commercial benefits
 Obligations of the parties to the contract
 Purpose of the agreement
 Termination details etc.
 Signature of the parties to prove consent to the contract

Important clauses in a Commercial Contract

Commercial contracts form the backbone of many commercial transactions from

vendor agreements to client engagement agreements. While no two businesses or
industries are the same, all commercial contracts share certain fundamental
structures and clauses that have become part of the body of ―best practices‖. There
is both an art and science to drafting them and the following provisions are some
of the most critical in forming a complete commercial contract.

 Names – The full legal names of the entities or signatories.

 Obligations – The obligations or actions required by each party must be
crystal clear regarding the commencement of the agreement, delivery and
payment terms, and must succinctly define what constitutes completion of
the obligations.
 Force Majeure – A French phrase, which means greater force. It is a clause
that alleviates a party from their contractual obligations as a result of forces
or events beyond their control, and limits their liability. Some examples are

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 riots, strikes, wars and floods. It is equally important to include clauses that
concern inherently necessary actions performed by third parties before
performance of contractual obligations. These are sometimes seen as subject
to clauses; for example, Party A would only be able to satisfy its obligation
subject to Party B delivering the parts, material, data, etc. by a certain date.
 Compensation for Non-Stipulated Failure to Satisfy – Should one party
fail to satisfy their contractual obligations due to an unforeseen event, or for
any reason which is not stipulated within the terms of the contract, damages
will need to be paid to the party that has been wronged. The terms of these
damages should be as sharply defined as possible in the contract negotiation.
 Legal Jurisdiction – Whether one is negotiating a contract within the same
country or across international borders, the civil laws of the respective
jurisdictions may be fundamentally different. A solid contract must specify
which jurisdiction and location will litigate a contractual disagreement.

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CHAPTER 23:

NEGOTIATION & MEDIATION

Negotiation:

Negotiation is a process where two or more parties with different needs and goals
discuss an issue to find a mutually acceptable solution. In business, negotiation
skills are important in both informal day-to-day interactions and formal
transactions such as negotiating conditions of sale, lease, service delivery, and
other legal contracts.

Significance:

In terms of procedure, negotiations are probably the most flexible form of dispute
resolution process because it involves only those individuals or parties who are
interested in the matter. They shape the process of negotiation as per their own
needs and at their own convenience. The chances of reaching to a mutually
acceptable agreement are high in this process since the acceptance by all the
parties is ensured. Since the process of negotiation uses the interests-based
approach instead of the generally used positional-based approach, it provides a
greater possibility of a successful outcome. Further there is no compulsion for
either of the parties to participate in the process which makes negotiation a
voluntary process. Once an agreement is reached between the parties, negotiation
may also enhance the relations between them. Apart from all of this, opting for
negotiation over litigation may also reduce the number of delays and turn out to be
less expensive as well. A good negotiation leaves each party satisfied and ready to
do business with each other again.

Mediation:

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Mediation comprises of an act of bringing two states, sides or parties in a dispute
closer together towards an agreement through alternative dispute resolution
(ADR). It is a dialogue in which a (generally) neutral third party, the mediator,
using appropriate techniques, assists two or more parties to help them negotiate an
agreement, with concrete effects, on a matter of common interest.

PRE- INSTITUTION MEDIATION UNDER THE COMMERCIAL

COURTS ACT 2015

The Commercial Courts Act was introduced in 2015 to establish commercial

courts in India for adjudication of "Commercial Disputes". The statute lays down a
streamlined procedure for quick resolution of high stake disputes of a commercial
nature with strict timelines for filing of pleadings, discovery and procedure for
grant of summary judgments. The definition of "Commercial Disputes" under the
Act is broad and generally covers commercial transactions and includes disputes
arising out of intellectual property rights. With the advent of amendment in 2018
that makes it mandatory for a party to exhaust the remedy of mediation before
initiating court proceedings under the Commercial Courts Act, with the limited
exception of cases where urgent relief is being sought. Section 12A of the
Commercial Courts Act provides parties with an alternative means to resolve
disputes through discussions and negotiations with the help of a mediator. The
provision states that a plaintiff must initiate mediation before filing a suit, with a
limited carve out for suits filed with applications for urgent interim relief. The
procedure to be followed in such mediation proceedings is set out in the
Commercial Courts (Pre-Institution Mediation and Settlement) Rules, 2018.

