mRetailing includes all the activities involved

in selling goods and services to final

consumers for personal and non business use.
mThe word is derived from the French word
retailer which means to cut off a piece or to
break bulk.
mRetail may be redefined as the first
point of customer contact.
 
 
m ndia is currently the 5th biggest
retail market in the world. With
eleven retail shops for every 1000
persons, ndia has the highest shop
density in the world.
m With a three year compounded
annual growth of 46.64 percent,
retail is the fastest growing sector in
ndia.
 
 
m t is estimated that by 2015, organized
retailing in ndia will cross the US$
21.5-billion mark from the current size
of US$7.5 billion.
m Also, it is estimated that 50 million
sq.ft. of area is going to be developed
for retail in the next 5 years. With
compounded annual growth of 46.64
percent, retail is the fastest growing
sector in ndia.
 



 
 

x
    
  x  

  x
  

 
    

  

 ^
m@   
m    TATA GROUP)
m ^
  
m   
m  
m    
m  !
  

m —afe —offee Day m Murjani Group

m Barista m Escada Group

m Pantaloon Group m Arvind Brands

m Provogue m Life Style Group

m Trent Westside) m McDonalds

m Shoppers Stop m Titan

 



 

m aats
m Melas
m Mandis
m PDS Public Distribution System)
m —SD —anteen Store Department)
m KV— Khadi and Village ndustries
—ommission)

 


m —onvenience Stores
m Supermarkets
m ypermarket
m Specialty Stores
m Departmental Stores
m Factory Outlets



 

m Population
m —hanging ncome profiles
m Diminishing difference between
Rural and Urban ndia
m Rise of Self Employed
m The Rise of the woman
   

m Retailing ± Worlds largest private
industry
m Sales exceeding US$7.2 trillion
m 47 of the global Fortune companies and
25 of Asia¶s Top 200 companies happen
to be retailers
m Top 30 retailers account for 19% of the
global retail sales
   

m nternationally Retail is a mature sector and
organised players account for more than
three-fourths of the total retail trade. Large
retailers such as Wal-mart of US, —arrefour
of France, Tesco of UK and others now
dominate the global retail market.
m Global retailers have adopted multi-
format and multi-product strategies in
order to customize their product offerings
for distinct target segment.
^ 

^
Wal-Mart ± USA
—arrefour ± France
Metro ± Germany
Tesco ± UK
Kroger ± USA
ome Depot ± USA
Aeon ± Japan
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^ 
m Generate huge employment
m ncreased investment in technology
m The consumer gains from the wide
variety of choices and a more diversified
basket of prices available under one roof
m The indirect benefits like better roads,
online marketing, expansion of telecom
sector etc. Will give a µbig push¶ to
other sectors like agriculture, small and
medium size enterprises.

 ^
  
^

m Foreign Players would displace the

unorganized retailers because of their
superior financial strengths.
m The entry of large global retailers such as
Wal-Mart would kill local shops and
millions of jobs.
m nduce unfair trade practices like
predatory pricing, in the absence of
proper regulatory guidelines.
  
To become a truly flourishing industry, retailing
needs to cross the following hurdles:
m Automatic approval is not allowed for foreign
investment in retail.
m Absence of developed supply chain and integrated
T management.
m Lack of trained work force.
m Low skill level for retailing management.
m Lack of Retailing —ourses and study options
 

m Organized retailing is dominated by large GROUPS like
TATA's, T—, RPG group, Piramals and Rahejas apart from
the various MN—'s. This trend is expected to continue in
future.
m Textile and Garment companies like Raymond, Madura
Garments and Arvind Denims have achieved forward
integration by opening their own retail outlets for their
branded garments. This gives them a huge advantage by
reducing the role of intermediaries, increase profit margin
and enables them to be close to the end user.
m nflation and the global meltdown have had an
effect on the growth of retailing in ndia. Experts
believe the retail industry should focus on
distinction, branding, after sales service and
innovation to tide over the crisis.

m The year 2009 is seen as a year of consolidation for

ndian retail sector. By best practices and
restructuring business models, the retail industry in
ndia is expected to adjust to the changing market
conditions and ensure new opportunities for growth.
  ^