Professional Documents
Culture Documents
Summer Internship Project Report
Summer Internship Project Report
ON
BIG BAZAAR
BY
KUSUMA.T
1710168
DEPARTMENT OF COMMERCE
Bengaluru
2018-2019
DECLARATION
I, KUSUMA.T, do hereby declare that the summer internship project has been
undertaken by me as a part of my studies in the degree of Bachelor of
Commerce. I have completed this study under the guidance of KRISHNA
PRASATH. S Assistant Professor, Department of Commerce, CHRIST
(Deemed to be University), Bengaluru and YUGANDHAR.G
I also declare that this work has been submitted for the award of any degree,
diploma, associateship or fellowship or any other title in this University or any
other University.
Date: KUSUMA.T
1710168
i
CERTIFICATE
ACKNOWLEDGEMENTS
I thank Dr. Tomy K Kallarakal, Associate Dean, Dr. Theresa Nithila Vincent,
Head of the Department, Prof Girish S, Coordinator BCom Programme and Dr
Kavitha Jayakumar Academic Coordinator BCom Programme, Department of
Commerce for their kind support.
I Thank PROF. KRISHNA PRASATH.S, for his support and guidance during
the course of my summer internship. I remember him with much gratitude for
his patience and motivation, but for which I could not have submitted this work
I thank my parents for their blessings and constant support, without which this
internship would not have seen the light of day.
KUSUMA.T
1710168
iv
TABLE OF CONTENTS
Bibliography
Annexure
Executive Summary
As customers taste and preferences are changing, the market scenario is also changing from
time to time. Today’s market scenario is very different from that of the market scenario
before 1990. There have been many factors responsible for the changing market scenario. It is
the customers changing tastes and preference, which has bought in a change in the market.
Income level of the people has changed; life styles and social class of people have completely
changed now than that of olden days. There has been a shift in the market demand in today’s
world. Technology is one of the major factors, which is responsible for this paradigm shift in
the market. Today’s generation people are no more dependent on hat market and far off
departmental stores. Today we can see a new era in market with the opening up of many
departmental stores, hypermarket, shopper’s stop, malls, branded retail outlets and specialty
stores. In today’s world shopping is not any more tiresome work rather it’s a pleasant outing
phenomenon now.
The study is based on a survey done on customers of a hypermarket named big bazaar. Big
bazaar is a new type of market, which came in to existence in India since 1994. It is a type of
market where various kinds of products are available under one roof. My study is on
determining the customer’s demand for big bazaar and the satisfaction level of customers in
big bazaar. The study will find out the current status of big bazaar and determine where it
stands in the current market.
This market field survey will help us in knowing the present customers tastes and
preferences. It will help in estimating the customer’s future needs and wants.
ORGANISATION PROFILE
Big Bazaar is one of the oldest and largest hypermarkets chain of India, housing about 250+
stores in over 120 cities and towns across the country.
Big Bazaar was founded in 2001 by Kishore, the founder and chief executive officer (CEO) of the
parent company, the future group.
A first-generation entrepreneur, Kishore biyani started his journey selling stonewash denim
fabric in Mumbai in the 1980s. His dream was if making available to everyone what only the
rich could afford. Soon, he would launch his own brands, retail networks and invest heavily
in creating the country’s leading consumption ecosystem. During this journey he also
invested and mentored many other entrepreneurs and brands. He embodies the organisation’s
credo, ‘Rewrite Rules, Retain Values’ and considers Indianness as the core value driving the
organisation.
On May 2012, Future Group announced a 50.1% stake sale of its fashion
chain Pantaloons to Aditya Birla Group in order to reduce its debt of around ₹80 billion. To
do so, Pantaloons fashion segment was demerged from Pantaloons Retail India Ltd; the latter
was then merged into another subsidiary—Future Value Retail Ltd—and rechristened Future
Retail Ltd.
Future Group is a corporate group and nearly all of its businesses are managed through its
various operating companies based on the target sectors. For e.g., retail
supermarket/hypermarket chains Big Bazaar, FBB, Food Bazaar, Food Hall, Hometown etc.
are operated by its retail division, Future Retail Limited, while its fashion and clothing
outlets Brand Factory, Central, and Planet Sports are operated via another of its subsidiaries,
Future Lifestyle Fashions Limited. With these many fashion outlets and supermarkets, the
group also promotes its fashion and sports brands like Indigo Nation, Spalding, Lombard,
Bare etc., and FMCGs like Tasty Treat, Fresh & Pure, Clean Mate, Ektaa, Premium Harvest,
Sach etc. It also has operating companies to cater specifically to internal financial matters and
consulting within its group of companies.
On November 21, 2014, Future Consumer Enterprises Limited. acquired the 98% from Actis
Capital and other promoters. With that, Nilgiris is a fully owned subsidiary of Future
Consumer Enterprises Limited (FCEL).