The Schedule I of the commercial courts (pre-institution mediation and settlement)

rules, 2018 provide for the format of mediation application form which is given as
below:

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 Form-1: Mediation Application Form

Name of the Authority and address

Details of Parties:

1. Name of applicant:
2. Address and contact details of applicant:
Address:-
Telephone. No.__________ Mobile.________E-mail ID:______________
3. Name of opposite party:
4. Address and contact details of opposite party:
Address:-
Telephone. No. __________ Mobile. ________E-mail ID:
______________
Details of Dispute:
1. Nature of dispute as per section 2 (1)(c) of the Commercial Courts Act 2015
(4 of 2016):
2. Quantum of claim:
3. Territorial jurisdiction of the competent court:
4. Brief synopsis of commercial dispute (not to exceed 5000 words):
5. Additional points of relevance:
Details of Fee Paid:
Fee paid by DD No. _________ dated ________ Name of Bank and branch
____________. Online transaction No. _______ dated _________.

Date:
Signature of Authority

Note: Form shall be submitted to the Authority with a fee of one thousand rupees.

Advantages of pre-institution mediation:

1. Time and cost-effective. Pre-institution mediation initiated under the

Commercial Courts Act must be completed within a period of three months from
the date of application made by the plaintiff, with a possible extension of two

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months with the consent of the parties. The time bound process saves time and
costs incurred by the parties involved.

A recent example of effective use of this mechanism is the mediation instituted by

Nokia to negotiate licenses for its standard-essential patents relating to technology
used in handsets. The mediation procedure was reportedly completed within a time
span of 8 months and Nokia was able to resolve the dispute without filing a suit.

Patent litigations in India are known to be lengthy. According to one report from
2017, a total of 143 patent infringement suits were filed between 2005 and 2015 in
the Delhi High Court, Bombay High Court, Madras High Court and Calcutta High
Court out of which judgments were delivered in only five cases after completion of
trial proceedings. Exploring the possibility of a settlement before filing a suit could
avoid such lengthy litigation.

2. Confidentiality. Confidentiality of negotiations with a potential licensee is key

to prevent disclosure of important business strategies to competitors. The Rules
ensure confidentiality by providing that the mediator, the parties, and their
counsels must maintain confidentiality about the mediation. Stenographic or audio
or video recording of the mediation proceedings is prohibited under the Rules.

3. No threat of a validity challenge. A patentee must always assess the strength

of their patent before filing a suit since a defendant can challenge the validity of a
patent. Even at the interim stage, a defendant can avoid an injunction being
granted against them by raising a credible challenge to the validity of a patent.
When the patent is susceptible to a challenge, pre-initiation mediation can be a
good choice to negotiate a license without the threat of a validity challenge.

4. Assessing the strength of the opponent's case. Through negotiations in a

mediation proceeding, a patentee can get a sense of the opponent's strengths and
weaknesses and prepare for the possibility of contesting a suit. The opponent
might reveal that their product is covered by another patent or is based on
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technology available in the public domain. The patentee then has time to assess the
likelihood of its success in a suit. There is no bar on seeking interim relief if a suit
is filed in the event of a failure of mediation proceedings. Depending on the
patentee's assessment of its case, a patentee may still seek an interim injunction
even after trying mediation.

5. Negotiating in good faith. Licensee negotiations between parties can often go

on for months. During this time, a potential licensee may at time engage in
infringing acts. The threat of possible litigation that could result due to an
unsuccessful mediation under the Commercial Courts Act would possibly motivate
a potential infringer/ licensee to negotiate license terms in good faith. The Rules
also provide that parties shall participate in the mediation process in good faith
with an intention to settle the dispute.

