Archive · 4 Sep 2026
Rakesh Jhunjhunwala Questioned Whether Indian E-Commerce Models Were Evolved
Rakesh Jhunjhunwala was a famous Indian investor and stock trader.
In 2014, he said that Indian e-commerce companies did not have fully developed business models.
He believed many of these companies were growing mainly because investors kept giving them money.
They offered large discounts to attract customers.
In his view, this could make the companies look more successful than they really were.
He thought a strong business should eventually earn positive cash flow.
He discussed the issue further at a 2016 retail conference with business leaders including Sachin Bansal and Kishore Biyani.
Jhunjhunwala died in 2022 after becoming one of India’s best-known investors.
Rakesh Jhunjhunwala made the statement during a media interview in December 2014.
He expanded on his criticism at the Retail Leadership Summit in February 2016.
Jhunjhunwala argued that early Indian e-commerce companies depended on investor funding and heavy discounts.
He believed sustainable businesses should generate positive cash flow and demonstrate strong long-term viability.
Jhunjhunwala was a billionaire investor, known as India’s “Big Bull,” who later co-founded Akasa Air.
- Who
- Rakesh Jhunjhunwala, a prominent Indian investor and stock trader.
- What
- He criticized Indian e-commerce companies for lacking evolved, self-sustaining business models.
- When
- He made the quoted statement in December 2014 and expanded on it in February 2016.
- Where
- The original statement was made in a media interview; the later discussion took place at the Retail Leadership Summit.
- Why
- He believed the companies relied on investor funding and heavy discounts rather than positive cash flow and sustainable operations.
- Speaker
- Rakesh Jhunjhunwala
- Quote date
- December 2014
- Follow-up discussion
- Retail Leadership Summit, February 2016
- Main criticism
- Dependence on investor-funded growth and heavy product discounts
- Business standard
- Positive cash flow and long-term viability
- Known as
- India’s “Big Bull” and the “Indian Warren Buffett”
- Other venture
- He co-founded the low-cost airline Akasa Air shortly before his death