Training Project Report On Reliance Retail

For The Partial Fulfilment Of The Requirement Of The

Award Of Masters In Business Administration

SUBMITTED TO – M.D.S.University, Ajmer

Dr. SHIV PRASAD SIR [H.O.D. Of M.B.A. Department]

SUBMITTED BY – RITIK VERMA [Part 2nd]

ACKNOWLEDGEMENT
I would like to begin by expressing my sincere gratitude to Reliance
Industries Ltd for granting me the opportunity to work as a summer intern
for one and a half months as part of our course training. I am truly thankful
to all those who played a crucial role in initiating and supporting me
throughout this project, enabling its successful completion.

I am also deeply indebted to "M.D.S. University Ajmer" for their

cooperation and affectionate encouragement, which has been invaluable
in my journey. Furthermore, I extend my heartfelt thanks to all my
esteemed faculty members for their invaluable suggestions and advice
throughout this project.

Moreover, I want to express my profound appreciation to my parents and

family members, who have consistently been my unwavering source of
inspiration in every aspect of life. It is because of their unending support
that I stand where I am today.

Thanking You.

With Regards-

RITIK VERMA
 CERTIFICATE

This is to certify that the project work done on RETAIL STORE is a bonafide
work carried out by Mr. RITIK VERMA in Reliance Industries Limited under
my guidance and supervision. The project report is submitted towards the
partial fulfilment of a 2-year, full-time degree in Masters in Business
Administration.

This work was carried out during 8-06-2023 to 22-07-2023. It is confirmed

that the original work has not been submitted anywhere else for any other
degree.

Date:

Signature:
 TABLE OF CONTENTS
 Executive summary
 Introduction on Reliance industries
 About the founder and the company establishment
 About Reliance retails
 Reliance retail business overview
 Mission, Vision and Values
 Growth stretigies
 Competitive advantages
 Reaserch methodology
 Key performance indicators
 Objective of the study
 Future prospect
 About my learning and experience in Reliance retail
 Conclusion
 Bibliography
 Executive Summary

Reliance Retail, a significant subsidiary of Reliance Industries Limited (RIL),

holds a prominent position in the retail industry. For MBA students,
comprehending its dynamics provides valuable insights into the retail sector
and strategic practices of a market leader. The company operates various retail
formats, leveraging RIL's wide presence in diverse sectors. Its growth strategies
encompass organic expansion and strategic acquisitions to enter new markets
and broaden product offerings. Reliance Retail's competitive advantages lie in
its extensive store network, customer-centric initiatives, technological
innovation, and focus on private label brands and exclusive partnerships. Key
performance indicators include revenue growth, same-store sales, market
share, and customer retention rates.
 Introduction on Reliance Industries

Reliance Industries Limited, headquartered in Mumbai, is a prominent Indian

multinational conglomerate operating in diverse sectors, including energy,
petrochemicals, natural gas, retail, telecommunications, mass media, and
textiles. Renowned for its market dominance, Reliance holds the distinction of
being India's largest public company in terms of both market capitalization and
revenue. Additionally, it ranks among the top 100 largest companies
worldwide.
With its substantial contributions to the Indian economy, Reliance plays a
significant role as the country's largest private tax payer and exporter,
responsible for a notable 7% share of India's total merchandise exports.

However, its success has not been without controversy. The company has
faced accusations of political corruption, cronyism, fraud, financial
manipulation, and exploitation of both customers and natural resources,
leading to public scrutiny and criticism. The chairman, Mukesh Ambani, has
been labeled a plutocrat due to his vast wealth and considerable influence.

Despite the controversies and challenges, Reliance Industries remains a major

player in India's corporate landscape, commanding a pivotal role in various
sectors, while continuously striving to address concerns and shape its business
practices to maintain a leading position in the Indian and global market.
 About The Founder and Company Establishment

Dhirajlal Hirachand Ambani, also known as Dhirubhai, was an Indian business

tycoon who founded Reliance Industries with his cousin. He started off as a
small-time worker with Arab merchants in the 1950s and moved to Mumbai in
1958 to start his own business in spices. After initial success, he ventured into
textiles and achieved significant expansions and successes.