Standard Mediation Agreement Format:

MEDIATION AGREEMENT

This is an Agreement between ------------------- and --------------, hereinafter

referred to as ―Mediator‖, to enter into mediation with the intent of resolving all
issues regarding ---------------- ---------------. The parties and the mediator
understand and agree as follows:

1. Nature of Mediation: The Parties hereby appoint and retain --------------- as

Mediator for their negotiations. The parties understand that mediation is an
agreement-reaching process in which the mediator assists parties to reach an
agreement in a collaborative, consensual and informed manner. It is understood
that the mediator has no power to decide disputed issues for the parties. The parties
understand that mediation is not a substitute for independent legal advice. The
parties understand that the mediator‘s objective is to facilitate the parties
themselves reaching their best agreement. The parties also understand that the
mediator has an obligation to work on behalf of all parties and that the mediator
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cannot render individual legal advice to any party and will not render remedy nor
arbitrate within the mediation

2. Scope of Mediation: The parties understand that it is for the parties, with the
mediator's concurrence, to determine the scope of the mediation and this will be
accomplished early in the mediation process.

3. Mediation is voluntary: All parties here state their good intention to complete
their mediation by an agreement. It is, however, understood that any party
withdraw from or suspend the mediation process at any time, for any reason or no
reason. The parties also understand that the mediator may suspend or terminate the
mediation, if the mediator feels that the mediation will lead to an unreasonable
result, if the mediator feels that an impasse has been reached, or if the mediator
determines that he can no long effectively perform his facilitative role.

4. Confidentiality: It is understood between the parties and the mediator that the
mediation will be strictly confidential. Mediation discussions, any draft resolutions
and any unsigned mediated Agreements shall not be admissible in any court,
administrative or other contested proceeding. Only a mediated Agreement signed
by any parties may be so admissible. The parties further agree to not call the
mediator to testify concerning the mediation nor to provide any materials from the
mediation in any court or other contested proceeding between the parties. The
mediation is considered by the parties and the mediator as settlement negotiations.
All parties also understand and agree that the mediator may have private meetings
and discussions with any individual party, in which case all such meetings and
discussions shall be confidential between the mediator and the party, unless the
parties agree otherwise.

5. Mediator Impartiality and Neutrality: The parties understand that the mediator
must remain impartial throughout and after the mediation process. Thus, the
mediator will not champion the interests of any party over another in the mediation

168
nor in any court or other proceeding. The mediator is to be impartial as to party
and neutral as to the results of the mediation. The mediator will seek to
affirmatively reveal any operative biases and will disclose any and all prior
contacts with the parties and their legal counsel.

6. Mediation Fees: The parties and the mediator agree that the fee for the mediator
shall be Rupees ----per hour for time spent with the parties and for time required to
study documents, research issues, correspond, telephone call, prepare draft and
final Agreements and do such other things as may be reasonably necessary to
facilitate the parties reaching full Agreement. The mediator shall also be
reimbursed for all expenses incurred as a part of the mediation process.

A payment of Rupees ---------- towards the mediator's fees and expenses shall be
paid to the mediator along with the signing of this agreement. Any unearned
amount of this retainer fee will be refunded to the parties. The parties shall be
jointly and severally liable for the mediator's fees and expenses.

As between the parties only, responsibility for mediation fees and expenses shall
be:

Rupees --------------------

It is so agreed.

