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Indian Retail Sector: Presented By:-Hameed Khan Kaleem Syed Raees Basri Shoaib Khan
Indian Retail Sector: Presented By:-Hameed Khan Kaleem Syed Raees Basri Shoaib Khan
Presented By:-
Hameed Khan
Kaleem Syed
Raees Basri
Shoaib Khan
Overview of retail in India
• The Indian retail industry is valued at $420 billion, with organised
retail cornering 4.5%. The organized pie is expected to see a growth
at a CAGR of 37 %
• India and accounts for 35% of GDP
• More than 15 mn outlets and only 4% of them have a space of more
than 500 Sq feet
• Fastest growing industry growing at a rate of 30 - 40% P.A
• Second Largest source of employment
• Divided into two parts (Organized & Unorganized)
• In 2009, it rose to 12%. It is also expected to reach 22% by end of
2010.
• Most attractive destination and 5 largest in the world
• Three types of product ( Food product, soft goods and hard goods)
• Pricing approach followed by most retailers (Cost plus pricing & retail
pricing)
• Indian consumer market today accounts over 400 mn people with
rising disposable income
Retail Formats
• Specialty stores
• E.g.: Arrow, Titan ,Levis
• Department Store
• E.g.: Pantaloon, Globus, Shopper Stop
• Supermarket
• E.g.: Food Bazaar, Reliance Fresh, More
• Convenience store
• E.g.:
• Hypermarkets
• E.g.: Big Bazaar, Hyper City
• Discount store
• E.g.: Wall-mart
• Shopping malls
• E.g.: Oberoi Mall, In-orbit Mall
• Category Specialty Store
• E.g.: Vijay Sales, Croma
• Factory Outlet
• E.g.: Provogue Outlet, Levis, Addidas
• Stop over format
• E.g.: Petrol Pumps
• Vending machine
• E.g.: Condom vending machine
Recession a Down turn
• Disappointing footfalls for retailers
• Liquidity under pressure
• Heavy interest burden
• Funding constraints
• Organized retail which was expected to touch 16 % by 2012
• From the current 5 % is likely to trace 10.4 % only
Major Players
• RPG (Goenka Group)
• Pantaloon Retail
• TATA Group
• K Raheja Co-operation
• Lifestyle International
• Reliance Retail
International Players
• Bharati Wal-mart
• Reliance Mark & Spencer
• Tata TESCO
• Future Group and Carrefour
Supply Chain
Role & Importance of Supply Chain in
India
• Shelf centric partnership between the retailer and the
manufacture
• Indian customer demands at affordable prices
• warehousing plays a major role as an aspect of supply chain
operations
• Indian organized retail sector is growing so the role of supply
chain becomes all the more important
• Ensures that the latest trends are at the store
• Helps in Managing stock or Inventory
• Gives competitive advantage
•
Strategy to Strengthen the supply chain
• Inventory Management
• Property regulation