Marwari
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Contents |
Introduction
Marwaris have shown tradition needn't be hostile to modernity
The Times of India Nov 16 2014
Thomas A Timberg
Marwari is almost a generic term for business in India.
The community has spawned some of the country's oldest industrial houses -Birlas, Dalmias, Jhunjhunwalas, Goenkas -and accounts for a quarter of Indian names in the Forbes billionaire list. Their histories and mantra of success have been the subject of much fascinated scrutiny . Thomas A Timberg, author of a recent book `The Marwaris', wrote his doctoral thesis on them at Harvard back in 1978. Here, he tells Subodh Varma how the entrepreneurial seths made the transition -from British India to Nehruvian India to post-reforms India
Who are the Marwaris?
In popular belief all shopkeepers and traders are Marwaris. But I go by the definition provided by the All-India Marwari Sammelan -that all those traders and business families from Rajasthan and some adjacent areas of Haryana are Marwaris. The Jodhpur region in Rajasthan is called Marwar.But many of the leading business families hail from the Shekhawati region -Sikar, Jhunjhunu, Churu, Nagaur districts. Some are from Jaisalmer area. So, I include the whole of Rajasthan.
How did they become so successful?
It's a long story! But what can be said is that they all had some common features that helped in their success. Starting from about the 1820s, they moved to Bengal and then built a network of traders that covered large parts of the countryside too.This upcountry network was their backbone and also the school for learning the ropes. They developed a sophisticated book-keeping system called the `parta'. By early 20th century this was updated in real time through phone. They had a thoughtout personnel policy , with loyal and qualified people placed at key points in the system. They had a system of incentives for good performance. Finally , they were very adaptable to changing economic or political situations. In the 1970s, during the height of Naxalite terror, I met a Bengali lady and a Marwari insurance agent at breakfast in the guest house where I was staying. The lady got irritated at the man's boasting and said that the Naxalites would get him someday . The trader chuckled and said, “Before that can happen, we would join them.“
To build a trade, one needs money. Where did they get it initially?
Different families have different tales.But during the British times, some of today's successful families took advantage of the speculative market, as in opium and also jute. In the early 20th century , when the British were easing off on opium (which they exported to Chi na), some Marwari families in Bombay made a killing. They used their connections in Malwa where opium was grown to do so. Another family owes its origin to playing the international silver market through tiny loans. What these stories tell us about this community is that they had the ability to take risks and also that they acted on market in for mation. Of course, this should be seen in the context of tremen dous hard work that these families did in going to distant places, staying in community messes (`basa') and building their trade from the ground.
How did the entrepreneurial spirit of Marwaris fare under the Nehruvian economic regime of controls?
Most seem to have done pretty well for themselves. A 2010 study by Tarun Khanna and Krishna Palepu of the Harvard Business School has shown that share of Marwari and other family business groups in the ownership of largescale business in India is not so different from what it was in 1939, 1969 and 1997.Some, like the Bajaj family , suffered for several years. Dalmia too had problems.But by and large the Marwaris benefitted from their networks and especially , from their ability to negotiate with the governments of the day .
Modern Times
Are modern Marwari business houses following the same traditional practices that made them successful earlier?
Some features may survive, others may get replaced. A lot of study has been done on the academic question: is tradition hostile to modernity? The Marwaris have successfully gone from being traders to industrial houses (Birlas, Goenkas, Dalmias). They have both tight focus and diffuse focus groups. They have largely resolved the succession problem, something that dogs every family business.Not that there were no schisms and warring factions, but ultimately things have sorted out. They have embraced new technologies, especially IT. In fact the Birlas finally gave up their traditional book-keeping sys tem for an IT-based system a few years ago. Many have en couraged their daughters to study and take over business responsibilities. In fact most of the young Marwaris are now educated in Western business schools. There are exceptions but I am talking about a gen eral trend. So, yes, by and large the Mar waris have modernized their tradi tions.
Marwari
(From People of India/ National Series Volume VIII. Readers who wish to share additional information/ photographs may please send them as messages to the Facebook community, Indpaedia.com. All information used will be gratefully acknowledged in your name.)
Groups/subgroups: Agrawal, Maheswari [Bihar and/or Jharkhand] Agarwal, Gour, Jain Agarwal, Jain Maheshri, Khandel wal, Maheshri, Maheswari, Oswal, Rajput, Sarogi, Shakaldweep [Orissa] Agarwal, Maheswari, Oswal, Parikh, Puskarna, Rajput [West Bengal] Titles: Sheth [Bihar and/or Jharkhand] Kainya [H.H. Risley] Surnames: Bajaj, Biyani, Goenka, Jalan, Khemka, Kut hari, Modi, Periwal, Poddar, Somani [Bihar and/or J harkhand] Agarwal, Bansal, Gupta, Joshi, Kedia, Khandel, Lat, Maheswari, Mittal, Nahata, Pandey, Prasad, Sharma, Singhal, Soni, Telrewal, Tibrewal, Verma [Orissa] Bansal, Garg, Mittal, Mohra, Saboo, Singhal [Bihar and/or Jharkhand] Bansal, Garg, Iran, Mittal, Singhal, Soni [Orissa] Garg [Bihar and/or Jharkhand] Bharadwaj, Garg, Goutam, Kashyap, Sandilya, Vasisht [Orissa] Bharadwaj, Daga, Garg, Goutam, Parasar, Sandilya, S ingal [West Bengal] Gargya [S.S. Hassan] "Sections: Airam, Batsil, Bhaddal, Gawal, Gobhil, G ovin, Govil, Kasil, Mangal, Mittal, Singhal, Tairam, Tayal, Thingal, Tingal, Tittal, Tundal [S.S. Hassan] Khamp: Adal, Agiwal, Agsor, Ajmera, Asava, Bajaj, B aladi, Baldava, Banali, Bangar, Bangdya, Barla, Bay ant, Bayati, Bhandari, Bharad, Bhujada, Bhura, Bindala, Buba, Ch andaga, Chapparwal, Chatadangya, Chopada, Daga, Dar ak, Gagrani, Gatani, Girla, Heda, Hurkat, Inani, Jaju, Jakhatya, Kabra, Kahaliya Banali, Kalani, Kankani, Kantadi, Kapadiya, Karwa, Kayara, Khadloya Khatur, Lada, Lak hotya, Lavari, Luya, Magad, Malanialani, Malpani, M alu, Mandhanya, Mantri, Manyar, Mudani, Mundada (Mesri), Navagaja, Navandhar, Nayati, Padtati, Randada, Rad ii, Sajada Sara, Sodhani, Somani, Soni, Tapadiya, Tawar i, Totala, Tusaniwal, Zumavar [S.S. Hassan]