(Signature of each Party)

(Signature of each Party)

(Signature of the Mediator)

DATED this __ day of ____, 20_

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 Adv (Dr.) Rajkumar S Adukia

Global Life and Business Transformation Guru

Author of 300 plus books,
B.Com (Hons.), FADV, FCS, FCMA, LL.B, MBA, MBF, M.Com, Dip IFRS (UK),
DLL&LW, DIPR, Dip in Criminology, Ph.D. IP(IBBI),UNODC Advanced Anti-
corruption: Prevention of Corruption
Mobile: 09820061049

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 Email:[email protected]

Introduction

ADV (Dr.) Adukia left no stone unturned during his career span expanding to
more than 37 years. He is chairman of Meridian Business Consultants Private
Limited. The company is involved in providing A to Z services required by any
business. ADV (Dr.) Adukia is a legendary example of seeking ways to explore
new areas of business and profession. He is a pioneer of many areas of
practice which were never thought before by professionals. His mantra is to
provide services to clients that help them in building better and sustainable
businesses. He is a knowledge seeker and believes that knowledge needs to be
ingrained and used for the benefit of society at large. He strongly believes that
professionals have to go beyond the traditional areas of practice like audit
and direct and indirect taxation. These are least rewarded areas in
comparison to the knowledge and expertise we have as chartered
accountants. He feels that one must expand himself to serve better and not
settle for less whether in terms of rewards or the various kinds of
assignments. Being an adherent follower of the “Science of getting Rich, he
believes the pie gets bigger and bigger so that it can cater to every individual’s
need. We contribute in creating abundant universe by asking for more riches.
And he desires better remuneration for assignments not just for himself but
for all his fellow professionals.

He achieves this by mentoring the professionals, handholding them through

various workshops, webinars and lectures he conducts for professionals who
wish to enter into new areas of practice. He has mentored 1000 professionals
for passing the Insolvency Exam and Valuation Exam.

Professional Areas of Expertise

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He has been a well know professional exhibiting expertise and providing
services in the following areas:

 Taxation

 Corporate Advisory & Compliance

 Corporate Insolvency& Bankruptcy

 Civil And Commercial Litigation

 Alternative Dispute Resolution (ADR)

 Intellectual Property Rights

 Anti-trust & Competition

 Real Estate

 Family Law

 Criminal Laws

 Labour &Employment Laws

 Banking & Finance

 Charitable Organizations

 Forensic Services

 Entertainment, Media & Broadcasting

 Pharmaceuticals, Food & Drug

 Antidumping, International Trade Law& WTO

 Telecommunication

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  Information Technology

 Infrastructure Projects

 Insurance Law

 Cooperative Sector

 Environment Law

He represents clients at Debt recovery tribunals and has filed applications

under Insolvency and Bankruptcy Code 2016 for recovery of debts through
National Company Law Tribunal (NCLT). He has also represented clients at
various commercial tribunals like The Appellate tribunal under The
Prevention of Money Laundering Act 2002, The National Company Law
Appellate Tribunal for cases under Companies Act 2013 and the Competition
Act 2002, the Telecom Disputes settlement and Appellate tribunal for cases
under the Information Technology Act 2000.

Experience

His vast experience includes training and professional services to banks,

financial institutions, Corporate, Government Departments, and Regulators
and as:

 An eminent Speaker and Business Advisor,

 An expert on Business laws, cyber laws, cyber security, International
Forensic Expert
 Faculty at Insolvency and Bankruptcy Board of India
 Author of more than 300 books on a wide variety of topics ranging from
those dealing with Trade, Taxation, Finance, Real Estate, the Insolvency
& Bankruptcy Code, Intellectual Property Rights, Banking laws,
Emerging technologies like AI and Blockchain to topics relating to
personal and professional growth. He is the winner of National Book
Honor Awards 2018
 He has been conducting seminars and lectures across various countries.
 Authority on Banking Laws, Insolvency Laws, Insurance Laws,
Intellectual property laws, Indian GAAP, IFRS and Ind-AS.
 Business advisor for various companies on varied subjects

173
  Travelled across the globe for his professional work and knowledge
sharing. He has widely travelled three fourth of globe addressing
international conferences and seminar on various international issues
like Corporate Social Responsibility, Corporate Governance, Business
Ethics etc.

