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SRIKANTH S J R p09113
Cash and Carry Model
Cash n Carry Stores
Cash and carry operators buy goods in large quantities from the
manufacturer
They sell these goods to retail customers at a very low NPM
RETAIL CUSTOMERS
Customers purchase goods and provide their own transport
Typically Hotels and Restaurants
Customers have to become members/register with the operator in order to buy
Categories by Types of Operators
Multiple Depot Operators
Have their own distribution networks, which channel suppliers’
deliveries from sources, into regional distribution centres.
Deliveries are made by in-house transport to their customers
Customers include large supermarkets
Buying Groups
Group of businesses doing or selling the same types of merchandise or
services where their market areas do not overlap
Group buying where all or most of the stores buy from the same line
Independents
Solo Depot operators, unaffiliated and independent
buyers
Smaller in size and low volumes define their business
BHARTI – WALMART CASH ‘N’ CARRY
BIZ IN INDIA
Joint Venture between Bharati Enterprises and Wal-Mart Stores
Wholesale, B2B, Cash ‘n’ Carry and Back-end SCM operations
First Cash ‘n’ Carry store ‘Best Price Modern Wholesale’ in Amritsar
This business will set up supply chains, in India and abroad, and source all
manner of goods and sell them in its outlets, at rates far below what the
market charges.
The company will function only as a wholesaler -- the Cash 'n' Carry
business allows sale to offices/hotels and retailers who become its
members
IMPLICATIONS
CONSUMERS
Indian consumers would experience a 15-20% cut in their grocery budgets
ORGANIZATIONS
Latest and modern advances in retailing to service the engine of India’s
retail sector
RETAILERS
Allows retailers and business owners to lower their cost of operations by
offering items at competitive wholesale prices.
C n C & the Consumers
Brings the small retailer into the organised channel by helping them
buy in an organised manner.
The cash and carry segment was opened because the Indian
Government recognised the benefits it brings to economies such as
ours and is welcoming new players in the industry.