Raju is a do-gooder who helps his co-workers in a Visakhapatnam shipyard, but when his mother suffers a paralytic stroke, he moves back to Hyderabad and looks for a job. Uma Devi, daughter of industrialist Bapineedu takes over the business from her father and helps it to reach new heights, which also sees her head-strong ways reach new heights. In this scenario, she not only rejects Ranganayakulu's son's marriage proposal, but insults them when the father-son duo show up at her house. To get their revenge, they send goons to kill Uma Devi. As fate would have it, Bapineedu shows up in the car instead of Uma Devi and is rescued by Raju, who asks him for a job, which Bapineedu readily agrees to. Raju wins over the employees in no time and takes on the high-handedness of Uma Devi and her management. This leads to constant conflict and Uma Devi decides to marry Raju, so that he will not interfere anymore. To this end, she emotionally blackmails Raju's mother and eventually makes Raju agree to marry her. But Raju continues to trouble her even after marriage. Uma Devi's secretary, Bhavani, is also a friend of Raju, which leads to jealousy. In the meantime, Ranganayakulu, with the help of Uma Devi's manager Sarangapani schemes against Uma Devi to sabotage her factory. The rest of film deals with how Raju thwarts the schemes of Ranganayakulu and teaches Uma Devi to be humble.
The music and the background score of the movie were composed by M. M. Keeravani, the lyrics for the songs are by Bhuvanachandra and M. M. Keeravani. The song "Bangaru Kodi Petta" was later remixed by M. M. Keeravani in the 2009 Telugu blockbuster Magadheera.
Box office
The movie was received very well at the box office collecting a share of over 10.8 crore and becoming the first South Indian movie to collect a share of 10 crore.
Gharana Mogudu collected a distributors' share of 1.35 crore in its opening week.
The film had a 100-day run in 56 centres and a 175-day run in three centres including a 183-day run in Sandhya 70mm, Hyderabad.
Gharana Mogudu collected a share of Rs.6 crore in 50 days and became the first Telugu movie to collect a distributors' share of Rs.12 crore.
It was dubbed into Malayalam as Hey Hero. It was successful in Kerala and it had run 175 days in the same theatre in Trivandrum.Its dubbing version in Kannada also had run of 50 days in some towns in Karnataka.In, too.