Big Bazaar is a household name that is used synonymously with ‘retail’ in India. We
represent the requirements of a typical Indian home. Founded in 2001 by Kishore Biyani, we
as a retail chain operate under the parent organisation – Future Group – that holds a
significant prominence in the Indian retail and fashion sectors.
Big Bazaar is one of the oldest hypermarket chains that houses around 250+ stores in the
country. We cover three essential categories in Indian retail: home, food, and fashion.
Popular retail chains – like the Food Bazaar and fbb form an integral part of Big Bazaar’s
identity. The latter (i.e. fbb) has exponentially grown into a major brand that epitomizes
fashion in India.
In spite of covering a wide gamut of consumer essentials at reasonable prices, we are best
known for our understanding of our customers’ evolving needs and comforts. In a fast-paced
world, we are perceived as a thought leader who relies on traditional Indian values of seva or
‘care for the customer’ while remaining firmly futuristic in taking business decisions that fuel
better quality and efficiency.
Big Bazaar is not just another hypermarket; it caters to every need of your family. Where Big
Bazaar scores over other stores is its value for money proposition for Indian customers. We
guarantee the best products at the best prices. With the ever-increasing array of in-house
brands, we have opened doors in the world of fashion and general merchandise, including
home furnishings, utensils, crockery, cutlery, sports goods and much more at prices that will
surprise you. And this is just the beginning.
Working with Big Bazaar gives you an opportunity to be part of a family with a unique
culture and beliefs. Drawing from the vision of modern Indian retail, we have built a
company that our people are proud of and our customers and communities’ value. The Big
Bazaar group family
includes over 35,000 employees from a large cross-section of social and economic strata. We
nurture our employees for the long-term, ensuring their passion and commitment leads to
outstanding professional growth. Big Bazaar has attained a leadership position in the retail
space by promoting an environment of collaboration and meritocracy - an environment that
makes challenges enjoyable and rewarding every day. We believe that people give their best
when they are satisfied with all aspects of their lives. With an inclusive and richly diverse
workforce, we offer a vibrant, energetic and achievement-oriented environment. Our
community of the best and brightest professionals works as a collaborative team that is
empowered to act in the best interests of customers.
BOARD OF DIRECTORS
Mr. Kishore Biyani, Managing Director:
Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited and the Group
Chief Executive Officer of Future Group.
VISION
MISSION
We share the vision and belief that our customers and stakeholders shall
be served only by creating and executing future scenarios in the
consumption space leading to economic development.
We will be the trendsetters in evolving delivery formats, creating retail
realty, making consumption affordable for all customer segments.
CORE VALUE
Big Bazaar is holding a strong position in the market and is growing very fast. It captures the
maximum Indian market and with a strong financial background and it has to go a long way
through. The low price strategy it is successfully running its business all over India and is still
growing bigger and bigger.
Big Bazaar has launched new marketing strategy which is based on Guerrilla Marketing.
Guerrilla marketing warfare strategies are a type of marketing warfare strategy designed to
wear-down the enemy by a long series of minor attacks, using principles of surprise and hit-
and-run tactics. Attack, retreat, hide, then do it again and again, until the competitor moves
on to other markets.
Future Group have come up with 3 catchy and cheeky ad campaigns which surely do catch
our eyes and surely one can’t resist appreciating the same.
Big Bazaar
Big Bazaar is a chain of shopping malls in India, owned by the Pantaloon Group and which
work on Wal-Mart type economies of scale. They have had considerable success in many
Indian cities and small towns. Big Bazaar provides quality items but at an affordable price. It
is a very innovative idea and this hypermarket has almost anything under one roof….
Apparel, Footwear, Toys, Household Appliances and more. The ambience and customer care
adds on to the shopping experience.
Food Bazaar’s core concept is to create a blend of a typical Indian Bazaar and International
supermarket atmosphere with the objective of giving the customer all the advantages of
Quality, Range and Price associated with large format stores and also the comfort to See,
Touch and Feel the products. The company has recently launched an aggressive private label
programme with its own brands of tea, salt, spices, pulses, jams, ketchups etc. With
unbeatable prices and vast variety (there are 42 varieties of rice on sale), Food Bazaar has
proved to be a hit with customers all over the country.
Products available in Big bazaar
Food Bazaar’s core concept is to create a blend of a typical Indian Bazaar and
International supermarket atmosphere with the objective of giving the customer all
the advantages of Quality, Range and Price associated with large format stores and also the comfort
to See, Touch and Feel the products.
'FOOD BAZAAR' a division of Pantaloon Retail India Ltd is a chain of large supermarkets
with a difference. It was flagged off in April'02. With store sizes ranging from 8,000 sq ft to
15,000 sq. ft. in Mumbai (two stores), Kolkata, Bangalore & Hyderabad, it is opening more
stores at Gurgaon (Delhi), New Bombay & Nagpur. It currently caters to over 1.2 million
customers every day across 4 outlets in India and is soon set to expand and double this figure
across 12 outlets all over the country by June 2009.
