Binod Chaudhary: Continuous expansion and growth

(Note: The following was submitted as part of an Entrepreneurship course assignment to Dr. Sagar Raj Sharma, who is currently (February-August 2013) teaching the course to Development Studies students at Kathmandu University)

Binod Chaudhry Believe — “Nothing can be more successful than success.”

Mr. Chaudhary was recently included in the list of the world’s richest people. Forbes Magazine, has always dreamed of going beyond his normal capabilities. He was never satisfied with his achievements, which pushed him to dream more and more in the business world. Lack of preparation, education, and experience were never an excuse for him to stop moving forward. Strong will and high optimism are the core traits of an entrepreneur.

He had a dream, he worked hard and succeeded – and now he has proven himself to be a successful entrepreneur.

From retail store to CG global brand

His entrepreneurial journey started with Arun Emporium, a small retail store founded by his late father Mr. Lun Karan Das Chaudhary in Newroad, Kathmandu, and has now expanded to multiple industries around the world, including fast-moving consumer goods, hotels and power companies. Today, he is the richest man in Nepal and the first Nepali billionaire to be recognized globally. He is the owner of Cinnovation/Chaudhary Industrial Group, owner of Nabil Bank, and has invested in hotel businesses around the world.

Not all entrepreneurs start from scratch and become billionaires. Mr. Chaudhary took on the responsibility of Arun Emporium, founded by his father, and expanded his connections with the international business community to expand investments and business areas. The foundation of his family business was laid two generations ago by his grandfather, Mr. Bhuramal Chaudhary, who came to Nepal from India at the invitation of Rana Prime Minister Bir Shumsher and pioneered the business culture. He admits that most of his business instincts and strategies are derived from the business experience of his grandfather and father.

Wide interest

It is noteworthy that Mr. Chaudhary has a wide range of interests. He has a keen interest in singing, music and movies. He even launched his first album of songs titled “Modern Nepali Songs”. However, from an early age, he put his utmost energy and time into what he excels in – business. During the expansion of his business, he connected with famous people such as Indian film superstars, Indian and American prime ministers. He is equally good at showing sympathy and support, celebrating and negotiating according to the time and situation. He places great value on his personality and self-confidence, and this is what he presents to the world – Nepal’s first billionaire.

Business expansion and growth

Maybe, Water Noodles could be the breakthrough point for Chaudhary Industries to establish a global brand. It is very interesting to know about Mr. Chaudhary’s entrepreneurial skills as he visited Bangkok to inspect the noodle industry and negotiated with the owners of Thai noodle industries to rebuild the WaiWai noodles factory in Nepal. His market instincts are impressive – despite the fact that Thai market experts who visited Nepal to inspect the noodle industry market warned him “don’t do it”, he took a huge risk and established the noodle factory in Kathmandu. Although many of his contemporaries disagreed, Mr. Chaudhary saw enough market opportunities in the changing Nepalese environment. In the near future, WaiWai noodles will expand to 35 countries and already has 70% market share in Nepal.

If Mr. Chaudhary was satisfied with his achievements in the noodles business, he would not have invested in electronic equipment, hydroelectric companies, hotels in Maldives, Sri Lanka and Taaj Hotels in India. Besides his ambition to scale up and fulfill his dream of becoming a global entrepreneur, Mr. Chaudhary also places great emphasis on relationships with royalty, political leaders, contemporary businessmen, Indian leaders and the international business community in Thailand, Maldives, India, Singapore, Malaysia, the United States and more.

Committed to growth and expansion, Mr. Chaudhary used his Intuition, experience, money and power Achieving his goals. His goal when he first entered the business world was to take full charge of the family business founded by his father, but as his interest and insight grew, he gradually positioned himself for the global expansion and growth of the CG brand and its products.

Failure and Success

Failures always enhanced Mr. Chaudhary’s sense of achievement. Now it seems that the road was not an easy one. He fought every controversy and fight before achieving his goal. At times, his business dealings were hampered by political struggles, Maoist wars hampered his industrial production in different parts of Nepal, many business competitors tried to kill the WaiWai noodles brand, and many similar slanders and unhealthy lobbying came before him. It is interesting how he handled the difficulties. He built an institutional mechanism to deal with technical issues, for example, hiring chartered accountants and experts in his company was a decisive step for him. Whenever the initial plan failed, he used his business and political connections to expand his investment in different fields. He also developed his leadership skills by participating in different umbrella organizations such as CIN, Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and other financial policy level institutions. Being in the center of power helped him to overcome controversies and unfounded accusations.

Mr. Chaudhary’s entrepreneurial qualities

• Great ambitions always enable businessmen to cherish dreams and realize them through continuous dedication and hard work.
• In order to solve business problems, a culture with institutional mechanisms (e.g. hiring experts) is needed to achieve control of expertise in the field.
• There is more to doing business than being a market analyst. Mr. Chaudhary avoids relying on theories and instead follows the knowledge provided by practice and lived experience.
• To secure a market for their product, entrepreneurs create demand and earn a profit.
• Besides optimism, an entrepreneur must also do tough brainstorming about the consequences of his decisions, and his critical thinking plays a vital role in providing safe direction.
• Entrepreneurs should always try to minimize administrative and other costs and invest more money and time in improving the market efficiency of their products.
• An entrepreneur is also a leader and he/she should have a smart, ethical and disciplined personality.
• In addition to constantly understanding the changing needs of their customers, entrepreneurs also need to regularly learn about what is happening in the world and identify potential areas where they can expand.

In conclusion, Mr. Chaudhary advises any entrepreneur not to rest on his laurels but to strive for more. Optimism obviously motivates people to enter the industry, but in order to grow and expand, one should not be satisfied but be ambitious. Moreover, entrepreneurs should always take on responsibilities beyond their normal capabilities.

refer to

Chaudhary, B. (2013). An autobiography by Binod Chaudhary. Kathmandu, Nepal: Nepa-laya.