Indian Way of Enterprising: A Case of Ambivine
In 2001 Mr. Motilal Patidar and his 17 fellow farmers planned to grow wine grape in their fields to start winery unit in Titri, a village 5 kilometers far from Ratlam city, a district place of Madhya Pradesh. In 1982 Titri village was in the news when late Ambalal Patidar planted grapes for the first time and became the first village in the state to do so. But since last 15 years farmers were selling the grapes at the same price of Rs. 15 despite of increasing inflation. The reasons behind starting a wine enterprise were as follows:
- • Farmers were not getting considerable price for their grapes.
- • To make agriculture a profitable business by establishing food/fruit processing unit.
- • Explore opportunities to diversify agriculture business into agro processing.
- • To provide better employment opportunities to local youth in the village.
- • To improve the economic conditions of agriculturists through entrepreneurship.
After studying the wine industry basics during their visit to Maharashtra they replaced plants of normal grapes with wine grapes but later came to know that grape processing industry was in the negative list of industries prepared by the government. This left Mr. Motilal and his teams with two options either go ahead with changes in the policy by communicating with the government officials or give up and start agriculture again. Mr. Motilal knows that it does not make sense to give up at this point and started studying the wine policies introduced by different state governments in India..............
The purpose of this case is to discuss the various issues related with business environment faced by entrepreneurs due to distinct policies implemented in various states of union of India and how to overcome them. Case also discusses about the problem faced by the rural agriculturist turned agripreneurs in managing their first ever wine enterprise in the state of Madhya Pradesh. In India wine and liquor industry regulated by state government and considered as negative business.
After going through the case students would be able to understand the issues related with enterprise development are as follows:
- • The significance of policies prepared by state government to regulate the different industries and role of an entrepreneur to understand it before starting a new ever enterprise
- • The significance of scanning business environment before starting a new enterprise. It is important to understand the legal framework or legal environment for an industry which is controlled by government
- • .......................................
The case is prepared for both classroom discussions and as an assignment. The teacher should motivate students to look for the solutions to the problems discussed in the case.......
An assignment of written assignment includes the brainstorming activity in following points:
- • Find out the key issues and problems in the case.
- • Priorities the main concerns in the case and gather related information on it. The information given in the case is sufficient or needed more sources of information to solve the issues?
- • ............................
- I. What problems Patel Wine and Fruit Processing Industries was facing? Was decision of Mr. Motilal and his farmers’ team to start a vinery unit too early?
- II. ...........................