Presented By :-
Sonal Saurav
PGDM(2008-10)
Roll No - 68
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OBJECTIVES
Knowing each and every cost that incurs in operating the
retail business.
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O rg a n iza tio n o ve rvie w
Vishal Retail Ltd is one of India’s leading value retailers promoted by Mr. Ram Chandra
Agarwal.
It focuses on Tier II and Tier III cities, catering to the middle and lower middle class consumers.
It has a strong presence in manufacturing and retailing of apparel, non-apparel and a large
variety of branded FMCG products.
It currently operates 183 showrooms in 110 cities / 24 states. Its outlets cater to
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Industry Overview
The Indian organized retail industry is valued at about $300 billion
The overall retail market in India is likely to grow at a CAGR of 5.5% (at constant
prices) to 1,677,000 Cr in 2015.
The organized retail market is expected to grow much faster at a CAGR of 21.8% (at
constant prices) to Rs. 246,000 Cr.
Major Retailers:
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Methodology
Firstly, for the first part of my Project, I have studied and obtained
all the costs that are associated with the retail business as Rent,
Administration, and Employee, Furniture, Fixture, Working capital
and Others Cost.
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ESTIMATION OF CASH FLOWS FROM JAN 2009 – DEC 2013 :-
Table – 3
Rs(in lakh)
Particulars/years 0 1 2 3 4 5
Initial investment
(2)Expences
Others Expences 15 18 21 24 27
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Pay Back Period :-
Note – 350 lakh is the Working Capital that will be introduced in the beginning of 3rd
year.
Net Cash Flows for the next five
years=(499.56+556.66+654.78+1703.60+1907.82) lakh.
Sales
Area
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Ø
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Analysis of Brand Shifting for Toothpaste
CURRENT
DABUR RED 0 1 0 0 0 0
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Conclusions and Recommendations
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Analysis and Solution for Waiting Line Problem
ARRIVAL RATE DISTRIBUTION OF PEOPLE IN STORE PER HOUR ON DAY BASIS.
DAY AVERAGE
SUNDAY 163
MONDAY 75
TUESDAY 72
WEDNESDAY 64
THURSDAY 73
FRIDAY 71
SATURDAY 103
TOTAL 621
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Monday to Friday :-
µ = 18 person per hour.
1/µ = 3 min 20 sec per person.
λ = 71 customers per hour.
1/ λ = 51 sec.
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Service Time Distribution
Question :-What percentage of the services will take less than one
minute to process?
Answer : -
Since the units are expressed in hours,
P (T < 1 minute) = P (T < 1/60 hour).
Using the exponential distribution, P (T < t ) = 1 - e-µt .
Hence, P (T < 1/60) = 1 - e-72(1/60)
= 1 - .3021 = .6979 = 69.75%
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Arrival Rate Distribution
Question :-What is the probability that exactly 4 customers approached within a period
of 2 min?
Answer:-
INTERPRETATION:- This thing we can also get with the help of The Table that is given into
Levin & Rubin book. But still there is problem into that table, It will work until the λ crosses to
20. We are measuring what is the probability of reaching the customers to the cash billing
counter within the given time of frame. If the probability is high and we can go for extra counter.
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Overall Learning
Understanding of organized retail industry as a
whole.
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