Causes of failure

• Suzlon Energy• Acquired Germanys REpower systems• Delay in implementing quality issue• Poor understanding of vital functions• Poor assessment of future risk

Problem faced

• Indian company facing resistance to merge & consolidate• FCCB loans matured• Extension was rejected• Debts increased in pas few years • No profits recorded• Demand reduced from Europe and US• Tax incentives withdrawn from India

Causes of failure• GMR Group• Troubles from business mode• Most projects are public-private partnership in regulated industry

• Change in government policies• Land acquisition problem • Corruption issues

• GMR should have visualized this problem• Slow pace of execution has problems in cash flow• Payment issues from various government bodies• Instead of improving cash flow Continued to take projects• Did not take political insurance cover