Food Bazaar offers the Indian consumer the best of Western and Indian values. The western
values of convenience, cleanliness and hygiene are offered through pre packed commodities
and the Indian values of "See- Touch- Feel" are offered through the “Mandi” atmosphere
created by displaying staples out in the open, all at very economical and affordable prices
without any compromise on quality. This satisfies the Indian consumer and comforts her
before making her final buying decision. At other super markets, the consumer is deprived of
this factor.
Truly the Indian consumer now agrees with Food Bazaar: "Ab Ghar Chalaana kitna
Aasaan”. This positioning platform of Food Bazaar is evident from the higher discounts and
the wholesale price-points which is below MRP.
Food Bazaar represents the company’s entry into food retail and is targeted across all classes
of population. Food Bazaar replicates a local ‘mandi’, to provide the much important ‘touch
& feel’ factor which Indian housewives are used to in the local bazaar. Food Bazaar has over
50,000 stock keeping units which cover grocery, FMCG products, milk products, juices, tea,
sugar, pulses, masalas, rice wheat etc, besides fruits and vegetables. All products are sold
below MRP and discounts range between 2% to 20%. Fruits and vegetables are sold at prices
comparable to wholesale prices.
LAYOUT INDEX
DESCRIPTION
HELP DESK – As you can see from the layout, the Help Desk is located in a place where
everyone has their first sight that is in front of the entrance. This shows that when a person
enters in to big bazaar it can get all information about the stores of big bazaar from the person
sitting in the help desk. Help Desk uses paging service as a tool for the convenience of its
employees and customers.
KIDS SECTION – The kids’ section is located just at the left corner of the entrance of
big bazaar. In the kid’s section kid’s accessories like diapers, trolleys, suckers, water bottles
are available in one part. Kid’s jackets and baba suits are available in another part. Kids
casual wear (jeans and shorts) are placed in one part of it and infant shirts & t-shirts are also
placed in another part. In this section the pillars are used for displaying information like size
chart and section description.
MEN’S SECTION – Next to it is the men’s section that is in the center. It is divided in to
five parts. At one part men formal shirts are available. In other parts men trousers, suits and
blazers, fabrics and ethnics are available respectively.
LADIES SECTION – Next to it is the ladies’ section that is in the extreme right side.
The ladies’ section is segregated in to seven parts. Ladies section starts from ladies’ ethnics,
ladies western wear, ladies’ formals (office wear), ladies accessories – lingerie’s, ladies
perfumeries, and ladies’ cosmetics respectively.
Promotional scheme – With an add on to the above products there are various other
products which are available with a promotional scheme. The various products under this
scheme includes girl t-shirts, infant winter wear etc.
Non-Promotional scheme – There are various other products available without any
promotional scheme which includes jeans, infant baba suits, infant t-shirts, kids night wear,
kids salwar suits etc.
Sports Store – At the extreme corner there is a sports store where various kinds of sport
items are available.
Food Bazaar – The food bazaar is in the ground floor of the building. Various kinds of
food items, fruits and vegetables are available there. Sitting arrangements are well made so
that people can sit and take tea, coffee or snacks or any other food item and can relax.
Cash Counter – The cash counter is located just near the exit
RETAIL IN INDIA
According to this year’s Global Retail Development Index India is positioned as the leading
destination for retail investment. This followed from the saturation in western retail markets
and we find big western retailers like Walmart and Tesco entering into Indian market. India’s
retail industry accounts for 10 percent of its GDP and 8 percent of the employment to reach
$17 billion by 2010. There are about 300 new malls, 1,500 supermarkets and 325
departmental stores being built in the cities.
The BMI India Retail Report for the third-quarter of 2010, forecasts that the total retail sales
will grow from US$ 353 billion in 2010 to US$ 543.2 billion by 2014. With the expanding
middle- and upper-class consumer base, there will also be opportunities in India's tier II and
III cities. The greater availability of personal credit and a growing vehicle population to
improve mobility also contribute to a trend towards annual retail sales growth of 11.4 per
cent. Mass grocery retail (MGR) sales in India are forecast to undergo enormous growth over
the forecast period. BMI further predicts that sales through MGR outlets will increase by 154
per cent to reach US$ 15.29 billion by 2014. This is a consequence of India's dramatic, rapid
shift from small independent retailers to large, modern outlets.
BMI forecasts consumer electronic sales at US$ 29.86 billion in 2010, with over the counter
(OTC) pharmaceutical sales at US$ 3.28 billion. The latter is predicted to be the fastest
growing retail sub-sector and BMI forecasts that sales will reach US$ 6.18 billion by 2014,
an increase of 88.5 per cent.
