Walls, what does a wall do? They stand in between those which should not meet, things which needs to be differentiated or even just to claim territory. I always imagined in our context that what have walls got to do more and which wall has fallen without notice but created a big mental shift. I got my intermediate answer to this, the observation is simple but its implications are stark.
Mitra Mantra
The Shashwat instincts play freely here
Friday, November 22, 2013
Demolition of The Great Wall in India.
Walls, what does a wall do? They stand in between those which should not meet, things which needs to be differentiated or even just to claim territory. I always imagined in our context that what have walls got to do more and which wall has fallen without notice but created a big mental shift. I got my intermediate answer to this, the observation is simple but its implications are stark.
Friday, January 18, 2013
Sustainability & the state of "Shashwat"
Sunday, June 3, 2012
Our first official tour...
Saturday, March 31, 2012
Insight to auto car dealers, why few offer discounts? How they afford to offer discounts? Why do they do so? What happens to the ones who don’t?
India has seen the automotive sector booming at a very promising pace with most of the global big names preparing their foothold in the country. Firstly, India has a very high captive market for the passenger cars and secondly, India offers cheap labors hence the automotive companies have made India there production hub. Few companies cater to the global market by through production in India.
In this article the author will make a mention as to why the dealers for passenger cars offer discounts and give a perspective to the other side of offering discounts.
In the B, B+ & C segment cars in India, there happens to be a strong correlation between the discounts these dealers extend to the profit they make.
These dealers have their prime focus to sell the car and that too by offering heavy discounts what so ever possible. They increase their market presence by selling the cars in the local market, but do they really make any profit by just selling these cars? The answer will be shocking to many; they just make mere marginal profit by selling cars. Now, if they make so less profit by selling cars, why do they still offer discounts and sell these cars across, they can always reduce the discount and make higher profit out of it. Perhaps a deeper look into the profit model of these dealers revel that they make profits by not just selling but by servicing them.
How it operates? The dealers bring down the price point of the car to a lower level from P1 to P2 by offering discounts (i.e. P1-P2); the consequent effect to the same is seen in the car sales which go up from Q1 to Q2. Hence with the mentioned discount the sales volume go high. (Refer the under mentioned exhibit)
The dealer makes profit when these cars come back for servicing. Also they try is to attract more cars from the market which they haven’t sold for servicing. As long as the business of servicing of cars is working, the profits keep flowing in.
When this operational model is seen from evolutionary perspective the intention of the dealers are very clear. In the finite world with fewer customers and more offering, the traditional model of making profits by selling can no longer earn them that extra north bound revenue at the end of the year. The customers are drawn by lucrative discounts and once the sale is made the peculiarity of a particular car sold can be handled by the company run service station itself, moreover these days the customer have become more sensitive to servicing and they return back to the same dealer for their servicing needs.
This intention of going back to the same dealer for servicing is by the virtue of latent pull which the dealer creates with the positive vibe while selling the car to the customer and the customer has a mental picture that the particular dealer gave him the best offer in terms of discount and hence an intrinsic loyalty pull comes towards the dealer.
What is the darker side of this model? As Charles Darwin’s theory of “origin of species” made Herbert Spencer make a mention of “Survival of Fittest” and used it in his economic theories on the similar lines I want to draw a similarity in this article as well.
When a particular dealer does not do well in services and his profits tendency to decline, he usually thinks of micro correction by offering lesser discounts and recovers his profits by selling the cars only. It tends to miss the bigger picture, by reducing the discounts; the volume of cars sold drops and even his sales goes down as well.
This is a vicious circle of never ending damage to this dealer. Firstly he reduces offering discounts to increase profits, which actually draw customers away. Secondly, other dealers in the same city keep offering a discount which adds on to the problem of this dealer. Thirdly, even after knowing the fact if tries to offer discounts equal or more than others he will be hitting under the belt and further worsen his own condition. This dealer knows that “people respond to incentives” (4th Principle of Economics) still there is no way to come out of this condition, unless fresh cash is flown in.
The article can also be viewed from the 1st Principle of Economics: “People face trade-offs”, here the dealer had to trade-off to either make profits by offering lesser discounts or to make profits by servicing them, but by now it must be clear that in this trade-off the dealer has to let go discounts for the higher profits through services.
Looking the article from the 2nd Principle of Economics: “Cost of something is what you give up to get it”, it is clear that the dealer gives up the discounts to get the profits through services. Hence it costs the dealer in terms of discounts offered.
Friday, January 14, 2011
Imperfect is the best thing happened to me.
Dear Public,
My apologies for staying away from you for so long, but an apology should have a nod above excuses.
