INTRODUCTION OF ONLINE SHOPPING

A process in which images or listings of goods and services are viewed remotely via electronic means, e.g., a vendor's Web site, items are selected for purchase, and the transaction is completed electronically with a credit card or an established credit account. Various encryption schemes may be, and usually are, used to reduce the risks of sending sensitive information, such as credit-card numbers, over the Internet or other telecommunications facility. INA wallet is a small software program used for online purchase transactions. Many payment solution companies, such as CyberCash, offer free Wallet software that allows several methods of payment to be defined within the wallet (for example, several different credit cards). Here's how it works: When you order something, the order is sent to the merchant. The merchant (actually, the merchant's server) sends back an invoice and asks the consumer to launch the Wallet in his computer (or to download it quickly if the consumer doesn't have it yet).When the consumer selects "Pay," the Cyber Cash software on the merchant server sends a message back to the consumer's PC that activates the "Wallet" software. The consumer selects one of the cards defined in the Wallet and clicks. The transaction includes real-time credit card authorization. CyberCash says" Soon we will incorporate an electronic "Cash" and "Coin" system to use for transactions that are considered small for credit cards. Online shopping is the process consumers go through to purchase products or services over the Internet. An online shop, e-shopping, e-store, internet shop, web shop, web store, online store, or virtual store evokes the physical analogy of buying products or services at a bricks-andmortar retailer or in a mall. The metaphor of an online catalog is also used, by analogy with mail order catalogs. All types of stores have retail web sites, including those that do and do not also have physical storefronts and paper catalogs. Online shopping is a type of electronic commerce used for business-to-business (B2B) and business-to-consumer (B2C) transactions. The term "Webshop" also refers to a place of business where web development, web hosting and other types of web related activities take place (Web refers to the World Wide Web and "shop" has a colloquial meaning used to describe the place where one's occupation is carried out).

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HISTORY OF ONLINE SHOPPING
The idea of online shopping predates the World Wide Web, for there are earlier experiments involving real-time transaction processing from a domestic television. The technology, based on Videotext, was first demonstrated in 1979 by Michael Aldrich, who designed and installed systems in the UK, including the first Tesco pilot system in 1984. The first B2B was Thomson Holidays in 1981. History of Online Shopping starts not so long ago. Tim Berners-Lee created "The World Wide Web Browser" in 1990. In1994 few other developments took place. Online bank, the first of its kind opened this year. Another development was opening of online pizza shop by pizza hut. In the same year Netscape introduced SSL encryption to enable encryption over the data transferred online. This later became the necessity of online shopping. In 1995, Amazon started operation, one of the largest online shopping mall now. Then in 1996 eBay started its online shopping portal. 1998 witnessed use of electronic postage stamps, where people can download and print postal stamps after paying nominal fee. In 1999 the first online shop in UK launched.

Cultural Impact
With its advent in the early 1990s, online shopping has spread into every corner of life, linking people to the culture of capitalism in frequent and daily ways. It lets us buy what we want, when we want, at our convenience, and helps us to imagine ourselves buying, owning, and having positive outcomes by the goods available out there on the web. For some, shopping has become a way of identifying oneself in today's culture by what we purchase and how we use those purchases. Online shopping has always been middle to high class commodity since its first arrival on the internet in society.

Customers
In general, shopping has always catered to middle class and upper class women. Shopping is fragmented and pyramid-shaped. At the pinnacle are elegant boutiques for the affluent, a huge 2

belt of inelegant but ruthlessly efficient “discounters” flog plenty at the pyramid’s precarious middle. According to the analysis of Susan D. Davis, at its base are the world’s workers and poor, on whose cheapened labor the rest of the pyramid depends for its incredible abundance. Shopping has evolved from single stores to large malls containing many stores that most often offer attentive service, store credit, delivery, and acceptance of returns. These new additions to shopping have encouraged and targeted middle class women. In recent years, online shopping has become popular; however, it still caters to the middle and upper class. In order to shop online, one must be able to have access to a computer, a bank account and a debit card. Shopping has evolved with the growth of technology. According to research found in the Journal of Electronic Commerce, if we focus on the demographic characteristics of the in-home shopper, in general, the higher the level of education, income, and occupation of the head of the household, the more favorable the perception of non-store shopping. An influential factor in consumer attitude towards non-store shopping is exposure to technology, since it has been demonstrated that increased exposure to technology increases the probability of developing favorable attitudes towards new shopping channels. Online shopping widened the target audience to men and women of the middle class. At first, main users of online shopping were young men with a high level of income and a university education. This profile is changing. For example, in USA in the early years of Internet there were very few women users, but by 2001 women were 52.8% of the online population. Sociocultural pressure has made men generally more independent in their purchase decisions, while women place greater value on personal contact and social relations. In addition, male shoppers are more independent when deciding on purchasing products because, unlike women, they don’t necessarily need to see or try on the product.

