the Startup todays

How some IIT & IIM graduates are ruining it for all of us in the startup world

Source: http://twinfinite.net/2016/01/worst-season-passes/burningmoney/

It’s a Sunday morning and I am skimming through InShorts to get a quick overview of what is happening elsewhere. Amongst the 60 odd unread stories, I am not surprised to read of two startup shutdowns. Then, later in the day, I hear of another startup shutting operations. This one happened to employ a close friend (obviously he lost his job).

There exists a serious problem here that nobody is talking about and that is the unique nature of the Indian market which itself is an opportunity to innovate and thrive. Recent graduates from top notch schools in India believe they can clone businesses from other countries and that they will prove to be profitable in their entirety in India as well. Venture capitalists blinded by the founders’ alma mater have been following a hackneyed strategy to provide funding to entrepreneurs who are attempting to clone an idea or business model from USA or China. Their strategy goes something like this for early stage funding:

1. 1–2 founders from IIT/IIM fitting the criteria receive 1–2 million dollars.
2. 3–5 founders from IIT/IIM fitting the criteria receive 3–5 million dollars.
3. 7+ founders from IIT/IIM fitting the criteria and you’re in for a lottery.

Investors overlook the fact that Chinese entrepreneurs can afford to clone because their economy is closed, thus providing little or no competition. European entrepreneurs too can effectively clone, because the European pattern of consumption is similar to that of US(and the Rocket brothers are exceptional at their job).

Having failed to realize this, entrepreneurs, are squandering their funds on businesses that are completely unviable in the Indian market. It is impossible to imagine how you can fail so fast with so much money. The more people I talk to, the more apparent the problem becomes. This parochial approach to starting a business is what is causing investors to tighten their purse strings and this is going to hit the diligent entrepreneur hard. Given the current uneasiness in the market, this slump in investment is likely to continue for at least a year.

From my various conversations with entrepreneurs, investors and employees of startups, I have gleaned the following three fundamental issues contributing to the downturn.

1. High Customer Acquisition Costs (CAC)

There are startups (not taking names) spending close to 5000 bucks for customer acquisition. This is what FMCGs spend years into existence. The age old strategy of door to door marketing which the founder has to do is forgotten. As a result, founders are unable to reduce the CAC and end up spending an obscene amount on acquiring one customer who might only sign up without spending much time on the website or make just one transaction. Apart from the 5K spent on luring the customer to the site to conduct a single transaction the company ends up discounting the price of the service or the product to show higher Gross Merchandise Value (GMV). This in turn adds to the cost.

2. Media attention

Another issue I find in the startup ecosystem is the media attention startups and founders seek. Some founders forget that PR is a means to an end and NOT THE END itself.

Publicity is only a tool to be used to get the word out. An article in the paper does not amount to increased revenue. It is thus important for founders to be involved in the day to day functions and probably work more than any other employee at least for couple of years instead of focusing on media presence.

3. Slacking and expensive employees

Often as a startup begins to receive increased funding, the founders become lax and this results in slacking. Sometimes funds are mismanaged and disbursed as salary hikes or used to recruit expensive talent that may not really be required. Large amounts of money is also spent on food travel and entertainment for the employees. For God’s sake it’s still a STARTUP. What’s more important is to realise that a business takes 4–7 years to build and even then, money needs to be spent wisely.

Off the top of my head, here is a list of startups who have raised unnatural amounts as funding and have failed or are close to doing so:

Peppertap (IIM founders)

Grofers (IIT founders)

Housing (IIT founders)

Purple Squirrel (IIT founders)

Tinyowl (IIT founders)

Foodpanda (IIM founders)

Fabfurnish (IIT founders)

Amber wellness (IIT founders)

This shows one thing and that is, given the poor education system in India with no practical application of what you learn, the university tag doesn’t really matter. What matters are the soft skills, the ability to put pieces together and the hunger to learn.

Most people in this game are hoping to become wildly successful instantaneously without having to put in the hard work. Some entrepreneurs readily accept invitations to talk in events (not a problem if there is a business strategy linked to it) where they harp on about how they faced hardship in raising funds and the difficult time they encountered. If I was an investor, I would never invest in a founder who calls this a difficult time. It is an adventure, a story you are carving and this has to be enjoyed to the fullest. Entrepreneurship is not for the weak minded.

