An Entrepreneurial Approach On VIJAY MALLYA

Submitted by: Amandeep Bhavesh Milind Neeraj Rahul Sunny

VIJAY MALLYA
(CHAIRMAN OF UNITED BREWERIES GROUP) GROUP)

PERSONAL LIFE 
Vijay Mallya(born 18 December 1955) at Bantwal (near Mangalore) in Karnataka  QUALIFICATION PUC : LA Martiniere Boys College, Calcutta DEGREE : St, Xaviers college, Calcutta affliated to Calcutta University. DOCTORATE : Business Administration At California Southern University Son of industrialist Vittal Mallya

GROUP SHAREHOLDING PATTERN
Promoter group 51.8% UBHL

Real Estate(UB City)

Investments

Peagasus License

Spirits 35.8% United Spirits 100% Whyte & Mackay

Beer 12.6% United Breweries 50% Millenium Alcobev

Aviation 60.6% Kingfisher Airlines

Other Invst. 24.5% Mangalore Chemicals 37.2% UB Engineering

YEAR 2009-10 SALES TURNOVER 4959.89 Cr 400.89 Cr

YEAR 2004-05 1155.48 Cr 26.73 Cr

YEAR 2000-01 869.94 Cr. 22.39 Cr

UNITED SPIRITS

NET PROFIT

YEAR 2009-10 SALES TURNOVER 1997.45 Cr 96.97 Cr

YEAR 2004-05 502.12 Cr 14.04 Cr

YEAR 2002-03 403.82 Cr. 1.44 Cr

UNITED BREWERIES

NET PROFIT

YEAR 2009-10 SALES TURNOVER 5067.92 Cr -1647.2 Cr

YEAR 2004-05 305.20 Cr -1.86 Cr

KINGFISHER AIRLINES

NET PROFIT

YEAR 2009-10 SALES TURNOVER 527.37 Cr 30.68 Cr YEAR 2009-10 SALES TURNOVER NET PROFIT 2081.73 Cr 56.49 Cr YEAR 2009-10 SALES TURNOVER 381.6 Cr 107.31 Cr

YEAR 2004-05 149.08 Cr -12.23 Cr YEAR 2004-05 878.2 Cr 22.31 Cr YEAR 2004-05 2.72 Cr -28.33 Cr

YEAR 1989-90 45.67 Cr. 0.92 Cr YEAR 1989-90 221.10 Cr -42.18 Cr YEAR 1989-90 53.95 Cr. 3.45 Cr

UB ENGINEERING

NET PROFIT

MANGALORE CHEMICALS & FERTILIZERS LTD.

UB HOLDINGS

NET PROFIT

Managerial approach
The act of new enterprise formation is the result of rational thinking in which knowledge and techniques in field of economics and business administration are of main importance. Behavioral theory Ability to search and gather information ‡To identify opportunities To take risks To establish networks and leadership ability 

Prior to being entrusted with the responsibilities of a classical Indian corporate conglomerate, Dr. Mallya worked for the American Hoechst Corporation (now Sanofi-Aventis) in the USA and with Jenson & Nicholson in the U.K. Since 1980, he assisted his father, the then Chairman of The UB Group, in managing the important Brewing and Spirits Divisions and in re-launching the Kingfisher Brand of Beer The Group has diverse interests in brewing, distilling, real estate, engineering, fertilizers, biotechnology, information technology and aviation. It is also the largest Indian manufacturer of beverage alcohol (beer and spirits)

Modes to becoming an Entrepreneur 
Transmission of ownership and control in the family business to one family member. One man played a pivotal role in the Group¶s growth ± Vittal Mallya who was elected to the Board of Directors of UBL in 1947 at the age of 22 and a year later became its Chairman. In the 80s, Mallya started handing over the mantle of control - primarily beer and spirits - of the large UB Empire to his son.

