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Research-Project-On-Vishal-Mega-Mart-1-638 (20 Files Merged)
Research-Project-On-Vishal-Mega-Mart-1-638 (20 Files Merged)
Research-Project-On-Vishal-Mega-Mart-1-638 (20 Files Merged)
VISHAL
MEGA MART
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Department of Mana gement Studies
DEENBANDHU CHHOTU RAM UNIVERSITY OF SCIENCE
& TECHNOLOGY,M URTHAL (SONEPAT) - 131039,INDIA
(ESTABLISHED BY STATE LEGISLATIVE ACT NO.29 OF 2006 &
APPROVED UNDER SECTION 1203) OFTHE U.G.C.ACT.).
CONTENTS
)> Introduction
)> Findings
)> Complaints
)> Recommendations
)> Questionnaire
)> References
EXECUTIVE SUMMARY
T11e J roject ic; about Custo1ner Satisfaction &. Consunier Behaviow· to,vardc;
\li<ihal Mega Ma 1t , Sonepat-13 1 001, Haryana . Retail industry is booming all
around tl>e globe at a ve1y fast 1mce. \li<iha l Retail ic; a kI10,vt1and strong
co1rq_letitor in the retail indu.c;try since 23 )"ears. Wlien've talk about I ndian
1narket, tlie de1naixls of eve1ything'vhich )'OU can find in eve1y retail store are
increasing every )''ear. l ndiatl.'i are fatnou.c; for tl1eir traditio1l.'i and festivalc;
and exchanging gifts ,vitJ1friends atxl relatives is a pat1of it.
Tix Retail Industry in J ndii') i.. today an1ongst the fastest gi·o,ving indu.c;tries ,vitf1
Global retail giants such as Wal-Mart, Tesco, Gennany's Metro AG and many
otl>ers are ready to enter tile retail 111arkel'i. Tile rising de111and<.i of branded J
roduct<i atxl increase in
purchasing l'°'ver have lured these con1paniec; to enter the 1narket. rvtode111
retail develo1,1nent in India ic; focu.%'<1 on tl1e citiec; like Munibai, Pw1e,
Ah1nedabad, Delhi and tl1e Na tional Capital Region, Che1ma i, Banglore,
Hyderabad, Kolkata. 1he leading
Indian retailers are Bata India Ltd, Big Bazaar, Crossword, Vi>hal Mega Matt.,
Food Baza at-, Globus Stores Pvt. Ltd., Libe1ty shoes Ltd., Music World
Enterta inment Ltd., Pat1ta loon Reta il India Ltd.,Shoppers Stop,Subhiksha,Titan
lndustr ie.s etc.
•• Malls like Ansal Plaza (New Delhi), Nucle u.s (Pw1e),Centre Sta ge (Noida) etc
•:• Discount Stores like Bratxl Facto1y, Loot, M&B Factory, Subhiksha ,
•:• Con,·enience Stores like Spencer's Daily, Tru rv1at1, Choupal, More.
PERCENTAGE OF ORGANIZED
RETAIL:-
• USA - 85%
• Tai\van • 81%
• Malaysia • 55%
• Thailand •40%
• Brazil·36%
• J ndonesia • 3001@
• Poland·2001.
• China ·2001.
lhe existing players like Big Bazaar, Shoppers' Stop, Piramyd, and Visll<ll Mega
IVJait are eXJlanding to sn1aller tO\V tl.'i and cities. rvtany otlier buc.; ness hou.
are J'>latu1ing to enter the retail sector either on their O\vtl or tlu·ough
pattnershil)S. Ne'v entrants like Bharti pvt ltd and Wal Mart are going to enter tile
1na rket soon. Even rural areas'viii provide a huge.oppo1tw1ity to be ex1,lored.