Reliance, acknowledged as one of the best-run companies in the world, has

diversified into various sectors, including petrochemicals, textiles, crude oil and
gas production, polyester, and polymer products. The company's refinery at
Jamnagar accounts for over 25% of India's total refining capacity, and its Hazira
plant is the biggest chemical complex in India. Reliance further expanded into
telecom, insurance, internet businesses, the power sector, and more. The
group, with over 85,000 employees, provides almost 5% of the Central
Government's total revenue.

In 1977, Dhirubhai Ambani took Reliance public, and by 2007, his family's
combined fortune, including sons Mukesh and Anil, reached 60 billion dollars,
making them the second richest family globally, after the Walton family.
Dhirubhai appeared in the Forbes billionaires list and the Sunday Times list of
top 50 businessmen in Asia.

After a heart attack in 1986, he handed over his empire to his two sons,
Mukesh and Anil, who continue to carry on the successful tradition of their
father.
 About Reliance Retail

Reliance Retail, a subsidiary of Reliance Industries Limited, holds a significant

position in the Indian retail landscape. Since its establishment in 2006, the
company has grown to become the largest retailer in India based on revenue. It
operates a vast network of retail outlets that cater to diverse consumer needs,
offering a wide range of products, including foods, groceries, apparel,
footwear, toys, home improvement items, electronic goods, and farm
implements and inputs.

With a strategic focus on Omni-channel retailing, Reliance Retail has also

ventured into e-commerce, providing customers with the convenience of
purchasing products online. This multi-channel approach allows the company
to tap into the growing digital market and reach a wider customer base.

The sheer scale of Reliance Retail's operations is impressive, with 280,000

employees working across a staggering 16,700 store locations. This extensive
workforce and store network enable the company to serve customers
effectively across various regions of India.

By continuously expanding its product offerings, improving customer

experiences, and adopting innovative retail strategies, Reliance Retail
continues to reinforce its position as a dominant force in the Indian retail
sector, shaping the way consumers shop and contributing significantly to the
country's retail industry's growth and development.
 Reliance Retail Business Overview

Led by Mukesh Ambani, Reliance Retail holds the distinction of being India's
largest retailer, boasting a widespread presence across the country. With an
extensive network of 10,644 stores spanning 6,700 towns and cities, the
company aims to further expand its reach into tier-3 and tier-4 markets.
Employing a multi-pronged approach, Reliance Retail operates various formats,
including neighbourhood stores, supermarkets, wholesale cash & carry outlets,
specialty stores, and online platforms. This diverse strategy allows the company
to cater to the diverse needs of Indian consumers, democratizing access to a
wide array of products and services. Through its innovative and customer-
centric approach, Reliance Retail continues to revolutionize the retail sector,
enhancing convenience and choice for consumers throughout India.

It has started its operations in 2006 and branched into various divisions of the
consumer space. These divisions are :

 Reliance Trends : Clothing

 Reliance Fresh : Food and Groceries
 Reliance Digital: Consumer Electronics (TV sets, mobiles, tablets,
washing machine, etc.)
 Reliance Footprint: Footwear
 Reliance Market: A wholesale cash and carry store chains for supporting
the local kirana shops.
 Reliance Jewels: Jewellery.
 AJIO: An e-commerce platform for clothing.
 Reliance Mall : It houses all the divisions of Retail together.