Maybe the time has come to look beyond the IITs and IIMs to find real entrepreneurs who can sense the pulse of the Indian market. The time for a new generation of entrepreneurs who can cause a metamorphosis in the startup ecosystem in India. The time for a revolution.

Disclaimer: The opinions mentioned above are mine and mine alone. Would appreciate if you can critically evaluate this piece. Drop in a line tokg@explorate.in.

Nehru erased from Rajasthan school textbook

Last updated on: May 08, 2016 19:03 IST

Students of class VIII in Rajasthan schools will no longer study the contribution of Jawaharlal Nehru in their social science textbook as references to the first prime minister have been dropped.

The references to Nehru have been removed in two chapters in the revised textbook which will be introduced from this academic session for class VIII in schools affiliated to

Rajasthan Board of Secondary Education (or Ajmer Board).

Though the book is not available in the market yet, the information has been uploaded on the website of the Rajasthan State Textbook Board, which publishes the book for the state board.

The new name that has been included in the textbook is that of freedom movement leader Hemu Kalani. While the names of Mahatma Gandhi, Veer Sawarkar, Bhagat Singh, Bal Gangadhar Tilak, Subhas Chandra Bose are among those figured in the textbook, there is no mention of Nehru either in the chapter on Freedom Movement or in that on India After Independence.

The revision of several textbooks has been carried out under curriculum restructuring by the Udaipur-based State Institute of Education Research and Training.

The earlier edition of the book titled 'Social Science for Class VIII' also had a table on 'Major Leaders of National Movement' that featured the names and briefs on contribution of Dadabhai Naoroji, Bal Gangadhar Tilak, Mahatma Gandhi, Nehru and Subhas Chandra Bose.

In that particular box, the reference to Nehru stated, "After becoming a barrister, he joined the national movement He later became the president of Congress, leader of the

Interim government and the first prime minister of Independent India."

That particular box, besides other references to Nehru in the book, is also not there in the new edition of the book. Opposition Congress has hit out at the Bharatiya Janata Party saying that the state government has touched a "new low" by omitting references to Nehru in the school book.

"The BJP government in Rajasthan is carrying out its agenda and touching a new low by omitting references to the freedom fighter and the first prime minister of India who had

great contribution in the freedom struggle and in the foundation of independent India," Rameshwar Dudi, Leader of Opposition in Rajasthan Assembly, told PTI.

He said the issue will be taken up in a major way.

Former Rajasthan chief minister Ashok Gehlot said, "This is a shameless act of the government of Rajasthan. The Rashtriya Swayamsevak Sangh could not find a place in the glorious history of India but now the BJP government is removing the contribution of Nehru from history and people will teach them a lesson."

He said, "Nehru's contribution to Rajasthan is major. The Panchayti Raj system started from the state. The act reflects the state government's narrow-mindedness and a campaign should be undertaken to expose the government in public."

Rajasthan Congress chief Sachin Pilot while decrying the move said public will give a fitting reply to the BJP government in the state which is "politicising education and distorting history".

The government is taking politically motivated steps and distorting history deliberately, he said, alleging that schemes and programmes named after former prime ministers like Nehru and Indira Gandhi are also being renamed which shows the "mentality of the BJP".

People's Union for Civil Liberties wrote an open letter to Rajasthan Education Minister Vasudev Devnani demanding that the syllabus should not be changed as per the "RSS ideology".

In a statement, PUCL alleged that "transparency" was not maintained while "changing" the syllabus and said that books should not be "inspired by RSS ideology".

Fadnavis seeks Rs 10,000 crore from Centre to tackle Maha drought

May 07, 2016 19:15 IST

Maharashtra Chief Minister Devendra Fadnavis on Saturday sought Rs 10,000 crore from the Centre for the three years to complete pending irrigation projects in his drought-hit state.

Briefing the media after a meeting with Prime Minister Narendra Modi in New Delhi, Fadnavis said, “I apprised the prime minister of the drought situation in the state. We have asked for a package of Rs 7,500 crore for completion of irrigation projects in Marathwada and Vidarbha in coming three years, while a special package of Rs 2,500 crore for completing pending irrigation projects in drought prone region of Western Maharashtra. On both these issues, we have received a very positive response from the Centre.”