China and India are predicted to account for almost 91 per cent of regional retail sales in
2010 and by 2014 their share of the regional market is expected to be more than 92 per cent.
Growth in regional retail sales for 2010-2014 is estimated by BMI at 72.2 per cent, an annual
average of 14 per cent. India should experience the most rapid rate of growth in the region,
followed by China. For India, its forecast market share of 13.9 per cent in 2010 is expected to
increase to 14.3 per cent by 2014.
Moreover, for the 4th time in five years, India has been ranked as the most attractive nation
for retail investment among 30 emerging markets by the US-based global management
consulting firm, A T Kearney in its 8th annual Global Retail Development Index (GRDI)
2009. India remains among the leaders in the 2010 GRDI and presents major retail
opportunities. India's retail market is expected to be worth about US$ 410 billion, with 5 per
cent of sales through organised retail, meaning that the opportunity in India remains
immense. Retail should continue to grow rapidly—up to US$ 535 billion in 2013, with 10 per
cent coming from organised retail, reflecting a fast-growing middle class, demanding higher
quality shopping environments and stronger brands, the report added. Bharti Retail
strengthened its position in northern India by opening 59 stores, Bharti Wal-Mart is expected
to open 10 to 15 wholesale locations in the next three years, and Marks & Spencer is
considering plans to open additional outlets in the next few years.
Established retailers are tapping into the growing retail market by introducing innovative
store formats. Spencer's Retail, MORE (owned by Aditya Birla Group) and Shoppers Stop
(owned by K Raheja Group) already plan to expand.
According to a McKinsey & Company report titled 'The Great Indian Bazaar: Organized
Retail Comes of Age in India', organized retail in India is expected to increase from 5 per
cent of the total market in 2008 to 14 - 18 per cent of the total retail market and reach US$
450 billion by 2015.
Furthermore, according to a report titled 'India Organized Retail Market 2010', published by
Knight Frank India in May 2010 during 2010-12, around 55 million square feet (sq ft) of
retail space will be ready in Mumbai, national capital region (NCR), Bangalore, Kolkata,
Chennai, Hyderabad and Pune. Besides, between 2010 and 2012, the organized retail real
estate stock will grow from the existing 41 million sq ft to 95 million sq ft.
India continues to be among the most attractive countries for global retailers. Foreign direct
investment (FDI) inflows between April 2000 and April 2010, in single-brand retail trading,
stood at US$ 194.69 million, according to the Department of Industrial Policy and Promotion
(DIPP).
PRODUCT MIX
PRICE MIX
Value pricing
Promotional pricing
Differentiated pricing
Bundling
PLACE MIX
PROMOTION MIX
Exchange Offer
Weekend Discount
Point of Purchase Promotion
Aap ke liye
ORGANISATION STRUCTURE
SWOT ANALYSIS
A SWOT analysis is done to know the strengths, weaknesses, opportunities and threats of any
company. This analysis will explain about the strengths, weaknesses, opportunities and
threats of big bazaar.
14%
29%
Weekly
Monthly
23% Quarterly
On a unplanned basis
34%
Interpretation: From this I interpret that in big bazaar 34% customers visit monthly, 29%
customer visit weekly 23% customers visit quarterly and 14% customers visit on planned
basis, it means mostly customers visit weekly and monthly basis for purchase their
requirements.
Gift Item
Electronic Item
Food Item
Grocery
Clothes
Analysis: This chart clearly indicates that the demand for grocery that is 70% is highest by
the customers followed by clothes rated 60%. The next highest demand is for food items that
is 50%. 25% demand is for leather items in big bazaar. Electronic items holds 15% of
demand and gift items and other items has a demand of only 10% by the customers of big
bazaar.
Interpretation: From this analysis I interpret that customers demand are high for grocery
and clothes followed by food items in big bazaar. Electronic items have a little demand by the
customers. Gift items and other items are not much in demand by the customers. I can
interpret that clothes, grocery and food items are the major products which hold maximum
number of customers. So big bazaar should maintain its low pricing and product quality to
keep hold of the customers and also it should keep more qualitative products of gift and
leather items so that people would go for more purchase of these items from it. Big bazaar
has many local branded products of grocery and cloths and it is successfully selling it. It
should also include branded products so that more sales can take place.
Cloths 40%
Grocery 40%
Gift Items 33%
Electronic Items 25%
Leather Items 2%
Any Other Item 12%
Interpretation: From this I interpret that some of the products brand are predecided in
advance and for some of the products customers don’t at all predecide any brand. As per
electronic goods are concerned customers predecide the brand as many branded electronic
products are available in big bazaar. The customers predecides brands on cloths and grocery
most as big bazaar produces much of local brands and also have some well-known branded
products of clothes with it like flying machine jeans.