Fig.1
Fig.1 shows that there is no sector, which has excessive contribution to
the sales, which in turn leads to diversification amongst the different
sectors. It is to say ‘Reliance Retail’ is focusing on most of the needs of
consumers, be it in modern retailing (Trends, Digital, Jewels and Footprint)
or wholesale distribution. It is aiming at the ‘urban family’ of India, the
youngsters and even the unorganized sector (Reliance Market). For
example, a modern family gets its groceries from Fresh, washing machine
from Digital, clothes from Trends and so on.
 The company has shown Revenue CAGR of 55% in the last 5 years.
 The company has shown EBITDA CAGR of 76% in the last 5 years.
 Mission, Vision and Values
MISSION

Reliance's mission is to provide the best and most value-adding advice

within investor relations, financial communications, media relations, crisis
communications, issues management and CSR reporting

To be an independent sparring-partner and to provide excellent advice for

our clients in connection with IPOS, ECM and M&A transactions, corporate
governance-related issues as well as in connection with preparations of
contingency communications plans regarding public take over’s. Reliance's
activities shall be of benefit for both our clients, collaboration partners,
employees and shareholders.

VISION

Reliance's vision is to be our clients' 'first call' and preferred collaboration

partner within our business areas.

To consistently exceed our clients' expectations for professional and value-

adding advice.

Our objective is long-standing and trustful client relationships created via

excellent advice and service.
VALUES

We are governed by our fundamental values:

 Quality: We do not compromise - we have a passion for the best

quality.
 Innovation: We are innovative and wish to enthuse our clients.
 Ambition: We set high objectives and push to achieve the best results.
 Honesty: We are honest towards our clients, also when it may be
unpleasant.
 Integrity: We keep our word, guard confidentiality, and maintain a high
level of integrity.
 Growth Strategies

Market Penetration:

Reliance Retail has focused on expanding its presence in both Tier 1 and Tier
2 cities, utilizing its extensive distribution network to penetrate deep into
urban and rural markets. This approach has contributed significantly to its
market share growth.

Strategic Partnerships:

To enhance its product offerings and attract more customers, Reliance Retail
has forged strategic partnerships with global and domestic brands.
Collaborations with renowned companies have bolstered its position in the
retail sector.

Online Retailing:

The company has embraced e-commerce to capitalize on the growing trend

of online shopping. Through its online platforms, like JioMart, Reliance Retail
has successfully bridged the gap between offline and online retailing.
 Competative Advantages

Integration of Reliance Industries

Reliance Retail leverages its integration with Reliance Industries Limited (RIL)
as a crucial competitive advantage. As a subsidiary of RIL, the company
benefits from vertical integration, meaning it is connected to various parts
of the supply chain. RIL itself is a giant conglomerate with interests in
energy, petrochemicals, natural gas, and other sectors. This integration
allows Reliance Retail to have direct access to raw materials, manufacturing
facilities, and logistical support.

The synergy between RIL and Reliance Retail ensures a steady supply of
products at competitive prices. The retail arm can tap into RIL's diverse
portfolio of products and brands, offering a wide range of choices to its
customers. Moreover, the vertical integration enables better inventory
management and reduced lead times, ensuring products are readily
available for customers, which is critical in the fast-paced retail industry.

Economics of Scale

Another significant advantage of Reliance Retail's extensive store network is

the economies of scale it enjoys. Operating numerous stores and large-scale
warehouses enables the company to make bulk purchases directly from
manufacturers or suppliers. This results in cost savings due to volume
discounts and reduced transportation costs. These savings can then be
passed on to customers through competitive pricing, attractive discounts, or
value-added services.

Furthermore, the economies of scale also enhance operational efficiency.

Standardization of processes, centralized procurement, and streamlined
logistics help optimize resources and reduce operating expenses, ultimately
contributing to improved profitability.

