A

REPORT
On
Business Legends
In the Title of
“LAKSHMI MITTAL"
Submitted to
MS Krima Patel
INDUKAKA IPCOVALA INSTITUTE OF MANAGEMENT (I2IM)
B.B.A. PROGRAMME

Constituent of Charotar University of Science and Technology

(CHARUSAT)
B.B.A. (2015 - 18) Semester-3
Prepared by:
Harsh Patel
15BBA028

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 DECLARATION
I Harsh Patel student of BBA programme at Indukaka Ipcovala Institute of Management
(I2IM) hereby declare that the report on business legends entitled Lakshmi Mittal is the
result of my own work.

Place: Changa Name: Harsh Patel

Date: I.D: 15BBA028

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 TABLE OF CONTENTS
SR.NO. PARTICULARS PAGE
NO.
1 Introduction
 About the Legend
 About the Business
2 Resume of the Legend
3 Journey of the Legend
4 Understanding the Personality of the Legend
 SWOT Analysis
 Qualities of Legend
5 Attitude towards Work-Life Balance
6 Problems/Challenges faced by the Legend
7 Ways found by Legend to Overcome the Problems
8 Conclusion
9 My Learning
References

References
Annexure 1– Articles/Case Studies/Interview
Annexure 2- PPT

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 Introduction
About the legend
Lakshmi Mittal was born in 1950 in small town in India called sadulpur in
Rajasthan beige the eldest of five children his parents decided to name him
Lakshmi after the Hindu goddess of wealth at the age of six his family moved
to Calcutta where his father gained employment in a small British steel
company this gave the family the brevity to set up their own business but it
turned out to be quite challenging and tough while his father worked night and
day to build their new business Lakshmi Mittal who happens to be ashy and
introverted teenager graduated form a Jesuit college
St Xavier’s. Mittal surprised everyone,including his parents by receiving excell
ent grades in accounting and mathematics but instead of becoming an employee
accountant Mittal joined the family’s company “Ispat” and that marked the
turning point of his life.
Until 1960's, the village Lakshmi Mittal was born into was deprived of basic am
enities like electricity, water etc. His
family then moved to Calcutta in West Bengal, where his father Mohan Lal Mitt
al set up a small steel plant. He has
two siblings (brothers), Pramod and Vinod Mittal, who run the family business.
In Calcutta, Mittal studied business and accounting at the reputed St. Xavier's C
ollege. After classes, he used to work
with his father in the family steel mill. He graduated as Bachelor of Commerce i
n accounting and business with first class distinction.
He is married to Usha Mittal, who was, then, the daughter of a well settled mon
eylender. Today, she handles the Indonesian business.
They have two children, Vanisha and Aditya Mittal, who are members of the Bo
ard of Directors of Mittal Steels.
Lakshmi is known for spending extravagantly on his family. His daughter's marr
iage was a five day event, which cost him more than $55 million

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About the business

The story of Lakshmi Mittal is such an inspiring story, though he didn’t make o
ur list of school dropout billionaires.
Mittal joined the family’s company “I spat” and that marked the
turning point of his life.

His first step towards reaching the billionaire club, took place in the early sevent
ies, when he started working in his father's steel firm.

In 1976, he moved to Indonesia, on the realization of the fact that opportunities

for higher
growth were limited to him in India.There, with his father's backing, he found a
steel plant, Ispat Indo and made this company a success.

A shrewd businessman, his success has largely been built on buying up loss ma
king state owned firms and turning their fortunes around.

In 1989, he turned a government owned firm that was making a loss of $1 millio
n a day, in Trinidad and Tobago,
into a profitable business. It was a situation, where US consultants and German
experts had failed to find any solution.

With the similar strategy, he went ahead acquiring various firms all over the wo
rld, proving every risk worth its effort.
His list of acquisitions is a lengthy catalogue, including

1. Sircasta: Mexico's third largest steel producer, in 1992,

2. Steel Blast furnace plant, owned by the state in Kazakhstan,
3. Steel plant in Europe,
Germany in 1995, along with the formation of two new companies I
spat international Ltd and I spat Shipping to assist the group.

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Resume of the legend

Born : June 15, 1950

Birth Place : Sadulpur, Rajasthan
AGE : 66
Known For : Steel Tycoon
OCCUPATION : Chairman & CEO Arcelor Mittal
Education : B.Com
Ethnicity : Marwari
Spouse : Usha Mittal
Nationality : Indian
Residence : London, UK

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Journey of the legend

 Born on June 15th 1950 in Rajasthan, Sadulpur Village.