Trends
One third of people that shop online use a search engine to find what they are looking for and about one fourth find websites by word of mouth. Word of mouth has become a leading way by which people find shopping websites. When an online shopper has a good first experience with a certain website, sixty percent of the time they will return to that website to buy more. 3

A "checkout" process follows (continuing the physical-store analogy) in which payment and delivery information is collected. online shopping is arguably the most predictable way to shop. payment & bank transfer are also common. The consumer often receives an e-mail confirmation once the transaction is complete. by analogy with filling a physical shopping cart or basket in a conventional store. Online shopping provides more freedom and control than shopping in a store. The method of payment is decided upon the mutual trust and familiarity between online merchant and the customer. and groceries are increasingly being purchased online. However.Books are one of the things bought most online. Less sophisticated stores may rely on consumers to phone or e-mail their orders (though credit card numbers are not accepted by e-mail. From a sociological perspective. and how long it will take for the product to reach them. if necessary. Cosmetics. Online shopping has become extremely routine and predictable. most online retailers use shopping cart software to allow the consumer to accumulate multiple items and to adjust quantities. how much the product will cost. for security reasons). Some stores allow consumers to sign up for a permanent online account so that some or all of this information only needs to be entered once. shoes. Logistics Consumers find a product of interest by visiting the website of the retailer directly. Once a particular product has been found on the web site of the seller. However the other methods. and accessories are all very popular things bought online. Payment Payment by credit card is the widely accepted method of payment for online shopping. like using e checks. which is one of its great appeals to the consumer. 4 . About one fourth of travelers buy their plane tickets online because it is a quick and easy way to compare airline travel and make a purchase. or do a search across many different vendors using a shopping search engine. nutrition products. clothes. One knows exactly what website to go to. Various methods of payment are described below.

Online shoppers commonly use credit card to make payments. • Download: This is the method often used for digital media products such as software. however some systems enable users to create accounts and pay by alternative means. Shipping: The product is shipped to the customer's address.. Other sites allow customers from anywhere to send gifts anywhere. movies.O. offered by very few online stores) Cheque Delivery on payment Postal money order Bill Me Later Money bookers Reverse SMS billing to mobile phones Direct debit in some countries Some sites will not allow international credit cards and billing address and shipping address have to be in the same country in which site does its business. or images. The financial part of a transaction might be processed in real time (for example. While credit cards are currently the most popular means of paying for online goods and services. or might be done later as part of the fulfillment process. such as: • • • • • • • • • • Debit card Various types of electronic money Cash on delivery (C. letting the consumer know their credit card was declined before they log off). • 5 .D. Product delivery Once a payment has been accepted the goods or services can be delivered in the following ways. music. alternative online payments will account for 26% of e-commerce volume by 2009 according to Celent.

bypassing the retailer's physical location to save time.• Drop shipping: The order is passed to the manufacturer or third-party distributor. never go 6 . Mostly. It also is not only just about disseminating information. These systems do not use an online database. is very important. which will be user centered. finds a local store using locator software and picks the product up at the closest store. The shop is then generated as HTML files and graphics that can be uploaded to a web space. the website should satisfy consumer's expectations. Companies should always remember that there are certain things. Many researchers notify that the uniqueness of the web has dissolved and the need for the design. Shopping cart systems • Simple systems allow the offline administration of products and categories. such as understanding the customer’s wants and needs. • In-store pickup: The customer orders online. It is usually installed on the company's own web server and may integrate into the existing supply chain so that ordering. software modules for different functionalities required by a web shop can be adapted and combined. • Consumer expectations The main idea of online shopping is not in having a good looking website that could be listed in a lot of search engines and it is not about the art behind the site. This is the method often used in the bricks and clicks business model. • A high end solution can be bought or rented as a standalone program or as an addition to an enterprise resource planning program. Commercial systems can also be tailored to ones needs so that the shop does not have to be created from scratch. because it is all about building relationships and making money. living up to promises. By using a framework already existing. delivery. Rather than supporting the organization’s culture and brand name. money. who ships the item directly to the consumer. payment. accounting and warehousing can be automated to a large extent. • Other solutions allow the user to register and create an online shop on a portal that hosts multiple shops at the same time. organizations try to adopt techniques of online shopping without understanding these techniques and/or without a sound business model. and space.

