Saturday, 10 October 2026 PDT | 11:18 PM
The 1 News Alt Logo Text Smart News for Global Indians

When a Bengaluru startup founder met a Gujarati businessman. A 10

Business October 11, 2026 11:01 AM
When a Bengaluru startup founder met a Gujarati businessman. A 10

When a Bengaluru startup founder met a Gujarati businessman. A 10-minute call changed everything

A viral post by professional Prem Soni on how business networks operate in India's manufacturing sector has triggered a debate on X, with users discussing whether personal connections are essential to doing business in the country and how India's manufacturing ecosystem compares with China's.

Soni shared an account of meeting a Bengaluru-based technology startup founder who was struggling to manage his manufacturing operations. The entrepreneur was reportedly dealing with delayed deliveries from vendors, shrinking profit margins and suppliers unwilling to offer credit.

According to Soni, the founder believed the manufacturing ecosystem was broken. However, Soni argued that the problem was not necessarily the market itself, but the absence of established business relationships.

Explaining how he helped the entrepreneur, Soni said he connected him with a trusted supplier from his network through a phone call. The introduction reportedly helped the founder secure priority production and favourable credit terms within minutes.

Soni used the incident to highlight the importance of personal relationships and established networks in India's traditional manufacturing ecosystem, arguing that digital processes and technology-driven approaches alone may not be enough to navigate the sector.

I met a startup founder yesterday, exhausted, complaining that the manufacturing ecosystem is completely broken. His vendors were delaying shipments, crushing his margins and refusing to extend credit. If you want to build a physical business, leave your tech mindset at home as it doesn't work in Indian manufacturing. He thought the market was toxic. The truth? The market just didn't know him. Indian manufacturing runs on generational trust. It doesn't run on automated onboarding or email threads. I made one call and connected him to a vetted supplier in my network. He instantly got priority production and fair credit terms. Problem solved in 10 minutes. You can have the best customer acquisition cost and the cleanest UI but the physical world is built on offline leverage. As a startup founder, start meeting new people and start doing founder branding simultaneously. If your network can't fix a broken supply chain with a single phone call, your startup is already dead. — Prem Soni (@ValueWithPrem) October 10, 2026

He also drew attention to the difference between building a technology business and operating a physical enterprise, where trust built over generations can influence supplier relationships, payment terms and production schedules.

According to Soni, startup founders should invest in building relationships and developing their personal brands alongside customer acquisition and product development. He argued that a strong professional network can sometimes resolve supply-chain challenges far more quickly than formal business processes.

X users compare India's manufacturing ecosystem with China

Soni's post prompted contrasting reactions, with some users questioning whether India's reliance on personal connections creates unnecessary barriers for entrepreneurs entering the manufacturing sector.

One user argued that doing business in China does not involve the same difficulties, claiming that Chinese suppliers are generally willing to respond to enquiries and engage in commercial transactions without the same emphasis on personal connections.

Another user criticised the role of relationship-driven business practices in India's manufacturing industry, arguing that the lack of standardised systems makes the sector less competitive.

The user suggested that an overreliance on personal networks and what was described as the Gujarati dhandho mindset could frustrate entrepreneurs and encourage businesses to source products from China instead.

Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

Find the best of Al News in one place, specially curated for you every weekend.

Stay on top of the latest tech trends and biggest startup news.