Corporate entrepreneurship 
Also known as venture management. A corporation that aims at identifying new opportunities beyond core business or generating business for the company. Venturing with established corporations 

Also included in the Group were activities such as pharmaceuticals, agrochemicals, paints, petrochemicals and plastics, the manufacture of electro-mechanical batteries, the manufacture of food products and carbonated beverages, a fast-food pizza chain and several medium and small scale industrial units acquired the global Berger Paints Group Dr. Mallya also founded a software company in the USA in 1993 which was subsequently listed on the NASDAQ in 1996 and which provides a considerable window of opportunity to the vast US market. He also initiated several ventures for the promotion and globalization of UB brands and, in particular, Kingfisher and McDowell

Analysis based on socio-cultural approach

Micro Level
‡Marginalization theory ‡Role theory ‡Network Theory 

Marginalization Theory 
Marginalization Theory not applicable to Dr. Vijay Mallya 

Role Theory 
Family surrounding Inborn entrepreneur Education 

Network Theory 
Political Career His stepdaughter Laila Mahmood who works for Lalit Modi the former League Commissioner

Meso Level
Network Theory Incubator Theory Evolutionary theory

Network Theory 
Mallya acquired Kissan Products and formed a long-term relationship with HoechstAG of Germany to create the Indian pharmaceutical company now known as Aventis Pharma, the Indian subsidiary of the global pharma major Sanofi-Aventis In August 2007, the group made a first-of-its-kind media alliance for the promotion of NDTV Good Times, a lifestyle television channel run by NDTV

Incubator Theory
The UB Group has diversified business interests ranging from alcoholic beverages to life sciences, engineering, agriculture, chemicals, information technology and leisure.

Evolutionary Theory
Organization¶s functioning based on routines. In 2005, Mallya established Kingfisher Airlines. At present, the airline connects 32 cities. Kingfisher Airlines obtained a 26% stake in Air Deccan, a low cost Indian airline which Mallya later acquired fully and rebranded as Kingfisher Red.

Weber¶s theory of economic development
This theory is not applicable for the subject of our case study

Theory of Social Change 
Under the dynamic guidance of Mallya, it became the first indian company to manufacture IMFL (Indian Made Foreign Liquor) In 1988, Dr. Mallya became a non-resident Indian to pursue global opportunities and to transform the UB Group into India¶s first multinational company Kingfisher Airlines has redefined the whole experience of flying

Institutional Theory 
In 1990, following the Government of India¶s liberalised economic policies he decided to focus on areas of core competence and transformed the vastly diversified UB conglomerate into a handful of key operating businesses After acquiring whyte & mackay the volume for first line brands went upto 93% from 65%

Population Ecology theory 
100 million indians are going to turn 18,in alcohol parlance enter the legally permissible drinking age and are potential UB customers

Psychological Approach Traits Theory 
Mr. Vijay Mallya is the person responsible for turning the United breweries group into a multinational conglomerate of over sixty companies.  Chairman of the United Breweries Group and Kingfisher Airlines.  Owns the Formula One team Force India, the Indian Premier League team Bangalore Royal Challengers, and the I-League team East Bengal FC

Psychodynamic Theory 
The third-largest manufacturer of spirits products in the world  Controls 60% of the total manufacturing capacity for beer in India  Therefore this theory does not apply to Mr. Vijay Mallya because there are no signs of any decision taken on a subconscious level or any clash of emotions

Kirzner¶s Entrepreneur Theory 
In 1988 acquired the global Berger Paints Group with operating companies across four continents and divested for significant value in 1996 Purchased the Scottish distiller Whyte and Mackay in May 2007 for £595 million (Rs. 4,800 Crore) Kingfisher Airlines  Successful bids in auctions for Indian valuable items.

ACHIEVEMENTS 
Establishment of Mallya Hospital in Banglore. Helped to fund the Mallya Aditi International School, a prestigious private school in Bangalore Successfully bid for the sword of Tipu Sultan at an auction in London in 2004 Intiated the development of prized real estate UB city, in the heart of Bangalore

´LIVE LIFE KING SIZEµ -VIJAY MALLYA

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