Jahan Na Jaye Gaadi, Wahan Jaaye Marwari

Is the following statement true or false: The IT channel community has a
majority of Marwari entrepreneurs? If you answered 'False', then you are
sadly mistaken. Marwaris are the most dominant community in the IT channel,
followed by Gujaratis.

For instance, almost 90% of the channel in Kolkata comprises Marwari business
people. This community is strong in the western region and even down south in
places like Chennai. In fact, there is a standing joke that when Neil Armstrong
took the first step on the moon, he was greeted by the sight of a Marwari
gentleman coordinating stock prices on earth.

First-generation entrepreneurs 

Most of the successful channel companies are headed by first-generation
entrepreneurs. Take the instance of Samit Jain of SK Trading in Ludhiana, who
got into this business at the age of 19. Or that of Sanjay Jain of Computer
Network in Ranchi or Rakesh Jain of Supreme Computers in Chennai. Or Sanjay Jain
of Jalan Distributors in Gorakhpur, whose father and brothers were earlier
engaged in the foodgrain business. Or Sarad Bawri of Lifeline Enterprises in
Shillong. The list is endless.

In some cases, these people were encouraged by their family to get into the
IT business. Reminisces Rakesh Jain of Supreme Computers, "My father was in
the textile business and it was not doing that great. So, he had asked me to
identify a new business line, where we can invest and grow. Also, he wanted to
give the new project completely to me, in which he was willing only to invest. I
decided to get into IT."

In other cases, people got into the channel business envisioning it to be a
great success. Arun Jalan of Jalan Infotech, Kolkata falls into this category.
Though his family was into manufacturing rubber rings in Dubai, he diversified
into IT, which he felt was the next big wave. And his business acumen was proved
right.

Family values

Marwari communities lay a lot of onus on family and unity. Major business
decisions are often taken after a family, especially elders, into consultation.
Rakesh Jain had consulted with several of his relatives about the scope of the
IT industry before getting into the business. Even today, he goes back to them
whenever he wants s second opinion. "Whatever Supreme Computers is today,
it is only because of the guidance from my father, and of course, support from
my brother, Jitendra Jain. My father helped me to introduce many new systems and
processes in business, through which we streamlined our operations and
registered good growth," he points out.

Kapil Jain of Bhopal's Microworld is also indebted to his father who put
him on the right path when he was wondering which business to get into. Even
Sanjay Jain of Jalan Distributors recollects how his father's contacts in the
community helped him start his business and get orders.

Nitesh Bhandari of Chennai's Texonic Instruments chose to join his dad's
business because he would have the freedom to implement his ideas in his own
fashion. "In a job, I would have to work for a fixed salary and under
somebody else's instructions. Now, I am my own boss and also in a field as
vibrant as IT," he says with pride.

Working in an environment where more than half your peers belong to your
community can be very comfortable and profitable. To start with, you are related
to a lot of your peers and therefore the chances of being gypped are minimal.
Secondly, finance matters are often done through word of mouth, since there is
an underlying belief that these promises will be kept.

This can also be a reason why Marwaris like to keep the business within their
family. Rupesh Kedia of Jaipur's Computer Supermart feels that this can also
work against the entrepreneurs. This is because they are more inclined towards
their relatives, who might not deserve the position rather than trust an
outsider who might be a good worker.

Why Marwaris are popular

What is it about Marwaris that makes them good business people? One reason
could be that they are trained early on in life, on the basics of trading.

JP Modi of Delhi's Modi Peripherals feels that business is in the very DNA
of a Marwari man. "Even if we don't go to any business school or
university, we are most likely to excel in business in general. Certain business
ethics and values are given to us on a daily basis right from childhood and it
all becomes a part of our lives," he notes. Motilal Jain of Hubli's Balar
Intertrade too agrees with him. "Our way of thinking, our business ethics
and above all, financial support to do business, gives us an upper hand as a
business community," he says.

