KAMDHENU ISPAT LIMITED - Securities and Exchange Board of India

As a business model, franchising enables rapid market expansion while conserving capital and it exploits
entrepreneurial potential offered by the individual franchisees.
India’s estimated Long products market of 10626 Mn MT for the year 2003-04 offers huge business opportunities.
Franchising in the Steel and other segments is common all over the world, so why not in India?
This concept is catching up fast in India. with NIIT, Archies, Lakme, Lever, Ceat, Satyam Infoway, Aptech , Titan and
Reliance Web Dunia leading the way. In Steel segment we wish to be the leader.
Franchising models
We offers several franchising opportunities. We have our own manufacturing facilities, we can manage manufacturing
facilities for others, and then we have franchisee manufacturing units. We are even open to taking over sick units to
revive them under our Umbrella. In one of our most ambitious initiatives we wish to build a nation-wide chain of over
40 Franchisee units over next five years.
These Franchisee units will be equipped with Latest most modern Rolling Mills to produce the Quality products
under the Brand Kamdhenu. We plan to take brand to remote and untapped ‘B’ and ‘C’ towns.
We are planning to spend about Rs 2.50 Crore on new corporate and marketing office which will be equipped with
latest communication means and shall be IT hub of the Company.
Our franchisees will gain not only from our deep steel sector domain knowledge, but will also be serviced by a team
of young, bright professionals from various backgrounds such as project management, retail, logistics and franchising.
They bring with them a wealth of knowledge and experience.
What franchisees can expect from us
A franchisee enjoys the best of two worlds. As the owner of an independent business, they are free to leverage their
entrepreneurial capabilities and knowledge of the local market. They also knows that a strong brand like Kamdhenu
minimizes their risks.
All the knowledge and expertise required to successfully run the business are ensured from us. Being part of a large
network allows the franchisee to offer quality product without spending a fortune and reap full benefits.
We have been in the business for Ten years, and have standardised systems and processes to such a degree that
the franchisee doesn’t have to waste time inventing the wheel. They can immediately get going on value-adding
activities such as creating and driving the market rather than waste time designing an envelope or putting together
a brochure.
At the project stage, we assist on:
· Market study,
· Preparation of the detailed project report,
· Site selection,
· Mobilisation of financial resources,
· Architecture and interior design,
· Selection and procurement of equipment,
· Project coordination,
· Manpower selection and training,
· Information technology,
· Marketing strategy,
· Commissioning and pre-launch activities.
After the project is launched, we help the franchisee upgrade his skills and those of his employees through continuous
training programmes. Apart from the managerial support, we also support the franchisee by building the Kamdhenu
brand. It’s a sustained marketing initiative both at the national and local levels with promotions, direct marketing
activities and a comprehensive public relations exercise.
The USP (unique selling proposition) of franchising are demonstrably superior quality, consistency, price sensitivity.
Bailing out Projects in trouble
We embarked on franchising partly because of our experience in handling sick units owned by others. We generally
get enquiries from such existing rolling mills which are not interested in carrying on the business on account of
financial, quality or marketing problem, asking us to take their units under ‘Kamdhenu’ umbrella to make their units
viable.
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