Generally there are two types of business, one is selling quality goods and earning more profit, and the other is selling high quality goods and earning less profit. They convert the trust and recognition of the customers into branding and build business empires that are intact for a few decades and today we see such companies like Tata Reliance Godrej Wipro Headsetra but the point here is that those who focus on quality will not be able to do business in the long term after making money immediately. But those who focus on quality will turn their business into multi million dollar companies in the long run even if they are not able to earn money immediately. But why am I telling you all this now Following exactly this principle a man driving a horse cart in Delhi started a small spices business and provided quality to low profit customers and that person is not the Spice King of India Mr. Mahasai Dharmapal Gulati Many of you may not know about this company because in recent times the marketing strategy followed by Kiran Kumar founder of Lalitha Jewellers who is well known to us, has been implemented by this company a few years back but will it create an impact going to say it today In 1990 a person named Chunni Lal Roosa was doing a small business selling spices in a place called CLCODE in the then state of Punjab. Dharam Pal did not like to study from his childhood. Finally he joined his fathers spices business and after a few days he got to know a lot about this spices business from his father and Dharampal got a clarity on how to do the business.
But at the same time an incident happened which unexpectedly changed their lives in India and partition of Pakistan That is in 1947 when India was divided into Pakistan the area called CL code where Dharampal Gulati was living went to Pakistan so there was no other way. Taran Pal left his house business and property in Pakistan and came to India with his family. So to support his family he came to Delhi and there he used to pull horse carts, but that work did not work for him. The money was not enough to support his family so even if he wanted to earn more money, Dharampal thought that before the partition of India and Pakistan he would have done a spice business for himself in the CL court but here he saw two problems it was a small town so there was not much competition for Dharampal business but Delhi is 1956. Since Time is a metropolis he has a lot of competition to do business there. Problem No India has just got independence that is till then we were ruled by the British so our Indians were very backward economically many people did not even have enough food to eat three meals a day. Even if a person quits his job and starts a business is a very risky thing dharampal Gulati sold his cart and invested all the money he had saved to start a small spices business in Delhi. I told a small concept about the business of selling products and now you understand why I said that after independence of India in 1947 almost 70% of people in India were in poverty so why I am saying this is that where more people are in poverty the purchasing power of people is less and they have more money. Due to lack of it they cannot buy more expensive quality goods
So many traders who noticed this and cashed in on the need of the people and adulterated every item as essential commodities and sold them at a low price. Due to the lack of money, they could not do anything so when Dharmaji Gulati noticed this he started his business differently from what all the traders in the market do that is without adulterating the spices he sells his quality product for one rupee more than the price that everyone sells in the market. If you want to understand how this is started take a look at this example. If quality pepper is 60 rupees per kg they sell it for 100 rupees, that is a profit of 40 rupees. It is said that the profit is only rupees but when we see this the price of Paul product seems to be high but seeing their quality people started buying his products slowly that is in general a major element that many traders in the market use to beat their competitors is the price of a product. If a company sells it for 100 rupees the competitor company sells it for 99 or less so the competition among the sellers of low quality goods has increased tremendously and no one can stand as a clear winner. But on the other hand those who sell high quality goods at high prices will not have much competition in the market like Apple, Nike and Rolex are always very stable they have gained the trust of customers and have been growing their business but as said in many videos before any business becomes speedy so they want to do it. It means supplying instead of existing place so in this process many people outsource their product manufacturing but in this process some manufacturers start adulterating products for their personal profits.
That is even if the company selling the product does not want to adulterate it it does not manufacture it directly. Because of this the quality of the product will be affected by establishing a manufacturing facility and he will closely monitor everything that happens in the production process without any adulteration. I said strategy the same self-branding means instead of spending crores on a celebrity who has no knowledge about your product to promote the brand if you become a brand ambassador who knows what you are making better than anyone else the trust you get from customers will turn into sales for your product. It means that the more you personally win the trust of the customers, the better the sales of your product will be. But this strategy was followed by Dharmaji Golati who was 92 years old before Kiran Kumar that is he acted himself in the TV ads designed to promote his products. The logical point of people promoting products is that we take their advice more seriously than the advice given by people younger than us or our age group. By acting and telling customers about his products many people started buying customers do you understand the logic next packaging differentiates a branded product from a normal product. Everyone in the market has done normal packaging and made customers feel that they are buying a best quality product. This is a simple trick but it works very effectively. Due to these business strategies followed by Mr. the sales of MBH Company have increased and doing business of 1100 crore rupees every year.
MBH Company has become the second largest spice producing company in India. Moreover Dharmaji Golati who once drove a horse cart, has recorded as the highest paid CEO in India in 2017. But the point here is that the fight between two brothers in Germany led to the creation of two of the biggest sports brands in the world. Not only did they create dance but the fight between them split a city in Germany well a small idea that came to him founded the adidas company worth 250000 crore rupees today but the original idea that came to him was and how he converted a few crores of rupees into a company. How it all started was many common people in Germany during the First World War from 1940 to 1980. A man named Adult was also one of them but he was thinking that after the end of the war he should come home and do something on his own but he was from a village called Harijanura in Germany. After doing business alone for a few years his younger brother also joined in this business to work with him and they both established a company in 1924. But as we talked about earlier adults and everyone in the village where his brother lives mostly do business of making shoes so in such a situation in a group In order for a person to grow separately by doing what everyone else is doing he should do something different than what others around him are doing. Adolf also did the same and if you look at many of the busy sports companies in the market while making them they fix spices under them for extra grip. A shoe made with spikes made of rubber material avoids the same problem.
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