Consumers with dial-up Internet connections rather than broadband have much longer load times for content-rich web sites and have a considerably slower online shopping experience.3 billion worth of clothes sold online represented about 10% of the domestic market. Convenience:Online stores are usually available 24 hours a day. sometimes because they find computers hard to use.4 billion in the United States in 2006. merchandise must be shipped to the consumer. and many consumers have Internet access both at work and at home. The $18. adoption of e-commerce in place of or in addition to conventional methods is limited by a lack of affordable Internet access. In most cases. 7 . Not all online retailers have succeeded in making their sites easy to use or reliable. because they give reason to come back. Market share:E-commerce product sales totaled $146. predictability and control. Some consumers prefer interacting with people rather than computers (and vice versa). calculability. And the reason will stay if consumers always get what they expect. A visit to a conventional retail store requires travel and must take place during business hours. McDonaldization theory can be used in terms of online shopping.out of style. representing about 6% of retail product sales in the country. For developing countries and low-income households in developed countries. introducing a significant delay and potentially uncertainty about whether or not the item was actually in stock at the time of purchase. because online shopping is becoming more and more popular and website that wants to gain more shoppers will use four major principles of McDonaldization: efficiency. Searching or browsing an online catalog can be faster than browsing the aisles of a physical store.

Bricks and clicks stores offer the ability to buy online but pick up in a nearby store. Many stores give the consumer the delivery company's tracking number for their package when shipped, so they can check its status online and know exactly when it will arrive. For efficiency reasons, online stores generally do not ship products immediately upon receiving an order. Orders are only filled during warehouse operating hours, and there may be a delay of anywhere from a few minutes to a few days to a few weeks before in-stock items are actually packaged and shipped. Many retailers inform customers how long they can expect to wait before receiving a package, and whether or not they generally have a fulfillment backlog. A quick response time is sometimes an important factor in consumers' choice of merchant. A weakness of online shopping is that, even if a purchase can be made 24 hours a day, the customer must often be at home during normal business hours to accept the delivery. For many professionals this can be difficult, and absence at the time of delivery can result in delays, or in some cases, return of the item to the retailer.

Information and reviews:Online stores must describe products for sale with text, photos, and multimedia files, whereas in a physical retail store, the actual product and the manufacturer's packaging will be available for direct inspection (which might involve a test drive, fitting, or other experimentation). Some online stores provide or link to supplemental product information, such as instructions, safety procedures, demonstrations, or manufacturer specifications. Some provide background information, advice, or how-to guides designed to help consumers decide which product to buy. Some stores even allow customers to comment or rate their items. There are also dedicated review sites that host user reviews for different products. In a conventional retail store, clerks are generally available to answer questions. Some online stores have real-time chat features, but most rely on e-mail or phone calls to handle customer questions.

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Price and selection:One advantage of shopping online is being able to quickly seek out deals for items or services with many different vendors (though some local search engines do exist to help consumers locate products for sale in nearby stores). Search engines and online price comparison services can be used to look up sellers of a particular product or service. Shoppers find a greater selection online in certain market segments (for example, computers and consumer electronics and in some cases lower prices. This is due to a relaxation of certain constraints, such as the size of a "brick-and-mortar" store, lower stocking costs (or none, if drop shipping is used), and lower staffing overhead. Shipping costs (if applicable) reduce the price advantage of online merchandise, though depending on the jurisdiction, a lack of sales tax may compensate for this. Shipping a small number of items, especially from another country, is much more expensive than making the larger shipments bricks-and-mortar retailers order. Some retailers (especially those selling small, high-value items like electronics) offer free shipping on sufficiently large orders.

Privacy Online:Many online malls use cookies to track the user activity for showing relevant results to maximize the shopping experience. It can also be used to track your personal details. Thus before you pass your personal information, ensure the credibility of the online merchant. Good companies post their privacy policy (that is how they are going to use the personal information about you) on the website. Read carefully.

