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Wal-Mart Stores Carrefour Group The Home Depot, Inc The Kroger Co. Royal Ahold Metro AG Target Corporation Albertsons,Inc. Sears, Roebuck and Co. Kmart Corporation
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Evolution of Retailing
The emergence of retailing in India now has more to do with the increasing purchasing power of buyers, especially post-liberalization, increase in product variety, and the increasing economies of scale, with the aid of modern supply and distribution management solutions. Activity: Name a few existing retailers in India who you feel, are quite successful.
Evolution of Retailing
Important Stores opened in the Q4 FY 06 Store Lifestyle Particulars 7500 sq.ft City Chennai Month March
Raymond
Raymond Landmark
Fashion outlet
Fashion outlet 22000 sq.ft
Kunnur
Chennai Chennai Mumbai
March
March March March March
Allukas
2. 3. 4.
South Korea
China
15%
10%
Durables
Books, Music & Gifts Home
2.
3.
4.
5. 6. 7.
Consumer Pull: Rising income and greater purchasing power of the Indian customer and the tremendous growth of the middle class in the post-liberalization era. Growing urbanization leading to a variety of customer needs. Significant increase in the number of brands in the Indian market leading to a larger option set for the Indian customer. Media boom leading to an increased level of awareness levels and exposure to the international trends and concepts. Changing demographics propelling the growth of retail industry. Psychographic changes in the Indian consumer behaviour Shopping is becoming an outing or a way of family entertainment that means that families now spend greater time in shops.
Opening the door partly 51% FDI permitted to Single Brand Retail
The most significant development in regulatory aspects influencing the Indian retail industry is the governments decision to allow foreign direct investment (FDI) up to 51% in retail outlets meant exclusively for single brands. Previously single brands had to enter India only through joint ventures or the franchisee route. Now brands can enter with a majority stake of 51% along with a local partner. This definitely gives the international brands more space to play ground.