VRPL wa> incoqX>rated on July 23, 200 I wxler the Companie.> Act, 1956 a>
Vishal Retail Private Litnited. VRPL'vas conve11ed to a l ublic li1nited co1npany
on February 20, 2006. At tl1e ti1ne of i1x:o11,oration, the registered office of \TRPL
\V3.'i situated at 4,
R. N. Mukherjee Road, Kolkata 700 001. Subsequently VRPL's registered office
wa.> shifted to 54/4C, Sb·aixl Road, Kolkata 700 006 on August I , 2001 ai1d on
Feb111a1y 14 2004, VRPL's registered office wa.> shifted to Mouza Kuch Puku r,
P.S. Bhangore, 24
Pai·agna> (South), We.>t Bengal. On December 29, 2005, VRPL '-> registered
office wa> shifted to RZ-A-95 & %, Road No. 4, Street No. 9,
Ma11ipalpw·Extei»ion, New Delhi
I J O 037,'vhich iii the present registered office of the Co1npany. The fresh
certif1eate of inco11,oration co1t.<iequent on chan ge of 1l31ne'vas granted to
ow·Co1npany on Feb1ua1y 20, 2006 by the Regi>trai·of Compai1ie\ West Bengal.
With a business J'urcha...e agree1nent dated Novenlber 23, 200 I executed bet\veen
\'RPL and Mr. Ra in Chatxlra Aga1va l (ca11yi11g on prop1ietorshiJ'bu.<ii tless in
tile natne of rvVs T11e \fi<ihal Gannento;) at1d Mrs. Utna ..\ga1val (ca11ying on pr
OJ)rietorshiJ' bu.<iiness in tl1e tl31ne of Mis \Tisll3l Ga11nents), VRPL acquired
the bu.<iiness of "rvVs T11e \Tishal Gar1nento;'' at1d "rvt/s \Ti<ill3l Gannent<i'', atxl
tile said bu.<iines.<.i.e 'i'vere tra1t.<ife 1Ted to
\TRPL aI.i a going conce111,vitl1effect fro1n Dece1nber I S,2001.
With a bu.<iiness purcha...e agreen1ent executed bet,veen \TRPL and Mis \fisJ1al
Fa.<ihio1t.'i
n1ade effortc; for tl1e develop1nent of the value retailing industty in I ndia and
ic;'veil
kno\vtl for hie; bu.c;iness acwnen.
!\·Ir. Su ren dra Kumar Agan\'al,46 yea rs, is an execut ive Director of VRPL.
He holdc; a ba chelor's degree in co1tunerce. Mr. Agai val has n1ore than 17
y·ears of
eX. Jlerience in the retail indusby. He ha-. been as.'.iOciated'vith store.
develop1nent and nianagen1ent at variou.-. locatio1i.-. of \TRPL.
Mr. Ram Chandra Agga1wal is tl>e husband of Mrs. Uma Agmwal and brotl>er of
Mr. Surendra Ku1nar ..\gal"\val. None of ow·other Directors are related to each
otl1er.
T11e cotnpany ha.c; dw·ing the )'·ear 2008, established itc; frve tle\V co1npaniec; by
t11e 1l3.n1e of VRL Foods Ltd., VRL Movers Ltd., VRL Consumer Goods
Ltd.,VRL Fashions Ltd.
&. VRL lnfrastructw·e Ltd.,1101ie of the co111panies l13ve co1n1ne1lCed busirM?s.s
OJ)l?ratio1l.c; dw·ing tl>e yem-.
VRPL's BUSINESS:-
\TRPL follo'v tlie concept of value retail in I ndia. Jn other'vordc;, \'RPL's business
approach ic.; to sell quality goodc; at reasonabJe prices by either n1anufacturing
the1nc;el\.·e'i
or directly J'>rocuring fro1n 1nanufacturers (J..,1i1narily fro1n s1nall aixl
1nediu1n size vendors and 1nanufacturers). \TRPL endeavor to facilitate one-stOJ)-
Shop convenience for tl1eir CU'.iton1ers and to cater to the need<i of the entire
fa111ily. VRPL believe thisconcept
hashel1)1?d the1n gro'v to tl1eir cu1Tent size'vitl1in a sho11tin1e fraine of 8 years.
ln order to reduce costs and take advanta ge of eoono1nies of scale VRPL have
e1nbarked on ba ck\vai·d int egration of tlleir products. \T RPL' s apJlarel
1nai1ufacturing J'>lant is located at Gw·gaon, Haryai1a. For e1t.'iur ing effrciency in
su1,ply chain, \TRPL ha ve set U J' seven regiona l distnbution centers located
ai·ound Kolkata (West Bengal). Tl-.ane (Mahai·ashtra), Jaipw· (Rajasthai1),
Ghaziabad (Uttar Pradesh ), Ludhiana (Pwtjab),
Gw·gaon (H aiya na) ai1d Delhi. Further, VRPL have focu.sed on developing a cost aixl
titne efficient di<. itnbution aixl logistics net\vork, \Vhich currently co1np1ises
seven distnbution centersa1xl a fleet of trucksfor trai1spo11ation.
