In times when countries are looking inward instead of globalization. Is there a reduced focus on India?
It’s very clear that before covid, the world was becoming a little bit more competitive. We have had 20-30 years of untrammelled globalization. Businesses could work anywhere; there was free movement of capital - human, financial, intellectual - without much concern. Now, nation-state interests have an influence over the relationship with businesses. We were already beginning to see businesses feeling government pressure to do things with more parochial interests. Covid has accelerated primarily governments‘ desire to look after the interests of their own populations. Businesses are having to figure out in a very complex world - where diplomatic allegiances and alliances are complicated - where it is appropriate for them, in the medium to long term, to become economically viable, as well as socially and politically acceptable to operate. Our private equity and corporate clients are looking towards India as an exciting, fast-growing economy.
What has been the immediate fallout of the Ukraine war? Will it impact investments in India?
India has strong geopolitical ties across the globe. For example, countries like the UK are actively engaged in trade negotiations to try and build a much closer relationship with India. Of course, with the current geopolitical situation, there are additional complexities that businesses need to navigate, but we have seen very little retrenchment or pullback from India from our clients.
Why should a company approach you and not the Big 4 or other consulting companies?
Our business model is built on an understanding of the thinking, motivations, intentions, and proclivities of individuals who make up institutions and their stakeholders. We use the conversation between well-connected people to get lots of incrementally better insights into their thinking. That is not what the Big Four or big consulting firms do. That’s not what the banks do. They do something different. We don’t deal in numbers and will never tell you the market is growing by 90% based on our analysis. I’m going to tell you that regardless of how the market is growing, it will be challenging for you to enter the race because of local competition.
What skill sets does your team bring in tracing back to its MI6 origins?
We have 150 or so people around the world and a network of several thousand connections. We run the network between well-connected people. We are proud of our MI6 heritage. What our founders did when they were in government was learn how to develop a network of individuals who were able to hold conversations with their own networks. That’s exactly what we do to advise senior decision-makers on their biggest challenges.
Where are your people recruited from?
Our team is from a wide range of backgrounds - those who worked in senior posts with various governments, those who worked with Mckinsey and Bain, the non-profit sector, lawyers, bankers, and journalists. They have to demonstrate that they have advised a senior decision-maker or got their trust at some point. It is quite a hard skill to sit in front of someone really important and say, with all due respect, I disagree with you.
Do you see a difference in the working styles of legacy firms in India and new-age companies?
Actually, entrepreneurs not just in India - older companies, legacy companies and new companies all over the world - are very similar. They care deeply about their businesses, are highly motivated, and want to succeed. The Indian technology companies in the new wave are still probably more domestic-focused because they have such a runway within India, whereas the legacy companies have been around for a long time. They’re clearly internationalizing at a tremendous pace. And so obviously we have a lot more to do with them on the international side, as they work around the world.
What are the unique traits of Indian businesses that you remember when a global firm wants to invest?
Business people have a lot more in common than they don’t have in common. And our approach is to say you must take every situation on its merits. In India, you must try and understand the thinking of the government, regulators and your counterparty. By the way, the same is true in the UK. And Canada and Germany.
