It is alarming that after having such a massive chain of industries Ratan Tata is not on the list of Billionaires in the world. Yes! He is not a billionaire in the paper but actually has more capital than Bill Gates and Warren Buffet. There is a lot to know about this fact as it carries broad aspect business technicalities.
The Business views of the Tata group
Whenever you take into account the fact of comparing the worth in terms of Ratan Tata vs. Bill Gates, you have look forward to the techniques of the business strategies of both the TATA group and Microsoft.
The TATA group runs following the visions of JRD Tata. He always dreamt of being an industrialist and not a mere businessman. According to the quotes of JRD Tata, he never wanted to see India as an economic superpower but a happy country. Ratan Tata has mentioned it a number of times in many of the interviews.
While looking into the business prospect it is clear that the TATA group has 96 businesses running altogether. 28 businesses out of them are publicly enlisted in the number of a stock exchange. The reason why you cannot find Ratan Tata’s name on the list of world’s richest man is that the 96 businesses are run by ‘TATA Sons’.
Alarmingly enough, Ratan Tata is not the owner of ‘TATA Sons’. It is owned by a number of charitable organizations. These are formed for the management purposes of the businesses owned by the group. The main charitable groups are the JRD Tata Trust and the Ratan Tata Trust. This is the reason Ratan Tata lags behind the comparison of the riches in the case of
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Ratan Tata vs. Bill Gates.
The charitable organizations hold a massive percentage of 65% of the total profit incurred by the company. Due to this reason, the amount of this 65% does not enter into Tata’s personal statement of finance. This is the primary reason why he is not in the Billionaires’ club.
Though if you add up the total amount incurred by the group in accordance to that 65% the net worth can jump up to $70 billion. This can make him take a lead in the race among Bill Gates and Warren Buffet.
Moreover, you need to consider the several charities the TATA group do while drawing a comparison between Ratan Tata vs. Bill Gates.
Net Profit of the Microsoft Group and the Net Worth of Bill Gates
You can find a lot of difference in case of the business structure of Microsoft and Bill Gates net worth.
Bill Gates is having a massive $97.9 Billion in his financial statement which now makes him the 2nd richest man in the world according to the Forbes. If you want to draw out the same picture of Ratan Tata vs. Bill Gates, accordingly you need to know the flowing facts about him.
Bill Gates is also not lagging behind in case of charities as Ratan Tata does. Bill and his wife control the Bill and Melinda Gates Foundation which is the world’s largest charitable foundation. This foundation work mainly to promote good global health. It is also working with Rotary International for the eradication of Polio.
Bill now owns just over 1% of the total shares of Microsoft right now. He has sold out or probably given away all his own shares recently. However, Bill remains in the company as the board member of Microsoft. It is the company which he co-founded in the year 1975 with Paul Allen.
He is newly into the Breakthrough Energy investment. He has launched a $1 billion. More than 20 people are present with him too.
When we come to the point, however, we need to consider certain things while reaching the conclusion about who is richer.
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The considerations to make
Ratan Tata does not control the 96 businesses owned by the TATA Group. Neither his own financial statement shows the income. Moreover having a charitable trust of his own he cannot show his money on paper. That is the main reason why Ratan Tata is not counted in the Billionaire’s list. This is a primary thing which you should remember while making an account upon Ratan Tata vs. Bill Gates.
Bill Gates even after selling a massive amount of share in the Microsoft Company, is holding over 1% share. This means he is in control to that percentage of share for the company. The main difference in this case between him and Ratan Tata is that 65% of the total businesses of the TATA group are not owned by Ratan Tata. This is the reason Ratan Tata’s net worth lags behind. This is another aspect of consideration to make while discussing Ratan Tata vs. Bill Gates.
Moreover, you should not overlook the fact that Bill Gates has been dragged into court for monetary matters before. In this case, Ratan Ta6ta is totally clean as he has not been reported of making any monetary dislocation or tax issues so far. Apart from being richer, he does not make himself count as a billionaire and simultaneously hold a clear picture of himself too. This can also be a clause which you should consider when taking into account the richness of Ratan Tata vs. Bill Gates. In terms of money transparency also holds to a vital parameter which one should never overlook.
So, you can understand the actual scenario with the help of this article why Ratan Tata is not present in the list of the richest people in the world even after being richer.
