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Indian Entrepreneur

Presented By:
Abhishek Silas
Karsanbhai Khodidas Patel
 Karsanbhai Khodidas
Patel is an Indian
industrialist and founder of
the Nirma group. He is
also the founder of Nirma
Institute of Technology,
Ahmedabad, Gujarat. He
was born in 1955 into a
farmer family.
How The Business Idea Came?

 Nirma became a huge success and all this


was a result of Karsanbhai Patel’s
entrepreneurial skills.
 Karsanbhai Patel had good knowledge of
chemicals and he came up with Nirma
detergent which was a result of innovative
combination of the important
ingredients.Indigenous method was used
,and also the detergent was more
environment friendly.
How Business Was Expanded?

 Karsanbhai Patel used to make detergent powder


in the backyard of his house in Ahmedabad and
then carry out door to door selling of his hand
made product.He gave a money back guarantee
with every pack that was sold.Karsanbhai Patel
managed to offer his detergent powder for Rs. 3
per kg when the cheapest detergent at that time
was Rs.13 per kg and so he was able to
successfully target the middle and lower middle
income segment
Growth of Business…..
 Nirma adopted backward integration
strategy for the regular supply of raw
materials,90 % of which they manufacture
themselves.Nirma also gave due importance
to modernization ,expansion and
upgradation of the production facilities.The
company also made sure that it uses the
latest technology and infrastructure.
Cont…..
 In the 1980s nirma moved ahead of Surf , a
detergent by HLL , to caputre a large market
share.Later, Nirma successfully entered in the
premium segment of soaps and detergents.Nirma
went on to become the largest detergent and the
second largest soap company in India.Nirma had
more than 35% market share in the detergent
segment and around 20 % market share in the
toilet soap segment.The company got listed on
the stock exchanges in the year 1994.
 As far as Corporate social responsibility (CSR) is
concerned, Nirma has made some good efforts by
starting Nirma Education & Research Foundation
(NERF) in the year 1994 for the purpose of running
various educational institutes.Nirma has also set up
Nirma labs , which prepares aspiring entrepreneurs to
effectively face the different business challenges.Nirma
also runs Nirma Memorial Trust ,Nirma Foundation and
Chanasma Ruppur Gram Vikas Trust as a part of their
effort as a socially responsible corporate citizen
Expansion of Business…..
 The company that was started in 1969
with just one man who used to deliver his
product from one house to the other,today
employs around 14 thousand people and
has a turnover of more than $ 500 million.
In 2004 Nirma’s annual sales were as high
as 800000 tonnes.According to Forbes in
2005 Karsanbhai Patel’s net worth was $
640 million.
Learning Outcome…..

Karsanbhai Patel showed a good spirit of


self-confidence by starting the business at
very small scale with the help of his
innovative and creative mind. He tried to
put his knowledge into

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