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  • Category: Miscellaneous

    Big fish eats small fish and this is applicable everywhere.

    A very natural rule that big fish eats small fish or the strong one eats the weak is also applicable to business. A bigger company usually eats ups or in other ways takes over smaller companies or its smaller competitors to expand themselves and ultimately establish a monopoly.

    If we take the example of Pepsico and Coco-Cola, these MNCs took over all the Indian soft drink manufacturers at the beginning like Maaza, Frooti, Campa Cola, etc, and now we hardly have any Indian brand in this product range. Similarly, Google which started as a search engine now owns Android and has captured most of the search engine sphere as well as the mobile operating system (OS). On the advertising front also there is no competitor to Google Adwords. Google is now also venturing into online shopping soon and has taken over a site, to begin with.

    As for Facebook, it has also taken over Instagram, Whatsapp, Messenger, and others too, and rules the social media industry.

    The same goes for online shopping where only Amazon and Flipkart rule and no other Indian online shopping site come anywhere near to these giants.

    All of these are providing service to people but at the same time progressing towards a monopolistic trend which will prove very difficult to break in the near future and then everyone will be at their mercy. We have already seen a Cambridge Analytica case where users' personal data was used for political advertising in past. More and more such things are just waiting to happen in near future with such monopolistic trends in every industry or by few organizations.

    How do members see such things and what do they opine?
  • #713436
    True. In almost all the businesses this trend is there. The bigger companies try to destabilise the small companies by selling the products at a very low rate so that the small companies can't compete with them. They will have many other businesses. Even though they lose in one business, they will make a profit in another business and overall they will be in profits only. But the small companies who are in only one business can't withstand those losses and they close down or sell their company to the big company. Once all small companies die down, the big company will increase the rates of the products and make profits. This has become the order of the day. What we see in Jio is the same. Because of them, only all small companies in that line vanished.
    The rich persons will give loans to poor people and they charge heavy rate of interest and they will become poorer by paying that interest every month. I have seen many families which got ruined like this. So here also the rule of big fish eating the small fish is applicable. That is why no one should go for loans and try to live within the resources available to them.

    drrao
    always confident

  • #713447
    Rightly said by the author. The mighty has say all over and the small are no where. Even in the class the ranker would take the center stage and the entire class would be based on his observation and likes. The teacher would interact with him often and other students are one step less. Even in office the performer employee gets the preference , attention and even additional facilities. Those who are rich always eyes on the lands of the poor and by offering pittance they try to grab the land as the poor would not able to pay interest nor the principal amount and thus the land or the property goes to the hands of the rich. Even gold ornaments pledged for short term loan could not be retrieved by many families and thus the pawn broker is the winner always as he would realize his amount through auctions or sale of the same.
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #713448
    Business environment is like that only. Each of the business house is extra careful in seeing that there should not be any competition to it because that would affect its bottom line so the best strategy would always be to amalgamate the small ones in it whatever cost they have to pay for it. The case of WhatsApp bought by Facebook is an example of this strategy. In some cases these business houses will introduce some discounts and aggressive marketing and the other product would not be able to do that type of campaign and would lose the market share. I remember long back (about 30 years back) when I was living in Chennai there was a campaign by one of the top soft drink brands that whoever phones to them in the morning at 8 AM next day gets a crate containing 20 bottles of cold drinks. Next day at 8 AM the phone line went dead may be due to the load of the calls or whatever reason and telephone department took some action against the company for such irresponsible actions without taking them in confidence and without knowing that could we do such things with limited battery power available for the telephone line as per the technology at that time. That could be a technical glitch but the point I want to drive is that companies can go to any extent for promoting their products.
    Knowledge is power.

  • #713470
    There are so many people doing business and everyone wants to woo the customers. Customer is the king and goes to the shop whomever he wants or likes. This has made it a big competition for the business houses and everyone tries to grab the sale of items. In this situation, many big business houses will try to see that their competitors are somehow contained as regards to the sales of items. They will use all sorts of techniques to do that. Many small business units will perish in that process.
    Thoughts exchanged is knowledge gained.


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