PAEV opportunity

According to Prof. Ram at ISB, every new business idea has to solve a pain and the higher the pain, better the chances of success.

After getting placed and deciding to relocate from Hyd to Delhi, I went through one such pain and it gave me a very good business idea. It is quite early for the Co 09 to think about PaEV (or Planning an Entrepreneurial Venture), which happens only after core terms, I decided to share my idea to all those who read this blog.

I don't want any credits or equity or anything from whoever decides to follow up on this business idea, in fact I would be more than happy to provide support for such enthusiast. Let's get back to the pain and the business opportunity related to it.

From the second para you must have been able to guess that it must be something related to relocation. Yes, I am referring to the pains that I had to go through while relocating from Hyderabad to Delhi. There is a strong need for a service that can assist working population in the private sector in relocating. In fact companies today are paying more than required price for hiring employees from other locations and if a reliable service is available that has pan-India presence (international can come a little later), everyone would benefit from the same.

The service can solve issues that arise mainly due to:
1. Lack of information
2. Lack of reliable service providers
3. Lack of expertise

Working population today in India is quite mobile and people are changing jobs left and right. In IT and ITeS sectors, from what I have heard, average tenure is anywhere between 6 months to 2 years. Not that everyone is moving from city to city but may be they are moving from city to city because there is no "Relocation Assistance Service" available currently. This absence is today reducing the choices of working public in private sector (public sector seems to have some support in this area) and is creating inefficiencies in the system. Companies can definitely reduce their salary costs by at least 10% as they can hire talented people from smaller cities and towns and help them move easily into the metros. Even individuals can earn more (they may have to spend a little more) and definitely save more. A unfilled position is a negative NPV both for the firm and for the nation and the effect is magnified when it comes to metros.

While writing this blog post, the idea became far more clear now than it was earlier and I think I am inspired to pick some suitable guy in Delhi and get this started shortly. Next year if you are relocating to Delhi, I think you will find it easy - you may where to knock and whom to call.

Let's see