By Devansh Pandey
A person who had never heard of the name IIT, challenged himself to get into IIT Delhi and then graduated from IIT Calcutta. He, along with Praveen Sinha, Lakshmi Potluri and Arun Chandra Mohan started Jabong.Com, the famous online shopping website where one could fulfill all his fashion needs.
Source- economictimesindiatimes
Jabong was a business model and funded by RocketInternet, A European Based Venture Capitalist Company which basically picks up business models from developed countries and starts them in developing countries.
It reached new heights and was ready to be sold at a whopping valuation of $1.2 billion within just 2 years. However, their market share started to decline due to highly funded competitions like FlipKart and Myntra.
Source- oneindia
Jabong had no differentiating factor, it was just the same as Myntra which was already Acquired by Flipkart. Manu Kumar Jain Left the Company in 2014 due to his interest in Smartphone Industry and also because he predicted the downfall of Jabong pretty early. Jabong was bought by Myntra for $70 million and later on merged into it by FlipKart, Earlier Parent Company (Now Walmart).
Manu Kumar Jain then introduced Xiaomi, a leading Chinese smartphone brand into the Indian Subcontinent, when there were already big players in the market like Samsung and Apple, and also India’s misconception about Chinese Build Quality.
Source- Twitter
The phones sold astonishingly well, like hot cakes in the market due to their pricing. MI conducted flash sales through which their phones used to be sold and be sold out in minutes after their launch. The reason for success were the marketing strategies by the top-level management which also made Manu Jain one of the best Managing Directors in the world and feature in Fortune India’s top 40 under the age of 40 and also a very good Young Global Leader in the World Economic Forum, 2019
This was the second hit business model in Manu Jain’s Life, MI was continuously selling phones since 2012 and was the largest market share holder, continuously for 18 months until, until Coronavirus came into action.
India is a developing country, A country which does like to stand still, everyone here has a habit of working hard to improve their standard of living, had to stop due to Covid-19 and the non-supportive way of handling it by the Chinese Authorities. Prime Minister Narendra Modi, which looked at this with a positive outlook came up with his movement of “Aatmanirbhar Bharat” and “Vocal for Local” to support the Indian Producers and Consumers.
Xiaomi being a Chinese Brand as a whole had to experience a setback. For the first time in years, Xiaomi lost their position as largest market share holder and was positioned 2nd behind Samsung. It was a big shock for Manu Jain who is Global Vice President of Xiaomi and also the Managing Director of Xiaomi India, as everyone started boycotting Xiaomi to express their anger towards Covid-19 but he managed this problem also with a great mind.
He started advertising about how all MI products are made in India, There were banners put up by MI outside Their offline retail stores which clearly said “Made In India”, which is now helping Xiaomi get back to their position of being the Largest Market Shareholder in India again.
Comments