VRPL achieved total sales of Rs. 1005.3 1 er for fiscal 2008,as opposed to a tumover
of Rs.602.65 er for fL'iCal 2007 atxl Rs. 288.46 million for fiscal 2006. During the
saine period VRPL's profit after tax was Rs. 40.64 er, Rs.25.07 er aixl Rs.
12.39 er,
respectively.
REVlEW OF LITERATURE
Bircan Asuk
Abstract:- Tu rkey ha.c; attracted foreign retailers for n1any )'·ears because of itc;
high
po1,ulation, gro,ving econo1ny, gi·o,ving 1narket JX>t ential, )'·oung JX>J)Ulation
and al'i-0, itc; high labow·force. ..\lthough conditions are attracti\:e, foreigi1retailers
face so1ne proble1nc;
related to different den1ographic charact e1istics, different values, attitudes aixl
different cultures ofco1i.c;u1ners in Tu rkey and al'i-0, in tile other cow1tries. One of
tile 1nost i1n1X>11ant factors tl-.a t affectc; co1i.c;u1ners' attitude'i to,va rdc; foreign
retailers' J roducts aixl tlleir
'villi 11giless to purcha.c;e these brandc; is co1i.c;u1ner etl1nocentric;1n (According
to ethnocentric;1n J)l!OJ'le evaluate. tlleir race 1nore supe1ior tl-.an tl1e otller races).
Tile ai1n of this rec;earch ic; generally to exa1ni1le Tu rkish co1i.c;u1ners'
atttitude'i to,vai·ds foreign
retailers' J roducts. I n thic; respect, co1i.c;u1ner etl1nocentric;1n is ex1,lored ainong
Tw·kish con.c;u1ners. Besides, it is ex1,lored ho'v thic; co1i.c;u1ner ethnocentris1n
affect product
judgement of foreign products and willingnessto buy tl1ese products.The effect of age
and education on attitude'i is also i11vestigated. Data'vas collected tlu·ough a
questionnaire. A1xl this questio1u-.aire'vas a1J'lied to 50 1)1!ople in October 2009
CONS! I ME R ATI IT! IDES Till YARDSTH E AME RICAN RETA ii. S YS TEM
Charles A. Lngene
AAbstract: The sl10,ved tliat six of tl1e inde1'>e1xlent vat·iahle'i co1t.'iidered, natnely,
s11rd.v. sl101J ing
attitude of res1X>n dent, store loyalty (SL), J'>ercei\<·ed store prices, store
di.'ita1x;e, shopping frequency, and brand loyalty (in order of impo1tance of
impact) significa ntly influe1x;ed cotl.'iwners' attitude to,vard'i retail store in out-
of-stock.
Hotniar Si1ingoringo
Abstract: The given atticle sl10,vs tliat individual dete11ninat1t such as sl10pping
inte1l.'iion, attitude to,vardc; retail outlet, aixl sl10pping liabit plays i1npo11ai1t
role on co1l.'iUtner sl10pping decic;ion. .Attitude to,vardc; retail outlet and sl101J
ing habit influer e sllOJ'J ing intension. This itnplies, retailers sl10uld concentrate on
strategies in building consu 1ners' positive attitude to,vat·ds retail, so that
co1l.'iUtners vic;it tlleir retail in order to 1na ke purcliases regulat·ly. Ho,vever it
fowxl tliat it ic; 110 different of tl1ic; i1xlividual dete11ninai1t ainong retail fo11nat.
T11is i1nply, consunier vic;it all fonnat in 1naking convenience goods J urcliase.
Krishan Kun1ar
Abstract:win l txlia for a long ti1ne a lat·ge chw1k of retail outlel'i \Ve re groce1y
sl10p. This Jlatte111 ha d been clianging in recent y·ears, in urban a1xl nn·al 1na
rkel'i. Of late, l1xlia's largely rura l JX>J')Ulation ha.c; also caught tl1e ey·e of
retailers looking for ne\v areas of
gi·o,vth. /\ sle'v of supe11nat·ket chai1l.'i, including tl10se of the Tata aixl ITC, are
set to stor1n tl1e rura l areas of tile cow1tty asco11X> rate realize tl1e huge JX>t
ential of the w1tapped market ITC launched the counb-y's first rural mall 'Chaupal
Sagar', offeling a diverse l'"xluct range fro1n FtCG to electronic ap1.,liances to
auton1obiles, atte1npting to J'rovide far1ners a one--stOJ'destination for all of tlleir
tleed'i. Co111pat1ies such ac.; Godrej and DCM Sluiratn Consolidated are launching
'onewstOJ') sl10ps' for fa11ners at1d tlleir co1nnmnitie'i.
