In 2006 Baba Ramdev and Achari Balakrishna two monks brought Ayurveda which has been followed in India since orthodox times back to the people and provoked an indigenous movement to use only products made in India and founded a company called Ayurvedic Products same as Patanjali. It is about selling goods but this Indian company which started as a small company in 2006 has become a 45 thousand crore rupees company competing with Hindustan Unilever and foreign companies by 2023 does it manufacture the products or is it just a tablet the name we remember as my Patanjali is Baba Ramdev yes because he took this company to the masses but the point here is that Baba Ramdev does not even have 1 percent in this company but what is the logic behind this patriotic movement and Ayurveda all these three today I am going to tell you how fast an Indian company grew using it and how two people behind it started a using business. In recent times this Ramdev Baba who has gained worldwide fame as a yoga teacher
And worked as a yoga teacher in a small ashram in Haridwar Uttarakhand in 1995. After working there for a few years he wanted to start a small business by making and selling Ayurvedic and herbal medicines with his friend Acharya Balakrishna. The was no money to start so Baba Ramdev got some financial support from the ashram where he worked as a yoga teacher. So finally in 1995 Baba Ramdev and Acharya Balakrishna opened a story called Divya Pharmacy together but this partner Siddhar also used his knowledge and experience on Ayurveda and made and sold his own medicines but two incidents happened here that turned his life around one was the Ayurvedic they were making.medicines get good response from customers two Baba Ramdev gained nationwide popularity through his yoga classes Achari Balakrishna wanted to diversify this Divya Pharmacy business to different products instead of limiting it to only Ayurvedic medicines but here there is a problem that is because Divya Pharmacy is registered under a trust.
Explaining this from a business point of view is not so easy so these two partners observed this and started a private company named Patanjali Ayurvedic in 2006 but as Patanjali became a private company now diversifying their business is very easy and this process is a Patanjali company. First time entering FMCG business from Ayurvedic and Herbal Medicines that is in the manufacture of essential goods the thing you should note here is that at the time when Patanjali Company started FMCG business in India big companies like Hindustan Unilever, ITC Britannia, Dabur and Maryco are completely ruling the market so doing FMC business in India by competing with any kind of companies is about 2006 impossible but this is where Baba Ramdev and Acharya Balakrishna implemented a genius business strategy which is that in 2006 Vaidyanath company is doing Ayurvedic medicine business in India and companies like Hindustan Unilever ITC and Dabur are doing FMCG business but there are not many companies in India that do business with Ayurveda in FMCG business
So this is by executing the idea Baba Ramdev and Acharya Balakrishna together started manufacturing if we use daily but any company is not great in manufacturing but customers have to buy it and that too competing with big companies like Hindustan Unilever ITC and Dabur is not a common thing. But for this Patanjali company followed a genius strategy The same value innovation means that you have to show the value of the product you sell to the customers more but it should be less. If you do not understand let us put it simply. When the customer buys your product it is to create the feeling that he is buying a product that has more value than the money he puts but how do you want to do this simple Marketing To increase the valley of a product or its brand in the mind of customers it should be properly marketed and in the case of Patanjali baba ramdev took this responsibility for example in 2005 Baba Ramdev used to do a daily yoga program on a popular television channel called Aastha. A few crores of Indians all over the country knew about Baba Ramdev.
So slowly the popularity he got through yoga was diverted to Ayurveda and healthy life. Think about how people would buy a companys products if that person is seen as a brand ambassador for Ayurveda and health. And the same thing happened in the case of Patanjali as an exit because Baba Ramdev directly promoted every product made by this company his popularity among the customers turned into sales for the Patanjali company. Patanjali has become the second largest FMCG company in India surpassing big companies like ITC Dabur and Britannia with a turnover of around 10,000 crore rupees per year. The same happened in the case of Cherda and Patanjali company after 2017 the sales of this company decreased and their income fell but this is due to a business strategy followed by Patanjali company in the process of diversifying their business to different products. Simply put any company while diversifying their business follows two strategies, one is house brands and the other is branded house brands a company creates one brand for each product while diversifying its business this is called house o brands for example we all know about Reliance company so every time Mukesh Ambani starts a new business he creates a new brand like Jio Trans Reliance Reliance Mart Set So the advantage of this is that any of these brands fail in the market then the brand loses in the table but the name of the company does not have much effect
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