Sector: Commodities: Brokerage
Client: Mumbai-based agricultural commodities broker with global network, and cross-border sales growing at 5-10% annually.
Promoter's Dream: To create sustained, profitable, growth by increasing its customer base by 400% and diversifying into new fields.
The Avenues of Opportunity Recommended by OPENMIND
Expand Customers, Products and Geographies: OPENMIND MD, Mr. Richard Rothman, recommended that the client devote significant resources to growing its customer base worldwide, by choosing best targets for expanding third country business, ramping up its sales effort, slowly expanding its network overseas offices, and exploring new products. By implementing these recommendations, the client will uncover significant opportunities for sustained, profitable growth.
Back Office for Commodities Traders: In the past the client had successfully set up a back office for a telecom company, and wishes to diversify into that business, which has constant revenue flow, higher margins and lower risk than brokerage. OPENMIND recommended that in order to recover opportunities in this area for sustained, profitable growth, the client should first test feasibility by defining the back office segments he could offer, as well as initial target customers; and should assess HR resources availibility by recruiting a pilot sales and operational team.
Innovative Clearinghouse for Commodities Trading: International trading of agricultural commodities is a wild west business with enormous counterparty risk and frequent bankruptcies. OPENMIND MD, Mr. Richard Rothman recommended ways in which the client might implement his longstanding ambition to create an international clearinghouse for commodities transactions, helping the client to discover a potential opportunity for sustained, profitable growth.
Actions Taken: The client wholeheartedly accepted the OPENMIND recommendations and has begun to implement all of them. There has been promoter and top management involvement throughout the entire process and decision-making.
The OPENMIND Advantage
Industry: The brokerage industry is projected to grow at a Compounded Annual Growth Rate of 5-10% over the next five years.