Sarad Bawri of Lifeline Enterprises feels that since Marwaris traditionally
come purely from a business background, they are well versed with its various
aspects. That can make a difference. "We transact business worth crores
based merely on word of mouth. So people trust the community as business people,
especially as payments are made on time. Our forefathers gained this goodwill
and this kind of inherited knowledge helps to a great extent," he adds.

Jatan Baid of Kolkata's Eastern Comnet agrees with him and points out that
customers have faith in them as they feel that a Marwari businessman will not be
dishonest.

Successful characteristics

Almost the entire Marwari community rate themselves as very honest folk.
This is what makes them successful in their chosen business fields. Modi
elucidates this point with an anecdote. One night, a customer came to Modi
Peripherals with Rs 40,000 and his jacket carrying that sum in Modi's office.
The latter immediately went out to look for him, but could not find him. A
couple of days later, the same customer walked into the shop and mentioned about
the loss casually to Modi, who promptly returned it to him.

Samit Jain of SK Trading feels that Marwari businessmen are very committed to
their customers and seek long-term relationships. "We have been trading for
several generations now and people continue their associations with us down the
ages as well," he says. Samit also feels that Marwaris are also very
aggressive when it comes to business, and don't let go of any prospective
opportunity that comes their way.

Working hard is another aspect about Marwaris that helps in the long run.
Arun Jalan of Jalan Infotech recollects that he used to help out in his family
business even when he was in college. "After college, I would reach our
office by 11 o'clock and work late into the night. And I was not given an
elevated platform. Instead I was made to learn all the aspects of the business,
from a peon's to managing the company," he smiles.

Sanjay Jain of Computer Network pegs Marwaris' success on their aptitude to
feel the pulse of the market. "This quality leads them to venture into
newer areas and open up new avenues for their business," he opines. This
could also be the reason why Marwaris are so enterprising by nature.

Stronghold in the channel

There are many reasons that can be attributed to Marwaris dominating the
channel community. One is that when they got into the IT business, they had the
first mover advantage. Also, the margins prevalent then were very good, which
enticed them.

Sarad Bawri offers another reason, pointing out that most of the
entrepreneurs in this space got into this business around the same time,
probably noticing each other's success. "The younger generation back then
was searching for an emerging field. This is why you find so many Marwaris in IT
trading."

Jatan Baid too agrees with him and points out that the current age group of
the Marwari entrepreneurs in this business is in the 40s.

Another facet that worked in the favor of Marwaris is that their strong
finance background permitted them to venture into newer business domains. And
these people are good at understanding whom to sell, what to sell, when to sell
and what the price should be.

While being a Marwari might equip a person with some inherent gyaan, a lot
depends on the person's ability to succeed in his chosen field. Says Nitesh
Bhandari of Texonic Instruments, "Merely being a Marwari does not help in
business. It is driven by ethics and principles, and not by religion and caste.
If you are good and fair in business, any one would like to have business
relationship with you."

Rakesh Jain agrees with him and notes that caste or creed doesn't have much
significance in business. It is credibility and customer service that matters
most.

Common perceptions about Marwaris

The first perception that people have about Marwaris is that they are very
stingy by nature. But the people from the community themselves deny this. Nitesh
states that they are definitely very strict when it comes to finance in business
matters as they believe that every penny saved is a penny earned. He says,
"We will give only what is required and not unnecessarily support someone.
Of course, we spend a lot on charity."

Sarad jokingly says how he always ends up paying up people's bills at
gatherings, as it is immediately known that Marwaris are loaded with the green
stuff. "Since we are known to be rich, people come straight to us for all
kinds of donations and contributions," he laughs.

Jatan points out that most people from his community do a lot of charity.
Even Suresh Pansari of Rashi Peripherals points out most of the big hospitals in
several cities are run by trusts set up by Marwaris. Suresh has even started a
school in his native village Ramgarh as well as a rehabilitation center for
cows.

JP Modi was also instrumental in setting up a girls' school in Jhunjunu in
1994, which currently has 1,300 students on its rolls. "Additionally, we
have contributed towards building roads, a temple and hostel in our village.
This is the best way we can stay connected to our roots," he states.