 Family moved to Kolkata from Rajasthan.
 He graduated at the top from St. Xavier's College in Calcutta (Now
known as Kolkata) with a Bachelor of Commerce degree in Business and
Accounting in 1969.
 His father Mohanlal Mittal set up a small steel mill in Kolkata.
 Began his career working in the family's steelmaking business in India,
and in 1976.
 He married with Usha.
 In 1994, he branched out on his own due to differences with his father
with his uncles

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Understanding the personality of the legend
SOWT analysis
Strength
• Market Leader: he is known as metal king and till today nobody
has given him such a tough competition and took over his market
monopoly so he is a market leader
• Active philanthropist
• Outstanding vision

Opportunity
• CEO of biggest steel company on the earth.
• Good relations with politicians: as he will have good relations with
politicians he will be getting more chances to expand his business
in future due to power of politicians
• To expand the business: he can expand his business not only India
or few countries but all over the world by opening the subsidiary

Weakness
• Emotionally attached with family: as we all know everybody love
their own family and sometimes mittl also take decisions by
keeping family in mind so he gets emotionally attached
• Fall in its second quarter profit.

Threats
• French minister urges Mittal to leave country.: Mittal faced
Theraflu situation when French minister asked him to leave the
country and due to this has business also got affect
• Criticism and allegations by labour.

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Qualities of legend
 Hard working :
NRI steel baron Lakshmi Mittal on Sunday said he was able to prove his
principal wrong when he topped Saint Xavier’s college admission for not being
fluent in English
Mittal the UK – based NIR billionaire who was conferred the global xavierian
award on Sunday in an alumine meet here is the chairman and chief executive
officer of Luxembourg headquartered world’s largest steelmaker and mining
company arcelor Mittal
Recollecting memories of his days as a student Mittal said he was initially
denied admission in the college as he could not speak English
“I came from a Hindu medium school the principal felt that I would not fit into
an English medium college thought I was top in my class in school and I got
admission in other colleges but I really wanted to study in St. Xavier’s so I kept
on knocking his door every day and finally he gave up and I promised him that I
will be a good student and I promised him that I will be a good student and
which I did he said in an interview to a news channel
Mittal said it was a challenge for him to prove the principal wrong and it gave
him a lot of learning and helped him become a successful businessman I really
dedicated myself that I have to accept this challenge and continue to work hard
and focus on the studies.
 Overcoming entrepreneurial barriers
He had a difficult time finding a workplace and convincing people to join her
organization. Mittal overcome all entrepreneurial barriers and make his venture
a huge success according to an article by the Economic Times. This shows his
hunger for discovering to channelize talent. It is a major factor in his zest for
success.
There are some more Qualities of Mittal
 Outstanding vision
 Motivating & Guiding
 Zeal
 Bravery
 Humane


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Attitude towards work-life balance

 Mittal married Usha, the daughter of a well-to-do land owner in 1976 and
has 2 children, Aditya and Vanisha Mittal.
 He always gives equal importance to work and family.
 His wife Usha runs the Indonesian business and his son Aditya and
daughter Vanisha are members of the board of directors of Mittal steel.
 Always attached with family.
 Take care of family and business both.
 Attend all the social functions with family.
 Generally celebrating all the festivals with family.
 Allocate time for family and business.
 When he is not at the company or when he is not doing any other activity,

he ensures that he spends most of his time with his family.

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Problems/ challenges faced by the legend
In 2001 Mittal steel had to close down on the lrish steel plant .it led to a lot of
criticism as it left 400 people redundant and affected the concerned environment
environment
2002 the Mittal affair exposed links between UK prime minister tony Blair and
Lakshmi Mittal’s LNM steel company sought Blair’s aid in its bid to purchase
steel industry in the state of Romanian government hinting that the
privatization of the firm and its sale to might help them smooth their way into
the European union
Apart from this multiple fatalities in his mines have raised question about safety
conditions he has also been accused of slave labour
Problem with funding
 Mittal had no cash to build a plant in Indonesia
 Even if had cash Indian government would not have allowed him to take
the rupees abroad
 Challenge to get admition in St. Xavier's.
 India’s restrictive economic policies.
 191 people die at Kazakhstan operations.
 In 2001, Mittal Steel has close down on the Irish steel plant.
 Employs of Mittal accused him of “slave Labour”.

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Ways found by legend to overcome the problems
 Mittal discovered that India had a scheme by which he could invest
overseas
 Purchase equipment and building materials in India export them to
Indonesia
 Indian government would lend him 85% of cost of equipment and
building materials as a loan
 He got a 3.7 million loan from bank of India
 Moved to Indonesia for expansion of business.
 US $1.2 billion spent for safety of employs
 Irish plant sifted at another city of Britain.

Conclusion
Lakshmi Mittal is an "Indian steel magnate", based in the United Kingdom.

He is the chairman and CEO of Arcelor Mittal, the world’s largest steelmaking
company.

In 2007, Mittal was considered to be the richest Hindu and

Asian person in Europe.

He was ranked the sixth richest person in the world by Forbes in 2011, but
dropped to 82nd place in March 2015.

Forbes estimated that he still had a personal wealth of US$13.3 billion in

June 2015.

Mittal's residence for £67 million (US$128 million) made it the world’s most
expensive house at the time.

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 My learning

• Straight Forward Planning: As he was decided that in which he would

be going and all.

• Independent: he was not dependent on anybody to help his and never

expected anybody to stay beside his

• How to deal with difficulties: he faced many difficulties initially but

without getting disappointed he tackled out from all.

 Calculated risk taking

 focused
 Motivated
 Ambitious
 Practical
 Honesty
 integrity

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