Archive for December 22nd, 2006 – Real Estate 2.0 can it work for India

I have been following zillow for almost 7-8 months and finally got enough analysis done to do a post. As a regular reader lot of you know i try to cover business ideas abroad with their implication and model’s reusability in india. Zillow is another business model which is very useful for those new property websites comming up every day. we already have, creating a name for them and suddenly news for comes in . Its interesting all of these portals are banking on cash flow from advertisements.

No one is innovating further by providing tools which could be useful for customers to use them as prefered method of advertisement. As first of all most of the people advertising on these portals are property dealers or Builders. Though this is getting the dough but not helping real buyer and seller connect.

Zillow was something was considering doing by self for india. But in india different set of problems exist and different set of metrics need to be done.


– Lack of digitized land and revenue record

– Cities are not planned. So what you see on map would not exist in real life

– GIS MAPs for cities are still not very accutate

– Too much encorachment hence actual vs on paper different story.

– All transactions are not transparent and people often avoid paying property transaction tax on actual transaction value

If anyone is interested in doing  a zillow would surely like to help in the venture as have good solid research for model’s working in indian enviornment.

Moser baer 38 INR Hindi Movie DVD – Online DVD rental companies can see trouble!

With Moset Baer announcing 500 Crore Rupees investment plan to foray into digtal entertainment and distribution business. Its sounds big trouble for Pirated Movies retailers and offcourse our favourite topic of discussion on this blog Online DVD rental companies.

As we have seen most of  the DVD companies offering rental with average movie rent out price of INR 50 with INR 38 they have surely send the business managers back to drawing board. As price economics dont support them anymore. Important aspect will be retailing of the DVD’s. If these INR 38 DVD are not easily available in market then whole concept will again tilt in favor of rental companies. Rental companies profit margin also improve with low cost of DVD as compared o existing Movie DVD costing somewhere between 300-400 INR. But substantial cash flow does get effected.

Another point in favor of online DVD Rental companies is the collection as it will be interesting to see how many movie rights can Moser Baer wrestle as license regime in indian film industry is based on old friendship and loyalty. But Moser baer will also be competiting with other Digital Rights Management companies espically those ones backed by people from film industry owning the content.

Running a Startup – IIT students love and respect you too !

Often when people start recruiting at an IT organization. From day one you start to face the HR issues of fighting for the right people with big wigs like Infosys,Wipro etc. These  companies often use strategy of campus placements by truck loads. Sorting through the stuff 6 months down the line.

With IT salaries for a fresher touching new heights every year. Often it make you wonder should you be concentrating on running the business or writing the technology software on your own. The answer is concentrate on Selling the product and selling the business as compared to sitting down and writting the code all by yourself.

Now getting back to the topic who should you hire and who should you dont. Often the question is if you goto IIT or any other technical institute of your choice why would student select you keeping mind salaries will be lot less on offer and secondly your patience with their learning curve will be less. Now important aspect is you are still better of giving a shot at good institutes as students mindset have evolved and an IIT grad feels he is still better of risking 2-3 years of his out of college life with   startup as he/she would benefit from the following

# Chance to learn more and challenge themselves.

# Most of the IITian wish to evolve further from just being tech geeks to IT consultants. Hence overall interaction with product lifecycle gives them opportunity to offer more to other potential employers they wish to work with.

# Get first hand experience working for a startup which can help them identify necessary risks and mitigate them on other peoples expense which will help them if they wish to start their own startup.

So get out their make a presentation to technical colleges of your choice and trust me the scenario around suggest if you are startup IIT students love and respect you too!

Startup India

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December 2006
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