Thursday, May 31, 2007

The Chakka Business Model

Last week i was holidaying in Sikkim along with some colleagues/friends. The train part of the journey was interesting for more than one reason! The stink was unbearable thanks to the broken/poorly designed toilet infrastructure. Also we were confronted with Chakkas/Hijras who somehow manage to get on the train and demand money.

The modus operandi of the Chakkas is to get on the train , demand money as a group in their characterstic style. A sum ranging from Rs.2 to Rs.10 per man is generally collected. Few men dare to send a chakka on its way..

To quote some figures, in our very own compartment a sum of Rs.50 was collected in 2 minutes time! Even if we were to assume a moderate "collection" of Rs. 10 per compartment, per bogey a chakka would "earn" Rs.100 (30 minutes of effort). This translates to ~ Rs. 1500 per day assuming a typical 8 hour working day..a monthly income of ~ Rs.50000 thus making "chakkas" amongst the highest earning in the nation! In the same vain, an assertive chakka could easily make Rs.1,00,000 per month..an amount that only highly educated MBA grads make!

1 comment:

Girish Kaundinya said...

The figures are fierce! :)
but do you know what they do with their money?
- they lend out their money at a very low interest of about 3-4%...thus making those figures fiercer :)