By leveraging its integration with RIL and capitalizing on economies of scale,

Reliance Retail solidifies its position as a dominant player in the Indian retail
market. It can offer a diverse range of products at competitive prices, attract
a broader customer base, and continue its expansion into tier-3 and tier-4
markets with a robust and sustainable business model.
 Research Methodology

Research objective
The main goal of this research is to examine how the strengths,
weaknesses, opportunities, and threats (SWOT analysis) of Reliance Super,
a store located in Element Mall, have affected its overall performance.
We aim to gain insights into the various sales and promotional strategies
used by different retail stores, including Reliance Super, to understand
how they attract customers and drive sales.
Another objective is to assess how Reliance Super performs in comparison
to its competitors in the retail industry. This will help us understand its
position in the market and identify areas for improvement.
We also want to check and evaluate the price benchmarking of Reliance
Super. This means comparing its prices with those of other stores to
determine if they are competitive and offer good value to customers.
Overall, our research seeks to provide valuable information about the
performance and strategies of Reliance Super and other retail stores,
helping us understand the factors that contribute to their success and how
they stand out in the competitive retail market.
Research design
Research design refers to the plan or structure we create to gather and
analyze data for our research. It's like a roadmap that helps us achieve our
research goals efficiently. In our case, we want to thoroughly study
Reliance Super and compare it with competitors like Big Bazaar and Easy
day.

To do this, we'll carefully arrange how we collect and analyze information.

We might conduct surveys, interviews, and observe the stores to
understand their operations and strategies. We'll also collect data about
customer preferences, sales, and promotional tactics used by these retailers.

By looking at Reliance Super and its competitors from different angles and
perspectives, we can get a complete picture of their strengths, weaknesses,
opportunities, and threats. This will help us understand how they're
performing in the market and what makes them stand out.

In simple terms, the research design is like a well-thought-out plan that

guides us in studying Reliance Super and its competitors thoroughly. It
ensures we gather the right information and analyze it in a way that gives us
valuable insights into their performance and strategies.
 Key Performance Indicators

Key Performance Indicators (KPIs) are important measures that help a retail
business like Reliance Retail track its performance and success. Here are
three essential KPIs explained in simple terms:

Revenue Growth:

This KPI shows how much money Reliance Retail is making over time. It's like
checking if the business is growing and making more sales. When revenue
grows, it means more people are buying from Reliance Retail, and their
products and services are doing well in the market.

Same-Store Sales (SSS) Growth:

SSS growth tells us how much sales have increased in stores that have been
open for some time. It helps to see if the existing stores are doing better and
attracting more customers. A positive SSS growth means people still like
shopping at Reliance Retail, and the company is doing a good job keeping
customers happy.

Customer Footfall:

This KPI is all about how many customers are coming into the stores. It helps
Reliance Retail understand how many people visit their shops, and it shows
how popular their stores are. By keeping an eye on customer footfall, the
company can see if their marketing and advertising efforts are working well
to attract more people to shop with them.

In simple words, these KPIs are like measuring sticks that help Reliance
Retail see how well they are doing in terms of sales, customer satisfaction,
and store popularity. By tracking these indicators, they can make better
decisions to improve their business and keep customers happy.

Objective of the Study

In our study of the retail industry, we focused on understanding its
dynamics and trends in the broader context of the world. We analyzed the
working culture and various perspectives to gain insights into this sector.
One crucial aspect we examined was how to attract customers effectively,
which involved offering them alluring deals and incentives to catch their
attention.

To successfully market our products and services and create awareness

among customers, we employed fundamental marketing concepts: "Share
of voice," "Share of mind," and "Share of wallet." These strategies aimed to
engage customers, occupy their thoughts, and encourage them to spend
with us.
Throughout our research, one principle remained paramount: "Customer is
king." With this in mind, we made it our mission to deliver exactly what the
customers desired. This meant ensuring a pleasing ambiance at our stores,
providing top-notch products, offering competitive prices, maintaining
high-quality standards, delivering excellent services, and prioritizing
customer satisfaction.

In essence, our study revolved around putting the customer's needs first
and crafting effective marketing strategies to cater to their preferences.

Future Prospects

Reliance has ambitious plans for its future growth in the Indian market. The
company aims to reach and serve almost every customer and supplier in the
country. Their primary goal is to provide top-quality products and services to
customers at more affordable prices.

To expand their offerings, Reliance Retail is introducing retail apparel,

footwear, women's wear, and lingerie at its stores. They currently operate
240 neighbourhood and convenience stores under the Reliance Fresh chain,
with plans to open one or two new stores every six months.