The thing which runs on my mind is an off league to my style of writing. People who know me or spent time with me know that I can go crazy over witty issue to prove myself correct ranging from water drinking competition to driving Scorpio so fast that people vomit to spending sleepless nights for a silly 10 marks assignment to working non-stop for over 40 hours.
What goes in my mind is that I can go very often go to extremes to prove my point and to prove that I am near perfect.
But later I realized that I have a big chunk of imperfectness within me and perhaps this imperfectness is the best thing which has happened to me.
In one of the meeting we brainstormed to reach nothing but the very best on world standards, but the direction of the meeting all changed when it was said that the perfect requirement is an end state and the termination of urge to reach a destination fades off. People work better with targets in mind & sight, it’s not important how far or how close it is, it even does not matter how easy or tough is it going to be to achieve it; what matters that there has to be a target, the end state which I would now call as the perfect state.
This lessons of imperfectness comes from all directions, one should not bogged down too much with them but rather filter it with the ones for which you really would like to be called imperfect. Once the imperfectness is seen then it’s all fun working against it, ripping it apart and giving it a fight which it wouldn’t have imagined in its worst nightmares. The charm is in identifying the correct imperfectness and then working against it.
So as I said earlier, this imperfectness is the best thing which has happened to me. It has pushed me far from my cozy & warm safety cocoon to an all new world of unseen issues, unparalleled adversities and fostered every time to new avatar, what remained constant is the Shashwat Instincts.
Ending the article abruptly to keep you unanswered so that trickles your brain.
Isn’t this article imperfect? Keep thinking…
Yours luvingly,
Shashwat K. Mitra
Nine eight eight one seven two six nine one five
Saturday, December 25, 2010
Dynamics of association
Hi Public,
All the above examples touches upon the point of association. The dynamics comes into picture when the current association goes through a change or transformation, it sometimes is further reinforcing & sometimes devastating. These becomes the case why people leave there jobs, change their circle of friends, change career, change their way of living or force someone else to change their way of living.
When the emotions & sentiments are overwhelming, then the scope of practicality takes a back seat. On the same way in business when rage or passion is on a high then the canvas of logic is never painted with the true colors.
Shower your thought over the same and give your view.
Luvingly yours,
Shashwat K. Mitra aka SKM
Sunday, October 17, 2010
Mumbai Inc: My experiences
This is a city which had always accepted me with arms wide open, never felt stranger here and it never disappointed me. In this city I had few days of a passion following, few days of indulgence, few days of professional enigma, few days of connections, few days of disappointment, few days of achievement, few day of challenging my own limits and finally few days of growing & few days of finding the child in me.
I always had a strange feeling when I entered this city & even today I get the same feeling as I indulge into it. For me, mentally I reach Mumbai earlier than I reach their physically.
My first inception to this city had when I was a kid with the Mumbai craze in my eyes. Then I had been around the city in the safest cocoon of my parents. The life was so so simpler that way and Mumbai was so tamed then.
(Watch out for this space… the bigger experience coming soon…)
Friday, October 15, 2010
Sweet September
This September had been a very much similar and a lot different than the past 25 Septembers. It was much similar as I had my birthday, I gifted myself, had the engineers day, travelling comes complementary on this month & yes the month ended. But what was lot different was on both personal & professional fronts. I had to take tough decisions professionally & personally and both were interlinked. I was trying to chart a territory which comes to me as a huge challenge. The challenge seems to get demystified and I thus hail towards getting more clarity.
Sunday, October 10, 2010
Black is the new color
Black means celebration when it’s the color of a tuxedo, black means strength when it is the color of reinforced wall, black means creativity when it’s the color of the board, black means optimism when the rays just try to spear through the dark night, black means passion when it’s the color of your new camera… black means a lot more than the color of sorrow. Now, black is the new color. As I take you all through my experiments with black, you would fall in love with this new color.
Find these pics uploaded on my FB profile http://www.facebook.com/album.php?aid=33519&id=100000413015421
And drop down your comments or mail me directly on shashwat.km@gmail.com
Cadbury: Sahi me kuch khaas hai…
Now almost 20 years later, Cadbury evolved from being a product to a phenomenon. There is no other thing which conveys the feelings as promptly as a Cadbury. Its jingles have now become anthems. Its taste has now become tradition. Its liking has now become an emotion. The same piece of Cadbury means just so much and the same jingle means so much to many people. I want to devote a piece of Cadbury and the jingle to all my fellas, public & buddies.
This product has moved ahead in all spectrums, as a strategist, as a marketer, as a brother, as a friend, as a junior & as a superior.