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Introduction

With a vision to generate inclusive growth and prosperity for farmers,


vendor partners, small shopkeepers and consumers, ABC, was set up to lead
Reliance Groups foray into organized retail.
Since its inception in 2015, ABC, has grown into an organization that caters
to number of customers, farmers and vendors.
Based on its core growth strategy, ABC has made rapid progress toward
building an entire value chain starting from the farmers to the end
consumers. ABC's main focus would be fresh produce like fruits at a much
lower price.
The main idea of the company was to source from farmers and sell directly
to the consumer, removing middlemen out of the way.
Preferred supplier arrangements involve higher (fixed and variable)
production and handling costs but save on governance costs and reduce
exposure to risks from substandard quality and out-of-time delivery.

1.1 ABC's Collection center at APMC:


It is the place where fruits received from farmers and from other sources are stored
for a while and then goes through processing process. Processing of fruits means
their cleaning; separating rotten ones and their packaging.
Usually fruits maximum storing duration in collection centre is one day, it
means in one day the complete recycling of fruits does complete. It is easily
understandable because in case of vegetables they start to rot after two or
three days under normal condition.
Objective of Collection Centre is to buy fresh and good quality of fruits
from farmers directly. Also company can save the vendor and mundi charge
through these practices.
In Mumbai they have APMC as collection centre for buying Fruits. It is
obvious they prefer to plant their collection center at that place which is

more market potent means reducing transportation cost and they can buy the
fresh produce in bulk at suitable prices.
Also other alternative of purchasing channels were used by ABC.
1. They also buy Fruits from wholesale Market directly.
2. Wholesaler linked to farmers that deliver products under contract