In this blog, we are going to talk about D Mart, one of the most profitable businesses in India. Mr.RK.Damani, the owner of DMart works for DMart only during weekends. He is an investor and spends only 2 days at D mart.
To know more about RK. Damani, click here to read about the article published in Economic times.
Read the blog till the end, then you will know the secrets of Mr.RK Damani that made it a huge success. DMart has opened his first store in 2002 and they opened only 9 stores in 9 years. Two hundred stores of Dmart gave tough competition for six hundred stores of reliance retail in profits. DMart earned huge profits and let us learn one by one how was it possible and the strategy behind in our learnings
Learning No 1: Go slow attitude
RK Damani was a very old, established and experienced investor and he always goes slow and invests for a longer time, and Mr.Warren Buffet also follows the same strategy of snowball effect. The snowball grows so big and becomes profitable. Click here to know about snowball effect in business
Rk Damani has focused on a few stores and made it perfect. Opening stores and closing like others was not his strategy. Business can run in two types, one is an opportunistic style and the other is expertise style. Mr. RK Damani does not believe in an opportunistic style but follows an expertise style. He reduced the cost of stores, improved systems and made a perfect business model and once the business model becomes perfect then it is easy to expand. The result is visible in his net worth, which was 5 billion dollars in 2017 which increased to 9 billion dollars in 2 years and now it is 16 billion dollars. This is known as a snowball effect, when you work on the fundamentals, bring perfection in work and then expand your business then you can see the magic of snowball effect. Creating profits and owning a brand will always take time and hard work. If you want to know how to create a brand of your own and impress your customers click below
How to create a brand by Jitesh Manwani - Click here
Learning No 2: Focus on your strengths
Generally, people focus on their weaknesses and try to improve the same that will take a long time. We have to focus on our strength, like the strength of MR. RK Damani is money and he made his business model in such a way that involved money. DMart will never lend land but always buys land in an upcoming area and also treats it as a real estate business. The same is followed by the famous food chain McDonald’s. They open their stores in their land. They always buy real estate on their own so that they receive appreciation. Mr.RK Damani’s strength is money and so they buy at much cheaper rate using cash from companies and sell their consumers at a much cheaper rate. Buying with cash is their business model as well as strength. Always build your business model basing on your strength then you will be successful. Similarly, Mukesh Ambani also follows the same. We also have a blog on the business learning of Mr. Mukesh Ambani and his strengths. Click below to know the business secrets of Mr.Mukesh Ambani
Success Secrets of Mr. Mukesh Ambani by Jitesh Manwani - Click here
Learning No 3: Passive income
Usually, when entrepreneurs earn income and grow their business they spend unnecessarily or smart people will reinvest in their business but legendary businessmen build passive income as passive income is equally important as active income. There is an interesting article that explains us more about the importance of passive income click here to know more
Legendary businessmen will move forward by matching both incomes. Even now Mr.RK Damani invests during weekdays and manages DMart during weekends. A popular money expert explains in his money management formula that 10% of our earnings should go for our financial freedom account.
The above mentioned are the three important learnings from the most successful entrepreneur. You can become successful by implementing these learnings in your business. Kishore Biyani, owner of the Future group was also successful in his business as he was able to understand the customers and focused on their requirements. Click below to know his business secrets.
Success Secrets of Mr. Kishore Biyani Jitesh Manwani -Click here