What Business Are You Really In? 🇮🇳

It’s a question every business must ask itself: What business are we truly in? This isn’t just about what you do but why you do it—and how you adapt to changing customer needs. In India’s dynamic market, businesses that stay rigid risk losing relevance, while those that focus on transformation thrive.

The Trap of Focusing on Products 🚗

Take the example of Hindustan Motors and its iconic Ambassador car. Once synonymous with Indian roads, the Ambassador was a market leader. But its downfall wasn’t due to a lack of demand for vehicles—it was its inability to adapt.

The company saw itself in the car manufacturing business, not the mobility solutions business. It failed to innovate as competitors like Maruti Suzuki introduced modern, efficient, and affordable vehicles. Hindustan Motors became a relic of nostalgia, while Maruti Suzuki grew to dominate the Indian market.

From Paint to Personalization: Asian Paints’ Journey 🎨

Contrast this with Asian Paints. Initially a paint manufacturer, the company didn’t limit itself to selling products. It asked: What do our customers really need?

This shift in mindset led Asian Paints to expand into home painting services, waterproofing solutions, and interior decor. By focusing on enhancing customer experiences, the company positioned itself as a home improvement leader, ensuring sustained growth in a competitive market.

Purpose-Driven Branding: Tata Tea’s Success ☕

Another standout is Tata Tea. While it began as a beverage company, its Jaago Re campaign transformed its identity. Tata Tea aligned its brand with social causes, awakening a sense of responsibility among its audience.

By focusing on purpose rather than just products, Tata Tea created an emotional bond with its customers, solidifying its position as a market leader.

How to Stay Relevant in India’s Changing Landscape 📝

If you’re a business owner in India, here’s how you can ensure growth and relevance:

1️⃣ Broaden Your Perspective: Don’t just focus on your product. Think about the value it creates for customers. For example, are you selling logistics services, or are you enabling commerce across India?

2️⃣ Evolve with Customers: Consumer needs are changing rapidly in India’s tech-driven market. Stay agile and adapt your offerings to align with their evolving demands.

3️⃣ Create Purpose-Driven Brands: Brands that align with customers’ aspirations or values often enjoy stronger loyalty. Whether it’s sustainability, innovation, or community impact, find your purpose and highlight it.

Final Thought 💡

In India, businesses that focus solely on products risk being overtaken by competitors. The winners are those that define their purpose and align it with their customers’ evolving needs.

So, ask yourself: What business am I really in? Your answer could redefine your future. 🚀

Written by CA Shantanu Paranjape