Reliance Industries Essay Example | Topics and Well Written Essays - 750 words

Reliance Industries - Essay Example Poza notes that as per the regulations outlined in Hindu succession laws, the eldest son of the household is entitled to become the successor after the death of the family’s head (341). Consequently, this notion is also reflected in Hindu traditions and customs which favor the first-born of the family. Mukesh’s arrival in the business, in many ways, echoed this custom as he embarked upon his responsibilities in a fashion that was similar to that of his father (Grant and Nicholson 44). Assessing the relationship that the sons shared with their parents it is understood that Dhirubhai was particularly fond of Mukesh and therefore, chose to discuss the affairs of the business with him before seeking Anil’s point of view (Poza 348) which could have irked Mukesh’s sibling. Another important role that the parents played for the sake of Reliance Industries’ and for their family was that of mediators. Whenever conflicts between the brothers arose, it was Dhi rubhai who took to a stand to resolve the issues by warning his sons and taking an action in order to ensure that family disputes did not act as hurdles in the achievement of business objectives (Poza 349). By March 2005, tensions between the brothers over the control and management of Reliance Industries had escalated which caused media scrutiny on the matter to rise. Thus, it was Kokilaben who realized that the gravity of the situation begged for her intervention. Grant and Nicholson state that despite of her unwillingness to do so, Kokilaben initiated a process of arbitration that ultimately resulted in the distribution of the company’s assets (49). Therefore, this component of the analysis certainly indicates the instrumental role of Dhirubhai and Kokilaben in Reliance Industries which could have not succeeded without their participation in its affairs. The succession of Reliance Industries to the next generation cannot be termed as a monumental success. In order to asses s this statement, the paper explores the ramifications of the succession from the point of view of the Ambani family and from a business perspective. Dhirubhai was always a firm believer in the concept of unity and trusted this notion as an â€Å"article of faith†, this observation first surfaced when he refused to divide Reliance upon the suggestion of his brothers (Grant and Nicholson 43). Similarly, Dhirubhai’s disapproval of family disputes and rifts especially between his sons is clearly observable from the fact that he would personally intervene to resolve any conflicts between Mukesh and Anil (Poza 348). Therefore, it can be stated Dhirubhai Ambani never wanted Reliance Industries to be partitioned. Grant and Nicholson claim that Kokilaben’s reluctance in dividing Reliance Industries was unequivocally clear when she intervened to resolve the issue in 2005 with the assistance of K V Kamath and Nimesh Kampani (49). The authors note that the continuation of Reliance Industries as a single entity was to be a representation of Dhirubhai’s legacy which could not survive due to the dispute between Mukesh and Anil (Grant and Nicholson 49). Henceforth, the succession of the great Indian company cannot be termed as successful from the perspective of the Ambani fam