The industry has high staff attrition rates, but Sheth is trying to combat that with generous performance-based incentives. Today, margins are becoming thinner as advertising costs balloon.Updated: Jul 07, 2008 22:42 IST
Got the idea from
In a nutshell, Sheth chose to open a travel agency because that was all he knew. At the age of 16, he had taken 93 children on a tour around Nepal all by himself as secretary of a children's welfare club. So when he arrived in Mumbai in 1976, he targeted travel agents for work.
Even though Sheth didn't know whether there would be takers for his premium tours, he went ahead anyway.
Without a track record, Sheth was forced to run his business without borrowing money until 1985, but that year, he applied for a bank loan to open new branches and has since kept borrowing to expand.
The industry has high staff attrition rates, but Sheth is trying to combat that with generous performance-based incentives. Today, margins are becoming thinner as advertising costs balloon.
Outstanding personal qualities:
Delivers: Sheth may charge high prices, but never cuts corners. Ambitious: Sheth always wanted to be a market leader, not one of many players.
Street-smart: He recognised a niche market with potential and targeted Gujarati's who had the money and the yen to travel.
Hands-on leadership: Sheth is fully involved in the day-to-day operations. Customer-focus: Sheth moved office to be located closer to his potential client base.