Education

Having graduated from Sydenham College of Commerce & Economics in 1980

as 5th rank holder in Bombay University and he has also received a Gold
Medal for highest marks in Accountancy & Auditing. He cleared the Chartered
Accountancy Examination with 1st Rank in Intermediate and 6th Rank in
Final. He also secured 3rd Rank in the Final Cost Accountancy Course. He has
been awarded G.P. Kapadia prize for best student of the year 1981. He also
holds a Degree in law, PhD in Corporate Governance in Mutual Funds, MBA,
Diploma in IFRS (UK), and Diploma in Labour law and Labour welfare,
Diploma in IPR, Diploma in Criminology.
He has done Master in Business Finance, a one-year post
qualification course by ICAI. He has also done Certificate Courses
conducted by ICAI on

 Arbitration
 Forensic Audit and Fraud prevention
 Concurrent Audit

Significant Professional Achievements:

He is member of International Bar Association. The International Bar

Association, established in 1947, is the world's leading international
organization of legal practitioners, bar associations and law societies. The IBA
influences the development of international law reform and shapes the future
of the legal profession throughout the world.

174
He served as President of GST Research foundation, a society registered
under Societies Registration Act, 1860.

He is the Chairman of Association of Indian Investors, a Section 8 Company

wherein its main thrust is to educate the layman about the principles of safe
investment, the complexity of Capital market, changing rules of market
operations, designing and implementing effective Internal Financial Control
framework, the frame work on enhancing the Cyber security of the
organizations and implementation of ISO 27000 framework and provide
Corporate Governance Services.

He is also Vice President of All India Insolvency Professionals.All India

Insolvency professionals is an organization providing services in the field of
insolvency and bankruptcy, corporate restructuring etc. The Organization is
currently having 200 professionals all over India as its members.

Current& Past Memberships:

 International Financial Reporting Standards (IFRS) Foundation SME

Group
 Insol India National Committee for Regional Affairs.
 Membership of the following committees of International Bar
Association
 Asia Pacific Regional Forum
 Forum for Barristers and AdvoAdvtes
 Arbitration Committee
 Bar Issues Commission (BIC)
 Member of INSOL India
 ADVG Advisory Committee
 Quality Review Board, Government of India

Professional Service

ADV (Dr.). Adukia’s service and contribution to the profession

 Chairman of WIRC of IADVI in 1997-98

175
 International Member of Professional Accountants in Business
Committee (PAIB) of International Federation of Accountants
(IFAC)from 2001 to 2004
 Member of Inspection Panel of Reserve Bank of India
 Member of J.J. Irani committee (which drafted Companies Bill 2008)
 Member of Secretarial Standards Board of ICSI
 Member of Working Group of Competition Commission of India,
National Housing Bank, NABARD, RBI, CBI etc.
 Independent Director of Mutual Fund Company and Asset Management
Company.
 Worked closely with the Ministry of Corporate Affairs on the drafting of
various enactments.
 Served as Independent Director of SBI Funds Management Private
limited and Bank of India asset management co. ltd
 Served as Independent director at ICAI accounting research
foundation section 8 company
 Actively involved with ICAI as a Central Council Member during the
period when the convergence to IFRS was conceptualized in India and
has been instrumental in materializing the idea.
 Address to Insolvency and Bankruptcy Board of India
 Address to Institute of Chartered Accountants of India
 Address to Institute of Company Secretaries of India
 Address to Institute of Cost Accountants of India
 Address to Chamber of Indian Micro Small & Medium Enterprises
 Speaker in IIA’s 2013 International Conference in Orlando on Green
Audit.
 Faculty at Indian Institute of Corporate Affairs for courses on
Insolvency Laws and Corporate laws.
 Faculty Speaker in Workshop on Commodity Risk Management for
Bankers organized by CAFRAL (Centre for Advanced Financial Research
and Learning)
 Faculty at National Institute of Securities Management (NISM)and
Indian Institute of Corporate Affairs (IIADV)
 Addressed the Program for Principal Inspecting Officers & Inspecting
Officers by Reserve Bank of India- Department of Non-Banking
Supervision.

