Former Procter & Gamble India CEO will help the retail majors to strategise for emerging markets.
It’s hardly a secret that international retail majors are eyeing the emerging markets, including India, to grow their businesses. But, it is only now that they are getting serious about having Indians on their global advisory boards. Author and former CEO of Procter & Gamble (India) Gurcharan Das has recently joined the global advisory boards of two such international chains — Walmart and Mars.
Das, who’s on the boards of nine Indian companies, told Business Standard in a free-wheeling interview that he was in the process of disengaging with three to four of these firms. “I want to reduce the number to five or six,” he said. He sid the preparation required to advise international groups is much more than what was needed back home. Back from a China strategy session of American confectionery giant, Mars, Das said: “The homework that goes into preparing for global meetings is far greater.”
While Mars has representations from India, Hong Kong, and Mexico besides the US on its global advisory board, Walmart has an almost similar mix from the emerging world — India, China and Brazil.
What was the lesson drawn for India from these international boards? “They make you understand the importance of focus. Focus on one thing, but do it well. Their execution (of projects) is brilliant,” said Das.
Walmart, which is waiting to launch its multi-brand retail operations in India once FDI is permitted into the sector, it has “great hopes for India”. At present, Walmart has a joint venture with the Bharti group for running a cash-and-carry/wholesale business in India.
On the riders that may accompany the retail FDI policy, Das said: “I hope these conditions do not turn into killers for the sector. Our government is very timid right now for various reasons.”
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Even as he argued that FDI in multi-brand retail would help the sector and there was no case for old-style retailers disappearing, Das said the pace of foreign retailers coming into India will depend on how the policy is formed. If the policy is too restrictive, international chains may like to wait and watch.
On Walmart’s proposed India venture, Das said: “They have done a fair amount of homework.” And will he have a role in Walmart India? The former P&G chief executive said: “I don’t think so, I stopped being a practising manager long time ago.”