One of their strengths lies in their seamless supply chain infrastructure,

which is unmatched even by global standards. They are planning to launch
700 Reliance Town Centres (RTC) across the country, especially in areas with
a population below 3 lakh. The company also intends to introduce the first
RTC in North India.

To cater to the rural population, Reliance Retail is planning to establish rural

business hubs (RBHs) and aims to add 1,600 RBHs in the coming years.

Additionally, they plan to have around 100 private labels across various
product categories.

Notably, their expansion plans are not solely focused on business growth;
they also aim to bring prosperity to farmers by involving them in their supply
chain and supporting agricultural initiatives.

In the future, Reliance Retail intends to include more varieties of private-

label products, such as soaps, detergents, cosmetics, and non-FMCG items,
to cater to a broader customer base and strengthen their position in the
market. Through these strategies and endeavours, Reliance Retail aims to
cement its position as a dominant player in the Indian retail sector and
create a positive impact on various segments of the population.
 About My Learning And Experiance In Reliance Retail

As an intern at Reliance Retail during your MBA, you likely gained valuable
insights and experiences that contributed to your professional and personal
growth. Here are some key learning’s you might have acquired from your
internship:

 Retail Operations: You gained an understanding of how a large retail

organization like Reliance Retail operates. You learned about store
management, inventory control, supply chain processes, and customer
service strategies.
 Sales and Marketing: You had the opportunity to observe and participate
in sales and marketing activities. This includes understanding promotional
campaigns, product positioning, and customer engagement techniques.
 Customer-Centric Approach: Working in a customer-facing environment,
you learned the importance of putting customers at the centre of business
decisions. You may have developed skills in handling customer queries,
addressing complaints, and enhancing the overall customer experience.
 Teamwork and Collaboration: As part of a diverse team, you experienced
the value of effective collaboration and teamwork. You likely worked with
colleagues from different departments, fostering a culture of cooperation
and mutual support.
 Business Strategy: You may have been exposed to the company's business
strategy and how it aligns with its long-term goals. Understanding the
broader picture helps you connect the dots between day-to-day operations
and organizational objectives.
 Adaptability and Flexibility: The fast-paced retail environment likely
taught you to be adaptable and flexible in responding to dynamic
situations and changing market demands.
 Leadership Skills: If you had the opportunity to lead or manage a project,
you might have honed your leadership skills, learning to motivate and
guide team members towards achieving common goals.
 Time Management: Juggling various tasks and responsibilities during the
internship would have strengthened your time management skills,
enabling you to prioritize and efficiently complete tasks.
 Professional Networking: Internships often provide opportunities to
network with professionals in the industry. Building connections with
mentors and colleagues can be invaluable for your future career prospects.
 Industry Insights: Overall, your internship at Reliance Retail gave you a
deep insight into the retail industry, its challenges, and its potential
opportunities. This firsthand experience will serve as a foundation for your
future career decisions and endeavours.
 Conclusion
As an MBA student, studying the strategies used by Reliance Retail can
teach you important lessons about the retail industry in India. Reliance
Retail is a big player in this sector because it offers a wide range of
products, plans smart ways to grow, and has advantages over its
competitors.
By understanding Reliance Retail's approach, you'll learn how a diverse
product range attracts more customers. You'll see how their growth plans
help them expand and stay successful. Plus, you'll discover the special
things that give them an edge over other retail companies.
This study will give you insights into how the retail industry in India works,
and how companies like Reliance Retail contribute to the country's
economy. It's an opportunity to learn from a successful business and see
how it adapts to the ever-changing market.
In simple terms, analyzing Reliance Retail's strategies can help you become
a knowledgeable MBA student with valuable insights into the retail
industry's dynamics and its impact on India's economic growth.
 BIBLOGRAPHY:

www.wikipedia.com

www.ibef.org

http://www.ril.com/html/business/businessretail.html

http://en.wikipedia.org/wiki/Relianc e-Retail