At the same time, Marwaris like to flash their money and maintain their
social status. Weddings are very ostentious occasions, often a platform to
people to flaunt their financial prowess. All in all, this is one community that
works hard and loves to truly live life, kingsize.

VINITA BHATIA in Mumbai with inputs from Piyali Guha in Kolkata,
Subbalakshmi BM in Bangalore, S Gopi Krishna in Chennai, Zia Askari and Sandhya
Malhotra in New Delhi.

SANJAY JAIN

JALAN DISTRIBUTORS, GORAKHPUR

SANJAY JAIN

EDUCATION: I did my schooling in Gorakhpur and graduated as a Bachelor of
Science-Bio following it up with a diploma course in computers.

NATIVE VILLAGE: Ratangarh, Rajasthan. I have been visiting the state
regularly, but have gone to my native village just once.

ENTRY INTO BUSINESS: After completing my studies, I decided not to join my
father's foodgrain business. Since I had a diploma in computers, I was
interested in this subject and decided to start a business in it.

MARWARI INFLUENCE: Marwaris believe in long-term relationships and are very
customer-centric in their dealings. They are a non-violent lot, but are also
very emotional. They are also very cautious by nature and avoid getting into
business, which involves cheating or will result in loss.

PRECIOUS MEMORIES: Times spent with family during festivals are a highlight
of my life.

ADVANTAGES OF BEING A MARWARI: Like most Marwaris, I too have inherited the
passion to be committed to my customers. A lot of other trading tricks and
business management skills are handed down by the family.

AND DISADVANTAGES: Marwaris do not like changes in their business. They are
too conservative and prefer working in a traditional fashion.

RUPESH KEDIA

COMPUTER SUPERMART, JAIPUR

RUPESH KEDIA

EDUCATION: I did my graduation from the Mumbai University and also passed the
intermediate ICWA exams. But since I belonged to a poor family and was studying
and working at the same time, I decided to drop my studies and focused on
business.

NATIVE VILLAGE: Jhunjhunu and I go there at least twice every year. I love
meeting the people with whom I had grown up and getting in touch with my roots.

ENTRY ONTO BUSINESS: I was working with a company as I was studying and in
firm, which decided to go for computerization. I developed a software
application, which I later started selling to other clients as well. Soon, I got
into hardware trading as well and moved to Jaipur.

MARWARI INFLUENCE: Marwari's give bhaat (dowry) when their womenfolk are
married. And there is a saying in my bania community, Marwari baat aur bhaat ke
liye jaan bhi dega (A Marwari will give his life to honor his word and dowry).
This is the principle on which most Marwaris do business and succeed.

PRECIOUS MEMORIES: I love our customs, especially the song and dance that is
attached to each of our social functions. I also love the smell of mehendi and
the designs that our women draw on their palms when there is a marriage or puja.

ADVANTAGES OF BEING A MARWARI: People trust you immediately because they know
that you will not go back on your word. Also, as most of us in the industry
belong to the same community, we pass on leads to one another, which helps
business.

AND DISADVANTAGES: Members of our community often labor under the
misconception that they know best about business and are not very open to taking
ideas from others.

ARUN JALAN

Jalan Infotech, Kolkata

ARUN JALAN

EDUCATION: I am a commerce graduate with honors in accountancy from the St
Xavier College in Kolkata.

NATIVE VILLAGE: Nawalgarh in Rajasthan, where I go once every two years. We
have got two almost 100-year old havelis in my village though no one resides
there other than the caretakers. My family also helps to run a girl's school
there, where my father is one of the main trustees.

ENTRY INTO BUSINESS: I started my career, managing my family business in
Saudi Arabia for five years where we manufactured rubber rings. But once I
bought a PC for myself in 1982, I realized the potential in the IT business and
started DTP jobs for others. Later I moved into distribution of IT products.

MARWARI INFLUENCE: I have inherited business acumen from my family who also
trained me well in business right from the beginning. Understanding capability
of business as a whole combined with the understanding competence of the
products, customers, vendors, how where and to whom it should be sold-all
these subjects are discussed vociferously in our family.

