Challenges for some of the listed Unicorns

Three key factors which any potential investor need to consider while considering an investment in any enterprise are :

1. A definite and lasting 'unique competitive advantage' commanded by that enterprise in its industry,

2. Able top-level team running the show committed to ethical and transparent corporate governance practices, and

3. Clear path-to-profitability which is demonstrated on a consistent basis periodically via beating the market expectations.

These three factors also need to be kept in mind by all those tech based unicorns, which have either already listed or are about to be listed on our stock exchanges.

Their astronomical valuations simply on the basis of some 'hidden value' seen by some investors, is indeed worth applauding, but this is where their main challenge lies.

They now need to convince their innumerable shareholders and other key constituencies, that their 'unicorn status' was not devoid of any merit.

Thus, by first getting their act together in terms of strategic planning backed by laser-like execution, and then consistently interacting with the media and various analysts, to effectively demonstrate that they are on the right track to deliver superlative returns to their shareholders, and without compromising on any ethical and transparent corporate governance standards, would such unicorns command the necessary confidence among all their key constituencies, both internal and external.

That, by commanding such kind of confidence, would such enterprises become the latest icons of our corporate world is anyone's guess.

Ever-increasing petrol and diesel prices. Some options

Given the severe hit which even the OPEC economies had to suffer last year due to pandemic related restrictions worldwide, which saw the crude prices plunge to negative territory, it would be unrealistic to expect them to pay heed to our request to beef up the supplies to keep the crude prices in check ,so as to serve ours as well the interests of other major importers of crude oil.

It's but natural that OPEC countries too are now trying to recoup their losses, given the fact that their respective economies too have suffered. Given such a situation, it's now anyone's guess that the international price of crude oil would cross $100 per barrel by December when it's demand peaks.

That the ever increasing retail prices of petrol and diesel can have major negative impact on our economic revival, is certainly not lost on our policy-makers. And, at this rate given the limitations of our government because of which a cut in taxes on the same is currently being ruled out, the retail prices of petrol and diesel by the year end is anyone's guess.

Some options worth considering are:

a) Issuing oil bonds or revisiting our fiscal deficit targets to defer the costs of increasing oil prices for another few years ,when it is expected that our economy would be back on its' all-inclusive growth trajectory. But simultaneously, keep up with reforms in various sectors, and keeping all key domestic and international constituencies well-informed consistently, on our plans to ensure macro-economic stability while pursuing our 'growth without pain' strategy,

b) Try working out a quid-pro-quo relationships with each member of OPEC for mutual assistance in our common overall economic objectives. It is well known that OPEC is not a monolithic entity, and each member has its own priorities and compulsion. A rupee trade or a barter deal involving oil imports from them and access to our technology and market could be a key element,

c) Actively working with some European nations and China to ensure the revival of US-Iran nuclear deal, thereby leading to lifting of all sanctions against Iran. This would force OPEC to boost oil supply thereby leading to softening of oil prices,

d) On a parallel note, working out more reliance on Iran as a trusted supplier of energy, and on a quid-pro-quo basis to address its needs post pandemic, and

e) Other measures such as thrust on non-conventional energy sources etc, need to be kept on track with as many international alliances as possible, especially given the urgent need to combat the threats of climate change confronting the planet as a whole. But, these would take their own time to yield dividends.

Top-end Movie Theatres and Star-Rated Hotels

With both top-end movie theatres like PVRs etc struggling to win back audiences, and hospitality sector (except those in leisure or holiday destinations) struggling to win back guests, it would be great if both join hands to woo the same target audience.

Certainly, those movie-goers who can afford movie tickets worth a few hundred rupees, could as well be potential target audience for star-rated hotels as well. Thus, if both these segments undertake cross-promotional activities for each other's benefit, it could be of mutual benefit to each other.

Going further, both such businesses could conceptualize an eco-system, whereby the complimentary needs of the same target audience could be addressed by different businesses forming such an eco-system. Furthermore, cross-promotions by each such business would enable everyone to reap benefits from synergies evolving from such an arrangement.

The basic principle underlying such an idea is:

"Wherever the target audience of a business congregates, be it in any physical or any virtual environment, there exists scope for a targeted marketing activity, with an aim to address complimentary needs of such a target audience"