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Back in the 1970s-’80s, an entrepreneur had to be a dreamer and a fighter at the same time. Daring to dream about the unusual and fighting through all the challenges were inevitable for an entrepreneur of that era. The license raaj was a huge obstruction for startups; limited banking facilities resulted in very few available opportunities and chances needed to be hunted for.

In the 1980s, Apollo was in a bad shape. This happened after we set up a plant in Kerala—a state highly dominated by labor unions. We faced constant labor issues, with labor unions on a long-term agreement with the company coming up with demands which were very difficult to meet. Giving such unions their fair share while staying firm on decisions made is the right way to solve labor-related issues. We remain unbiased with our decision-making policies; the same rules will apply to an undisciplined employee whether he is a laborer or a white-collar employee.

The main ways to deal with problems and the key, especially when it comes to labor unions in Kerala, is to create a huge capacity outside the state so that the workers understand the right way of conduct and start behaving in an acceptable manner.

Ultimately we, as a company, are interested in their efforts and not taking away their rights but at the same time they should understand their occupation. Sometimes they are also misled by politicians for their selfish interests and therefore go on a strike. Of course, these statements cannot be generalized for all laborers as a handful of them are misguided and they in turn influence the others.

The problems aren’t related to labor laws but dealing with these problems is definitely difficult for small enterprises. Being a large organization, we have experts sitting all over the country to solve these problems. But for startups these challenges get frustrating, extremely time-consuming and intimidating.

India has a peculiar entrepreneurial ecosystem because this is the only country where ‘out of the box’ thinking is required. Due to regular changes in laws and the banking system, challenges come up daily.

As a result, there is a need to make constant adjustments. For example, excise or export-related laws undergo modifications often and a number of times the inability to withstand these challenges makes companies succumb to destruction.

Lack of collateralization poses a threat to many companies, as they are unable to bear sudden prize fluctuations of raw materials etc. Although the government has created a number of organizations to help startups, the amount of paperwork involved makes them far from being helpful. Despite all the prevailing issues, I still feel India possesses a great setup for entrepreneurs, because people have the desire to create something unique. Economically, seed capital still remains a major issue. Until one comes up with an attractive offer and has already made a good name for himself, he doesn’t stand a great chance of receiving seed capital.

Tips for aspiring entrepreneurs:
1. It is important to have a clear idea about what you want to do and how you want to go about it.
2. Sketch out a transparent roadmap to achieve the targets.
3. Passion is the way to be successful; never look back and see yourself as a winner.
4. Don’t question your intuition.
5. Never underestimate an idea; a small idea can be the spark to a massive business.

ONKAR KANWAR is considered to be the man who put Apollo Tyres on the map.

Tags:
Apollo Tyres, labor laws, Onkar Kanwar