29-06-2012, 03:35 PM
To study the growth of Retail sector in India
To study the growth of Retail sector in India.docx (Size: 556.77 KB / Downloads: 57)
Introduction
The Indian Retail Industry is the largest among all the industries, accounting for over 10 per cent of the country’s GDP and around 8 per cent of the employment. The Retail Industry in India has come forth as one of the most dynamic and fast paced industries with several players entering the market.
Retailing in India is gradually inching its way toward becoming the next boom industry. The whole concept of shopping has altered in terms of format and consumer buying behavior, ushering in a revolution in shopping in India. Modern retail has entered India as seen in sprawling shopping centers, multi-storied malls and huge complexes offer shopping, entertainment and food all under one roof. The Indian retailing sector is at an inflexion point where the growth of organized retailing and growth in the consumption by the Indian population is going to take a higher growth trajectory. The Indian population is witnessing a significant change in its demographics.
Retail and real estate are the two booming sectors of India in the present times. And if industry experts are to be believed, the prospects of both the sectors are mutually dependent on each other. Retail, one of India’s largest industries, has presently emerged as one of the most dynamic and fast paced industries of our times with several players entering the market. Accounting for over 10 per cent of the country’s GDP and around eight per cent of the employment retailing in India is gradually inching its way toward becoming the next boom industry.
As the contemporary retail sector in India is reflected in sprawling shopping centers, multiplex- malls and huge complexes offer shopping, entertainment and food all under one roof, the concept of shopping has altered in terms of format and consumer buying behavior, ushering in a revolution in shopping in India. This has also contributed to large-scale investments in the real estate sector with major national and global players investing in developing the infrastructure and construction of the retailing business. The trends that are driving the growth of the retail sector in India are
• Low share of organized retailing
• Falling real estate prices
• Increase in disposable income and customer aspiration
• Increase in expenditure for luxury items (CHART)
Another credible factor in the prospects of the retail sector in India is the increase in the young working population. In India, hefty pay packets, nuclear families in urban areas, along with increasing working-women population and emerging opportunities in the services sector. These key factors have been the growth drivers of the organized retail sector in India which now boast of retailing almost all the preferences of life - Apparel & Accessories, Appliances, Electronics, Cosmetics and Toiletries, Home & Office Products, Travel and Leisure and many more. With this the retail sector in India is witnessing rejuvenation as traditional markets make way for new formats such as departmental stores, hypermarkets, supermarkets and specialty stores.
INDUSTRY EVOLUTION
• Traditionally retailing in India can be traced to
• The emergence of the neighborhood ‘Kirana’ stores catering to the convenience of the consumers
• Era of government support for rural retail: Indigenous franchise model of store chains run by Khadi & Village Industries Commission
• 1980s experienced slow change as India began to open up economy.
• Textiles sector with companies like Bombay Dyeing, Raymond's, S Kumar's and Grasim first saw the emergence of retail chains
• Later Titan successfully created an organized retailing concept and established a series of showrooms for its premium watches
• The latter half of the 1990s saw a fresh wave of entrants with a shift from Manufactures to Pure Retailers.
• For e.g. Food World, Subhiksha and Nilgiris in food and FMCG; Planet M and Music World in music; Crossword and Fountainhead in books.
• Post 1995 onwards saw an emergence of shopping centers
• Mainly in urban areas, with facilities like car parking
• Targeted to provide a complete destination experience for all segments of society
• Emergence of hyper and super markets trying to provide customer with 3 V’s - Value, Variety and Volume
• Expanding target consumer segment: The Sachet revolution - example of reaching to the bottom of the pyramid.
• At year end of 2000 the size of the Indian organized retail industry is estimated at Rs. 13,000 crore.
OBJECTIVE
To perform a Management Thesis there must be certain objectives in front of the student, which will show a specific way to work on Management Thesis. In reality objectives is nothing but a part of future planning and effective planning is half work done, when we see objectives for working on Management Thesis we can effectively utilize our strength, time and tem management.
For the betterment of Management Thesis I also set some objectives in front of me, this proved very helpful in Management Thesis. I have performed work according these objectives. The objectives, which we have selected, are as bellow.
1. To identify and understand the significance of retailing in the current business environment
2. To develop guidelines to build a retailing business
3. To identify the competition in the market and develop strategies for retailing business accordingly
4. To identify significant characteristics of the end consumer, understand its significance for the retailing business and develop strategies accordingly
5. To identify the paradigm shifts in retailing business with increasing scope of technology / e-business and develop strategies accordingly
6. To know the growth of retail industry with respect to big bazaar.
7. To know the factors affecting for retail industry.
8. To find the factors which are behind the change of Indian Retailing Industry?
9. To understand the benefits to customers, manufactures, wholesalers, and the economy from Retail sector.
10. To know about Big Bazaar.
11. To know about its competitors.
12. To know about its customers
13. To know about its Promoters & Organizational structure.
14. To know about its strengths, weaknesses, opportunities & threats.
15. To earn practical knowledge.
16. To analyze problems which I am facing while working on field.
17. To know about marketing strategies.
18. Last but not the least to know about retail business
Research Methodology
Research Plan obtain pioneer place while working on any project. So we go through the research plan.
The research plan is as follows:-
While working on our Management Thesis, the participation of manager, sales manager, marketing manager, auditor, employees, etc. & our professors enlighten the use of theoretical concepts in actual business world. Their views & suggestions proved very useful in the successful completion of our Management Thesis.
We developed the research plan into various components:-
A] Data sources
B] Research instruments
C] Sampling methods