Security & Safety Online:The important considerations after privacy are the security and safety features used by online malls. Remember that good websites are made in compliance with industrial standards such as SSL (secured socket layer). These standards use encryption technology to transfer information from your computer to online merchant's server. 9

By using SSL the information you sent are scrambled, this means it is not possible to get details without encryption code. Since this is done automatically in merchant’s server, it can be ensured that your personal details are secure. Thus make sure that you always do payment over SSL. When the company you want to deal is new to you, try to get maximum information about them before making any orders. Keep your password secret and make it in such a way that other may not be in a position to guess it. Credit card transactions are considered to be the safest mode of payment for online shopping. Make yourself understood with the company's policies especially on how they are going to keep your financial and personal data secured. Keep printed copies of purchase order and confirmation details, so that it can be used in the event of disputes. Secure Sockets Layer (SSL) encryption has generally solved the problem of credit card numbers being intercepted in transit between the consumer and the merchant. Identity theft is still a concern for consumers when hackers break into a merchant's web site and steal names, addresses and credit card numbers. A number of high-profile break-ins in the 2000s have prompted some U.S. states to require disclosure to consumers when this happens. Computer security has thus become a major concern for merchants and e-commerce service providers, who deploy countermeasures such as firewalls and anti-virus software to protect their networks. Phishing is another danger, where consumers are fooled into thinking they are dealing with a reputable retailer, when they have actually been manipulated into feeding private information to a system operated by a malicious party. Denial of service attacks are a minor risk for merchants, as are server and network outages.

Online shopping procedure

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After you have added enough items in shopping cart. Once you find the required product. The first step in the online shopping is to search for the specific product categories using integrated search function. You might also want to select the payment modes for payment here. Hence to facilitate easier access to required products. The next step is to login using a username and password. put it in a virtual "Shopping Cart" and continue shopping. almost all major online malls allow searching the entire catalogue. Many online malls first require you to register with them before allowing you to pay for the bought items. Some online malls even ask for your email. After choosing the mode of payment there will other boxes to fill your billing address or the payment details. check out each of them. Enter the address to which you want the product to be delivered. 11 .Online Shopping Guide .Steps When Buying Online Online shopping malls are just an electronic catalogue of products. phone numbers etc. You can add or delete the contents in shopping cart.

and accept or decline credit card transactions on behalf of the merchant through secure Internet connections. you will need to show these documents for verification. Diagram 12 . Keep the printed copy of the purchased order and confirmations for records. In the event of any disputes. When referring to payment gateways used for Internet transactions. The service that automates the payment transaction between the shopper and merchant. It is usually a third-party service that is actually a system of computer processes that process. you can also modify the order by adding or removing items. How it works. Online Payment Gateway It provides a secure connection between your online store and your internet merchant account. You can also cancel order if needed. The payment gateway is the infrastructure that allows a merchant to accept credit card and other forms of electronic payment.Then wait for the confirmation of your order. verify.

4. In such circumstances you can do few things so as to ensure the credibility of the company. 2. You can even ask for references. 7. The response is then forwarded by the Payment Gateway to the merchants server. 2. Sometimes you tend to deal with unfamiliar companies. 8. Also ensure that you get satisfied with their answers. Check whether the website contains these policies. At the end of the bank day (or settlement period). Good online merchants have cut out privacy and security policies so as to build the customer confidence. In case of declination the reason is also sent in the response. 6. The transactions details are then forwarded to the concerned Payment Gateway. Merchants acquiring bank then forwards the transaction information to the issuing bank (one that issued the credit card to the customer). 13 . Visitor places the order on the website and it is sent to the merchant's web server in encrypted format. the acquiring bank (or card issuing bank) deposits the total of the approved funds in to the merchant’s nominated account. This is usually done via SSL (Secure Socket Layer) encryption. 5. The transaction information is then passed on to the merchants acquiring bank by the Payment Gateway. If any phone number is given make a call and do some queries. 3. At merchants server the response is encrypted again and is relayed back to the customer. always better to deal with the companies which are known to you. The response includes information that whether the payment has been approved or declined. However keep it in mind that these policies can be changed at varied circumstances. Then the card issuing bank sends a response back to the Payment Gateway.1. Online Shopping Tips 1. The entire process typically takes less than 5 seconds. This allows the customer to know that whether the order has been placed successfully or not. If you go for online shopping. You can also contact any friends or relatives who are staying near to the address of company.