Senior officials from the Centre, and Maharashtra, were also present during the meeting.

Fadnavis said the Centre has accepted his government's request to submit a supplementary memorandum as an additional 11,000 villages in the state are now facing drought.

Fadnavis said they also discussed the short- and long-term measures to tackle drought situation.

“The Centre has been helping us and has also assured of more assistance if needed to deal with drought situation. We also rolled out a plan to save water as monsoon is approaching,” he added.

He also explained his state’s efforts to complete critical irrigation projects in the Marathwada and Vidarbha regions in a time-bound manner. He also spoke of the work done to bring more farmers under the umbrella of institutional credit.

Meanwhile, Modi took to Twitter to divulge the details of the meeting.

‘CM @Dev_Fadnavis & I held wide-ranging discussions on the drought in parts of Maharashtra & how to mitigate it. Stressed on vitality of increasing water use efficiency through sprinkler & drip irrigation including in sugarcane cultivation,’ he said.

‘Usage of modern solid & liquid waste management practices in urban areas will also benefit the adjoining rural areas.CM @Dev_Fadnavis apprised me about the Jal Yukt Shivar Abhiyan & State Govt's efforts to complete irrigation projects across the state (sic),’ he added.

Fadnavis informed the prime minister that the state is focusing on climate resilient agriculture; and has proposed a climate resistant agriculture modernisation project for a World Bank loan, to ensure water security at the farm level. He thanked the Centre for expeditiously recommending this project to the World Bank.

The PM also insisted that the Centre fully supports the project for a World Bank loan, which is worth $600 million (Rs 400 crore).

Initiating the discussion, the prime minister stated that the Centre, states, local bodies, non-governmental orgaisations and citizens have to work together to resolve the problems posed by the drought. He also called for focus on medium- and long-term solutions for drought-proofing.

Vidarbha: Denied water access, Dalit man digs well in 40 days

May 08, 2016 17:36 IST

Anguished over being denied access to water by upper caste people, a Dalit labourer from a village in Washim district of Maharashtra's drought-hit Vidarbha toiled for hours to dig his own well.

The wife of Bapurao Tajne, a resident of Kolambeshwar village in Malegaon taluka, was not allowed to fetch water from a well by villagers.

In a bid to take his revenge on a social milieu which still discriminates large sections of people, Tajne took it upon himself to dig a well in his village, and is quenching the thirst of the entire Dalit population of the area now.

He finished the digging in a mere 40 days and was pleasantly surprised to find water.

Beaming with confidence, a seemingly content Tajne told PTI over phone that he felt fortunate to have discovered abundantly available ground water after his hard work.

"I was ridiculed by my family among others, but I was determined," Tajne said.

The news of the incident soon reached the authorities, following which Washim district administration officiated tehsildar Kranti Dombe to visit the village. Hailing Tajne's act, the district administration felicitated him for being "a face of determination and strong will power", the tehsildar said.

When asked if any government aid would be provided to Tajne, Dombe said there was no such proposal as of now. However, she said the government has taken note of the Dalit man's extraordinary achievement.

On whether action has been initiated against the villagers who did not let the labourer's wife draw water, in view of the incident attracting punitive provisions of the Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, Dombe said the well in question was not identified yet nor were the villagers who stopped the woman.

Delhi: Ola cab driver arrested for allegedly molesting Belgian woman

Last updated on: May 08, 2016 18:31 IST

A 23-year-old Belgian national on a pan-India tour was allegedly molested by an Ola cab driver in south east Delhi's C R Park area last night, in yet another incident that raised questions about the safety of women using app-based taxi hailing services.

The accused driver, Balraj Singh alias Raj, a native of Rajasthan's Alwar district, was arrested in the wee hours on Sunday hours after the incident, police said.

Curiously, when the woman booked the cab, she received a confirmation from Ola that the driver named Vikram Singh would pick her up but it later emerged that he had rented out the vehicle he owned to the accused in violation of the norms.

The woman, who said she worked as a translator, told the police that she had booked the cab from Gurgaon and during the journey the cab driver allegedly kissed and took pictures of her.