PRECIOUS MEMORIES: The joint family structure that we have in our culture is
very dear to me. The bonding between whole families is something to cherish.

ADVANTAGES OF BEING A MARWARI: My background helped me in my business to some
extent, but the onus is on the individual to develop himself. And since the
joint family structure in our community is still going strong, we have great
bonding and trust among the community, friends and relatives.

AND DISADVANTAGES: I don't feel there are any.

JATAN KUMAR BAID

Eastern Comnet, Kolkata

JATAN KUMAR BAID

EDUCATION: I am a commerce graduate from Bhawanipur College which falls under
the Calcutta University. I have also completed my chartered accountancy
thereafter.

NATIVE VILLAGE: Rajoul Dessar in Churu district of Rajasthan, which is also
my birthplace. I came and settled in Kolkata after my matriculation as my father
had his business here. There are no family members in my village now, just some
security people to take care of the ancestral house. But we visit there once or
twice a year, especially during holidays.

ENTRY INTO BUSINESS: Our traditional business was of jute trading before we
shifted to inverters. I started my career with electronics and later shifted to
IT channel. The margins were also very good that time and so was the future.

MARWARI INFLUENCE: My ability to foresee and measure a business prospective,
its possibilities and future growth is some way related to my background.

PRECIOUS MEMORIES: Like most Marwaris, I firmly believe in God and worship. I
have struggled a lot and during those times have received blessings from people
from my family. I believe a lot in family values.

ADVANTAGES OF BEING A MARWARI: The community enjoys tremendous trust and
respect as businessmen. They are very reputed in the market and this makes it
easier for them to do business.

AND DISADVANTAGES: There are still a lot of people within my community who
are very traditional and conservative. However, this is changing now and soon we
will be a progressive community.

NITESH BHANDARI

TEXONIC INSTRUMENTS, CHENNAI

NITESH BHANDARI

EDUCATION: I finished my schooling from Bharatiya Vidya Bhavan and completed
my education from Chennai. I have a degree in corporate secretaryship.

NATIVE VILLAGE: Nadol, near Jodhpur. I go there once a year to visit the
temple and get the blessings from our family goddess, Ashapura.

ENTRY INTO BUSINESS: My father started Texonic Instruments in 1970 as a
dealer of electronic products and diversified into IT only in 1993. We had a
good run in this business when we started our networking division. My father
slowly handed the reins to me and my brothers and I now manage the business,
jointly.

MARWARI INFLUENCE: In terms of punctuality, commitment and relationship
values, one can almost peg these business ethics on the Marwari community.

PRECIOUS MEMORIES: At all functions, small or big, good or sad, we would
remain together and try to help each other. In fact, there will be participation
from all levels in these family functions, where everyone will be invited.

ADVANTAGES OF BEING A MARWARI: We practice the policy of 'Live and let live'
and are more humane to people's problems. Since we are God-fearing, we will
also keep up our commitments, be it in business or personal life.

AND DISADVANTGES: None

SURESH PANSARI

RASHI PERIPHERALS, Mumbai

SURESH PANSARI

EDUCATION: I graduated from the Rajasthan University and then completed my
chartered accountancy.

NATIVE VILLAGE:Ramgarh.

ENTRY INTO BUSINESS: One of my clients whom I knew when I was auditing the
papers, proposed a joint venture for manufacturing printer ribbons in 1985. In
the first year itself our turnover was Rs 1 crore. And slowly we started
distributing other IT products.

MARWARI INFLUENCE: Right from childhood, business skills are imparted to
Marwari kids. Also, we are very prudent when it comes to finance and feel that
every penny not spent is money saved. This is my approach to business as well.

PRECIOUS MEMORIES: As a child I would be given a small amount of money and
sent to the market to buy something. I had to then make sure that the seller
gave me the right change. This created a natural interest in business for me.

ADVANTAGES OF BEING A MARWARI: Since I am from a community which believes in
doing business, I was taught the tricks from day one.

AND DISADVANTAGES: Marwaris are still considered to be a very conservative
community, though the current generation is pretty progressive. Also, my people
are very untrusting and don't look beyond their own set world.