The Garbage Collecting Rolls Royce

Back in 1920, the Maharaja of Alwar decided to visit the UK. One fine morning during his visit in London, he was out for a morning stroll and decided to go inside a Rolls Royce showroom. Now this Maharaja named Jai Singh Prabakhar had decided to go incognito and was suited like an ordinary English man. Upon seeing his generic clothing and Indian features, the Rolls Royce employees didn't kindly entertain his queries and went as far as showing him the exit door.

This naturally pissed him off and once back in his hotel, he asked for an official visit to the showroom be arranged. His wishes were promptly fulfilled and off he went to the showroom, this time heavy with jewels and fine threaded embellished royal outfit and an attending force of many subordinates. He was welcomed with open arms and even a red carpet.

[img]https://qph.fs.quoracdn.net/main-qimg-41e3adf0543e2421b58906c9ae31d5bf[/img]
He inspected and bought with cash all six cars exhibited and paid for delivery to India. Upon their arrival, the Maharaja handed them over to the municipality department and had them sweep the streets of New Delhi with these luxury pieces.

[img]https://qph.fs.quoracdn.net/main-qimg-a6e4f9f39776b688f35244e661bbffc6[/img]
Soon Rolls Royce heard of the mistreatment as their cars started getting associated with garbage collection. They offered Jai Singh a sincere apology in the form of six brand new cars and a promise of rightful treatment. This finally put a stop to the Maharaja’s anger and the cars were returned to their old glory.

Ratan Tata & Ford:


‘You do not know anything, why did you start the passenger car division at all?’

- A question from Ford officials that sparked angst inside of Ratan Tata, an angst that was followed by an acquisition 9 years later that humbled one of the world’s biggest automotive conglomerates.

Back in 1999, Tata Motors were having trouble shifting units of the home grown Indica hatchback, which was launched in 1998. Seeking help, Ratan Tata, with his team in tow, traveled to Detroit to sell off their fledgling passenger car business to Ford, who had feigned interest.

However, the 3 hour meeting with top Ford executives didn’t go too well, and the team had to put up with a lot of ‘humiliation’, as recalled by Mr. Pravin Kadle, who was part of the team at that time and now heads Tata Capital. The Ford executives even went on to say that they would be doing Tata Motors a favor by buying their passenger car division.



Ratan Tata, understandably disgraced, left the room without finalizing the deal, and flew back to New York with his team that very evening, before flying back to India. Throughout the 90 minute flight to NY, Ratan Tata, then the group chairman, was visibly somber, recollects Mr. Kadle in a speech after receiving the YB Chavan National Award 2014 on behalf of Mr. Tata, who is now Chairman Emeritus of the over $100-billion group.

Nine years after the ‘humiliating’ meeting, life turned a full circle in 2008, and Ford, reeling in bankruptcy due to the global meltdown, had to let go of their cherished, iconic Jaguar and Land-Rover brands for $2.3 billion to Tata Motors. A wave of sweet revenge wafted in the air, when Ford chairman Bill Ford, post the acquisition, thanked Tata, saying ‘you are doing us a big favor by buying JLR’.

Today Jaguar Land Rover, after making a dramatic turnaround, is the mainstay of Tata Motors’ finances, apart from its traditionally successful commercial vehicle division.

There are probably plenty, so let me share one story from South-East Asia, which is not so well known in the rest of world. I heard it while staying at the “Blue Mansion” hotel in Penang, Malaysia, a restored mansion that once belonged to the central character of this story, an extremely wealthy Chinese man called Cheong Fatt Tze.

Born in southern China in 1840 in a very poor Hakka family, he left mainland China during the Second Opium War, to establish himself in Batavia (nowadays Jakarta) in the Dutch Indies. Starting as a water carrier on transport ships, later a shopkeeper, he gradually pulled himself through a series of clever investments and marriage to become one (if not the) richest persons in the Straits of Malacca, owning several rubber plantations, mining companies, etc. throughout . His wealth granted him the nickname “Rockefeller of the East”.

Now to the story: as a very wealthy man, he would always travel with a huge staff, comprising a secretary, bodyguards, maids, etc. as well as a personal M.D. In his case, his doctor was a German man.

He had sent his Secretary to buy boat tickets for the whole retinue, requesting three First-Class tickets (for Cheong-Fatt Tze, the Secretary & the German doctor), while the rest of the staff would travel in Second-Class cabins. The cashier categorically refused and agreed to sell him just one First-Class ticket (for the German doctor), as only Whites could travel in First-class according to that Company Policy. Even after the secretary tried to argue by telling who his employer was, the cashier refused, and Cheong-Fatt Tze bitterly accepted to travel in Second-Class.

As a ruthless businessman, he knew his revenge would come later.

He knew that there was another shipping company operating on the same routes as this one, so he bought it. Throughout the next years, his shippping company dumped the prices so low, that no one could compete with it and eventually he drove the other company out of business and later to bankrupcy. He then bought it at a substantially lower price.

History hasn’t retained the name of the employee who got fired first after the takeover, but I think we can all take a guess…