Godrej ..\grovet, for ill.'itance, ic; plai1ning to set U J) 1,000 ..\adliar stores across
1ural India by 20 10. DCM Sluiram plans to set up 35 rur al/semi-w·ban utility marls
over 2006..07. Positioned as a one-stop sl10p, tl1e Hariyali Kisaat1Bazaa r Chain'viii
cater to a vatiety of fat·1ners' 1ieedc; by J roviding access to retail bai1king, LPG
outletc; ai1d even a 1notorcy·cle sl10,vroo1n
tarketers are trying to grab tl1is w1ta1J'ed 1nat·ket but still tile reach of tlno;.e
play·ers ic; 1nere tlley sl1ould 1nore focu.o;.ed aixl rural orient ed. Tllere are so1ne
JX> ints'vhich tlley should undertaken
• Tile retailers sl10uld ny for up selli11g atxl cross selling ratl1er to focu.c; on tile
bulk
selling
• The promotion strat egy should be local and easy to grab able for tl>e target
audience
• The quarries and questions should beaddressed by retailer
• Storec; sl1ould enhan ce tl1eir JX>itfolio so tl-.at 1nore and 1nore custo1ners
can find their needc;.
rvtost J reviou.c; acade1nic research studiec; hav e treated such entertaintnent centers
ac; ju.c;t 01le additio1l3l cll3racteric;tic of a sl101,ping center 'vhich could
be included in retail gravitational 1nodels to J redict co1i.c;u1ner J'l3tro113ge of
sl10pping centers or tl1e 1na rket J)()t ential of a particular location. Such
gravitation 1nodels !lave traditio113lly included factors such ac; dic;taix:e ai1d travel
titne, size of a sllOJ'J ing area, cll3racteric;tics of tlie sl10pping center, co1i.c;u1ner
cll3racte1istics, and tile cost of sl10p1,ing to conswners (Craig, Ghosh, &
Mclaffe1ty, 1 984). In tenn.s of shopping center pab·onage, Bellenger et al. ( 1 977)
fowld tll3t so1ne consu1ners placed tile greatest value on convenie 1x:e aixl
eco1101nic attnbutec; i1x:luding convenie 1x:e to l101ne, accessibility, ai1d tile
prec;ence of se1vices such as banksa1xl restaw·antc;. Others, 110,veve r
en11-'lnc;ized recreational att:nbutec; itx:luding at1nospllere, fac;hio1l3bility, variety
of stores. aixl 1nercll31xlic;.e. rvtore recent studiec; have sup1)()11ed tllec;e results on
tile i1n1)()11ai1ce of recreatio1l3l att:nbutec; itx:luding
at1mspherics (Donovan & Rossiter, 1982); pleasw·able shopping experiences
(Dawson, Bloch, & Ridway, 1 990); and the social aspects of mall shopping
(Feinberg, Sheffler, Meoli, & Rwnmel, 1989; Jarboe& McDaniel, 1987).
T11e J'resent study seeks to provide thi'i sup1X>11 by investigating tile effect'i of
tile entertain1nent centers on tile. sl101,ping behavior of co1t.'iwners. ln
Jlatticulai·, tl1e charact eris:tic<.: and shopping beha vior of consutner s'vho visit tile
ente11ain1nent centers: is: investigated ai1d co1npared to tl1e charact e1istics and
sl1opping behavior of consutners'vl10 do 110t. Factors investigated irtelude tile
distance traveled to reach tile 1nall, de1nographic chai·acteri'itics a1lCI group
con1position, tl1e ainount of ti1ne ailCI 1noney spent at tile 1na ll stores,tile
depaittnent stores,a1lCI tile food cow1.
RESEARCH
METHODOLOGY
Research Methodology
Res.earch nietl10dology it11e'vay to syste1mtically sol\"e tile research proble1n Is
1nay be wxler stood as a science of studying to 110,v res.earch ido1le scientifically.
