Powerol generates new markets: Telecom backup provides opportunities

Abstract

Purpose

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

Design/methodology/approach

This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.

Findings

When profits in tractor manufacturing declined, Mahindra Powerol (part of the large Indian business group, Mahindra & Mahindra) used the surplus capacity to produce and sell power generators (Gensets), capitalizing on the rapid growth of the Indian telecommunications sector and the need for power backup at remote locations for the mobile communication towers. Adopting a lean asset model, it transformed the industry ecosystem and grew rapidly. As the telecom opportunity saturated, Powerol performance declined, but bounced back as it diversified into other products.

Practical implications

The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations.

Originality/value

The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Citation

(2015), "Powerol generates new markets: Telecom backup provides opportunities", Strategic Direction, Vol. 31 No. 11, pp. 14-16. https://doi.org/10.1108/SD-08-2015-0130