In a statement, Ola said that the "driver" has been sacked. But the company did not immediately respond to questions as to how the registered owner had rented out the car to another person.

"We first tracked down Vikram but he did not turn out to be the driver. He owned the car. The accused was arrested after Ola assisted police in tracking the GPS locations of the car," a senior police official said.

Taking a serious view of the incident, External Affairs Minister Sushma Swaraj has sought a report from Lt Governor Najeeb Jung on the issue.

"I have asked Lt Governor Delhi for a report on the molestation of a Belgian girl by a Cab driver. We are committed to the safety and security of all foreign nationals in India," Swaraj said in a series of tweets.

The incident also drew criticism from the opposition parties with former Chief Minister Sheila Dikshit claiming that there has been a spike in crimes against women in the national capital under Aam Aadmi Party government led by Arvind Kejriwal.

A case of molestation has been registered under sections Indian Penal Code 354 and 354A, 354C against the accused, police said. The taxi is registered with Keshav Taxi Services in Gurgaon's Sushant Lok area.

The woman, who has been staying in India since February, was travelling to a friend's place in CR Park whom she had met during her trip to Khajuraho in Madhya Pradesh. The victim's statement has been recorded and she will return to Belgium on Sunday night, the police said.

"The driver deliberately took the wrong route after Hauz Khas and when the woman told him that she will ask her friend (about the right route), he took her phone and deleted all the records related to Ola. He also called her over to the front seat claiming that his GPS was not working and then allegedly kissed her," a senior police official said.

After stepping out of the cab near C R Park area, she informed the police about the incident at around 10 pm, police said.

"Ola confirms that the vehicle as well as the associated operator and driver have been permanently blacklisted from the platform. We will share all required information with the authorities to help resolve this for the customer. We have zero tolerance to such behaviour from drivers on the platform," the company said in a statement.

Leader of Opposition in the Delhi Assembly Vijender Gupta also demanded a through investigation into the case. The AAP government has "gone back" on its promise to ramp up women's safety, he alleged.

"Be it molestation or rape, Delhi has seen an increase in such crimes and they have risen all the more under the Kejriwal dispensation. I want him and his ministers to focus on women's security. Where else will women feel safe if not the national capital?" Dikshit asked. Dikshit said Kejriwal had repeatedly raised similar issues during her tenure to criticise her. We are waiting for him to take some steps in this regard," she said.

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Suzuki Gixxer is the bike to beat!

The Suzuki Gixxer is truly a workhorse, as anyone who owns this motorcycle would agree, but there's a lot more happening inside, says Indian automobile website MotorBeam.com

We have ridden more than 7000 kms over the past six months on the Suzuki Gixxer, and, in the true sense of the word, it is a workhorse. We pushed the bike through all sorts of roads we could find in and around Mumbai, be it Malshej, Lavasa or the famous NH17.

For company, we had the TVS Apache 180 with us along with another Gixxer.

For anyone who has travelled through or even heard of the Mumbai-Goa highway, they would certainly know that it can offer the worst of roads, especially during the monsoon. Despite this, the Suzuki Gixxer just sailed over most of the roads that we took it over. And for that we have to thank its 41 mm telescopic front forks and the mono-suspension at the rear, which is truly set up beautifully.

Now began the real test. The Kashedi ghat, the first of many along NH17, was all about the bike's agility and corner craving ability. And for the entire length of the ghat, around 20 kms that is, we had the Gixxer running neck and neck with the Apache 180, which is testimony to how beautifully this 'commuter' motorcycle can master the corners. However, the hard seat did take its toll on the riders over the course of the cornering session.

Since we had two Gixxers for our test, we had the opportunity to simultaneously test how frugal they were with different riding styles. But, surprisingly, the one that was redlined almost throughout the journey managed to return 42 km/l while the other Gixxer that barely crossed 7000 RPM, returned a respectable 47 km/l. As the day came to an end, we used the headlight fairly extensively and realised that although the light does spread over the road, Suzuki could have used a more powerful lamp, which is very essential on such roads.