In it \Ve study tile variou. steps tllat are ge1leralty adopt ed by a researcller in
studying his research J'>robJe1n along'vith tl1e.logic behind tlle1n. ln research
1netl10dology \Ve not only talk of tile research 1netll0ds but also consider the logic
behi 1xl tile 1netl10d \Ve u....e in tile content of ow·res.earch study and
exJ> lain'vhy've are u. ing a 1,ai1icular 1nethod aixl'"t1y \Ve are not
u. ing otllersso tl1at re<i.earch results are capable of being evaluated eitller by tile
researcller hi1n elf or by otl1e1-s. Seco1xlaiy data are those'vhich llave been collected
by son1eone else ai1d'vhich l13ve already been passed through tile statistical process.
Tllere are several'vays by which secondary data can beclassified
Survey i\·lethod
Tile swvey is a non ex1,e1i1nental, des.cri1,tive re<i.ea rch 1nethod. Sw·veys cai1 be
u.c;eful
\Vllen a re<i.ea rcher'vants to collect data on t he1101ne113 tllat caiu1ot be directly
ob.c;erved (such as 01,inion. on library se1vice ). Sw·,,.eys are u. ed extensively
in librai·y and
info11nation science to as.<. iess attitudes aixl chai·acteri tics of a'vide rai1ge of
subjects,fro1n tile quality of u.c;er.syste1n interfaces to library u.c;er reading llabit .
In a survey, researcllers
s.ainple a po1,ulation. Basila and Harter (1980) state that "a po1,ulation is ai1y set of
t'ersons or object tllat JX>S.<. iesses at Jea t 01le co1n1non cllaracteri tic."Exa 1npJe
of JX>pulation. that might be studied are I ) all 1999 gradua te.s of GSLJS at the
University of Texa>, or 2) all tile users of UT Ge1leral Libraries. Since JX> pulations
can be quite lai·ge, researcllers directly question only a s.ainple (i.e. a s1nall
propo1tion) of the JX>pulation
Types of Surveys
Surveys can be divided into t\vo broad categories:the question1laire and the int e1vie,v.
Questio1uiaire'i are usually paper and Jlencil i1l.'itru1nents that tl--.e respondent
con1pletes. lnte1vie,vs arecon1pleted by tl1e inte1vie,ver bac;ed on tile resJX>ndent
says. So1netitne'i, it1s
hard to tell the difference benveen a questionna ire aixl an inte1vie,v. For instance,
so1ne J)l?OJ le tl1ink that questionnaires al\vays ask sho11closed..ended
questioll.'i'vhile inte1vif'.vs af,vays ac;k brood 01.,en-ended one'i. But y·ou'viii see
questio1ul3ires'vit11 open..ended questiotl.'i (altl10ugh tl1ey do tend to be sho11er
tl1an in inte1vif'.vs) and tl--.e re'viii often be a
series of closed..ended questiotl.'i asked in an inte1vie,v. Survey re rch has chan ged
dra1natically in the last ten )"ears. \Ve ha ve auto1nated teleJ>hone SW"\"eys tl1at
u.<ie rando1n dialing 1nethods. Tllere are co1npu terized k iosks in public i>lace'i
tl1at allo,vs J'>eOJ le to ask for in1.,ut. A \Vl10le lle\V variation of groul'
int e1vil!\V has evolved a'i focus grou1., 1nctl1odology . Increasingly, survey rer.e.arch
is tightly int egrated ,vitJ1 tllC delive1y of se1vice. You r l10tel roo1n hasa SW"\"ey
on tile desk. You r'vaiter pres.ents a short custo1ner sati<ifaction survey'vith
y·ow·check. You get a call for an inte1vil!\v several days after y·our last call to a
co1nput er co1npany for technical assistance. You 're asked to co1npJete a sl1011
sw·vey \Vllen y·ou visit a \W b site. Here, I'll describe tile 1najor tyf">e 'i of
question1l3ire'i aixl int ervie,vs,kee1.,ing in 1ni1xl that technology i'i Jeadi11g to
rapid evolut·ion of 1netl1od<i. We'll di<i.Cu•.;s tile relative advantage'i and disadva nt
ages of these different sw·vey tyf')e;S in Advantage.s and Disadvantages of Swvey
Metl10ds
Questionnaires