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  Addressed the National apex Chamber of Commerce and State apex
Chamber of Commerce including his address to ASSOCHAM,
Confederation of Indian Industry (CII), Federation of Indian Chamber of
Commerce and Industry (FICCI), and All India Manufacturers
Organisation (AIMO).
 Addressed the CBI officers, officers of Serious Fraud Investigation
Office (SFIO), and various State Police Academies.
 Addressed the SCOPE- Standing Conference of Public Enterprises which
is an apex professional organization representing the Central
Government Public Enterprises. It has also some State Enterprises,
Banks and other Institutions as its members.
 Addressed the National Academy of Audit and Accounts (NAAA)

He has been a panel member at the following Arbitral

Institutions/Forums:
 International Bar Association
 Bombay High Court
 Indian Council of Arbitration
 The International Centre of Alternate Dispute Resolution
 The Institute of Chartered Accountants of India
 Bombay stock exchange
 National stock exchange
 Western Region - Ministry of corporate Affairs, Government of India
 South Eastern region - Ministry of corporate Affairs, Government of
India
 North Western Region - Ministry of corporate Affairs, Government of
India
 India International ADR Association
 International and Domestic Arbitration Centre India
 ASSOCHAM IADVDR
 Mumbai Centre for International Arbitration
 Main Mediation Centre Maharashtra & Goa
 Airports Authority of India (AII)
 Bharat Sanchar Nigam Limited (BSNL)

Global Life and Business Transformation Guru

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adv (Dr.) Adukia is a motivational speaker, Growth Coach, and Life and
business coach. He has done various Self developments from India and USA.
ADV (Dr.) Adukia has done a graduate course from Landmark worldwide
which is a personal and professional growth, training and development
company focusing on people achieving success and fulfillment. His exposure
to advanced programs and introduction to leadership programs has made him
the most sought-after trainer in the areas of business development and
personal development. He has been a trainer at many corporates which has
resulted in positive and permanent shifts in the quality and life of people.

He is adherent follower of “Think and Grow Rich” by Napoleon Hill . He is also

trained by Bob Proctor series on “Thinking into results”. His experience from
his international trainings has been penned down in his various books on self-
development. Some of his books on Self-development are

1. MagiAdvl Formula for Success

2. Strike Gold

3. Reinvent your Mind

4. Self-Empowerment

5. Genius is Universal

6. How to be super successful professional

7. Hoe to be super super successful person

8. Zooming your business and profession

9. Time management

10. Stress management

11. Goal setting

adv (Dr.) Adukia is very passionate about learning new things and believes
self-improvement is a permanent process. His zeal is infectious to any person
who meets him either for professional growth advise, business growth advise
or for personal growth advise. Adv (Dr.) Adukia has given solutions of growth
to everyone.

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He has done courses on:

 Winner

 Time management

 Stress management

He has mastered programs on:

 Siddha Samadhi Yoga

 Silva mind control

 Alternative therapy

 Think and Grow Rich

 Art of living

 Reiki

Awards and Accolades

He has been felicitated with awards like

 The Jeejeebhoy Cup for proficiency and character,

 State Trainer by the Indian Junior Chamber,
 “Rajasthan Shree” by Rajasthan Udgosh, a noted Social Organization of
Rajasthan and
 Several other awards as a successful leader in various fields.
 National Book Honors Award 2018

Adv (Dr.) Adukia continuously endeavors to help the clients achieve the
desired results through customized and innovative solutions which involve
focusing on exploring opportunities and leveraging them to enhance the
growth and expansion of his clients.

Sharing the knowledge is enhancing the knowledge. ADV (Dr.) Adukia

encourages the precise energies in research, training, seminars, and books
writing in the field, the one has passion.

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You can reach me on 9820061049 or email me on
[email protected].

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