Next day, we started with a ride on the beach at Ganpatipule followed by the return trip home. Navigating through the Konkan, we arrived, once again, at the Kashedi ghat, and this time around, the tables had turned. It was the Gixxer indeed, that edged ahead of the Apache, the bikes gliding through like snakes in disguise. During the ride back, we did experience many hiccups while going downhill, particularly because of the rear drum brakes, which lacked bite and the low ground clearance, which meant the underbelly scraped every other speed breaker.

Coming to the engine of the bike, it easily is the best in its class and is sure to turn heads if revved hard. But the pleasing exhaust is more due to the superb 155cc motor that works like a charm in the Gixxer. Also the shift light indicator on the console is really helpful, specially during city riding, as it can be adjusted as per one's riding style and also be switched of if the rider wants it that way. Overall, it is nothing short of a pleasure to ride the Suzuki Gixxer and it is definitely the bike to beat in the 150cc segment.

www.pixelsolutionz.com (get your website today) 

Honda Navi review: Activa redesigned

MotorOctane took this fun bike for a spin around a fun place -- Imagica Adventure Park -- to tell you more about it.

We live in a world of personalisation. Right from our grooming to our gadgets and vehicles too, we prefer to add some individuality to them. Exactly with this thought in mind, Honda has come out with an unusual product, the Honda Navi. 

Styling and design

The Honda Navi is kind of a hybrid, which means a crossover between a scooter and a motorcycle. It gives you the fun of a motorcycle with the convenience of an automatic scooter. The Navi has been designed with the Honda Activa as the base. It shares almost all of its mechanicals including engine and chassis with the Activa. It has been designed completely in India.

The bike is a looker for sure. Beautifully designed, the Navi is a vehicle that will turn heads everytime. The stance and chunky looks of it are appealing enough. The hexagonal headlamp in a grey coloured housing is something unique. The body with bold lines and tapering tail, alike a sporty motorcycle and the black coloured wheels give a lot of character to the Navi.

The dimensions are similar to the Activa too. The Navi is a tad longer than the Activa by 44mm. The best part is that the seat height is exactly the same as Activa, although the Navi looks smaller. It has a slightly higher ground clearance than the Activa, which is a good thing.

The Navi seems to be inspired from Grom, a bike which Honda sells in international markets. The Navi is manufactured in Honda's Gujarat plant. It has been engineered and developed in India, specifically for the Indian Market and will also be exported to other countries.

Colours

The Honda Navi is available in five colour options, namely, Patriot Red, Shasta White, Hooper Green, Black and Sparky Orange.

Engine and performance

Apart from the chassis, the powertrain is also adopted from the Activa, which is a four-stroke, 110cc engine, churning out a maximum power out of 7.8bhp and 8.96Nm of torque. It uses the V-matic (automatic) transmission and can achieve a top-speed of 81 km/h. The Navi also gets Honda Eco Technology which aids in more fuel efficiency without decreasing power output.

Ride and handling

At first glance we felt that the Navi would be a fun to ride bike but actually riding it was even more fun. The bike is extremely nimble and a breeze to swerve in either direction. These kind of dynamics are pure joy in tight spaces which are found in abundance within heavy traffic, market areas and small lanes.

Price

The Honda Navi is priced at Rs 43,000 (on-road, Delhi). The bookings for the Navi have commenced already and the bike is available at dealerships for sale too. Honda has introduced a special app for smartphones, which can be used to book, and explore the Navi.

This app has also had more than 25,000 downloads since. Honda has also launched several customisation options for the Navi, that will help buyers to choose as per their individual tastes. Honda is clearly targeting the age group of 18-21 for the Navi. The deliveries have begun and Honda is revamping its existing showrooms for a better presentation of the Navi.

Verdict

The Navi comes across as an inexpensive option to customers who desire a motorcycle and the convenience of a non-geared scooter. It is a fun vehicle which is a departure from the routine scooter and gives it a new twist. It is expected to appeal to the youth who want a commuter two-wheeler which also has style and is fun.

Moreover the personalisation options at a minimal cost is surely appealing. Honda Navi is a unique proposition and the company is looking at attracting young buyers towards the Honda brand. The Activa has been ruling the market for long now and sells four times more than its closest competitor. This is the reason why Honda is now experimenting with the Navi, which is based on the Activa. This is one vehicle you need to have in your garage!