Credit card transactions are considered safest while doing online shopping. All the other modes have limitations or are in risk of malpractices. immediately contact the credit card company and withhold the operation in that number. You can avoid answering questions you feel uncomfortable to answer. 4. Note down who is paying the shipping charges and ensure that it is reasonable. If the padlock remains closed. If the website keep on insisting answering those questions. 14 . Also note down the shipping cost. 6. a) Look at the bottom of your browser for padlock displayed. b) Look at the website address and see that it contains https:// where "s" denotes the secured connection. Sometimes few company as many questions for the purpose of marketing. When you transfer data online. Watch out for extra ordinary claims or unbelievably low prices for the product with an critical eye. the site is secure. 5. Secure websites send the data in scrambled form (encrypted). You are suggested to approach cautiously in such cases. Make it as a practice that you are regularly checking the credit card transactions. it is better to avoid shopping from that site. Ensure that your choice of shipping is in compliance with what offered by merchant. You can check the address bar on browser to check the address. Check the following conditions to ensure the security of the website. which is called uniform resource locator (URL). If any irregularities are found. 8. duration to get delivered etc. ensure that you are using a secure website.3. 7. Ensure that your credit card number is not misused in any circumstances. c) Ensure that you are actually visiting the real website rather than look-alike websites (made in order to deceive customer).

In short. Since so many companies have come up with the facilities of online shopping. traffic blocks and parking constraints in real world shopping can be avoided while shopping online. Unlike offline shops. the price comparison and quality comparison of the products and services are possible. If you are lucky you will be also getting amazing offers from different online stores that will effectively reduce the price than buying offline. online shops have no holidays. Check out how the company is proposed to attend the complaints and clear it. closing times or any other problems. Another big advantage of online shopping is the flexibility of shopping. you need not have to worry about weather conditions as well. By sitting back at home you can now shop anything from candles to vehicles by several clicks of mouse buttons. Make a note of it imagining such a situation. thus you can easily find out what other customers think about the product or services before buying it.9. You can shop 24hrs a day. Online Shopping Advantages The major advantage of online shopping is the convenience it offers. Some online malls also provide customer reviews about each product. 7 days a week and 365 days a year. You can efficiently use these facilities to decide weather a product or service is worth the price quoted. price comparisons. online shopping offers more convenience and save time in comparison with real world shopping 15 . With online shopping. Also note down the warranty period and warranty conditions. Is n't that amazing to have a shop open always? One of the advantages of online shopping is the facilities available for product. The worry you may have on travelling. Good companies have their order cancellation or good return policies.

then online shopping become un attractive. Yet another concern is about online security. Another disadvantage of online shopping is tangibility factor. some online malls still uses the old fashioned images in product catalogues. If the shipping cost is more than that you need to actually carry the product home. If you are shopping online. 16 .Online Shopping Disadvantages One of the important disadvantages of online shopping is lack of personal interaction. Online shopping lacks the real world shopping experience that we get shopping with relatives and friends offline. Another factor is shipping cost. the advantages outnumber the disadvantages and thus more and more people started buying online. feel or sense it with different means. Even though this problems has been rectified to certain extent by use of 3D product catalogues. When you go for real world shopping. Even though online shopping has several disadvantages. you can actually touch. but for online shopping you can only view the electronic catalogues. Seeing the picture of a product is far inferior to that of seeing it in real world. you have to take additional care about your credit cards so that to protect from unauthorized usage.

according to the 2008 Fortune Global 500. Inc. with an estimated 20% of the retail grocery and consumables business. Robson Walton Industry – Retail.000(2008) Websites.walmart. trailing the British National Health Service. in the UK as ASDA. Supercenters. It has wholly owned operations in Argentina. Brazil. it was incorporated on October 31.com. while it was forced to pull out of Germany and South Korea when ventures there were unsuccessful. Wal-Mart's investments outside North America have had mixed results: its operations in South America and China are highly successful. Wal-Mart is the largest grocery retailer in the United States. Canada. Wal-Mart operates in Mexico as Walmex.CEO-H.S. It is the largest private employer in the world and the third-largest utility or commercial employer.1962 in Rogers. and listed on the New York Stock Exchange in 1972. and Puerto Rico. Arkansas Key peoples.com Wal-Mart Stores.www. Sam's Club.INTRODUCTION OF ONLINE SHOPPING WEB PORTALS ONLINE STORE WAL-MART Founded. discount department stores.Bentonville. is an American public corporation that runs a chain of large.Lee Scott. Neighborhood market Employees – approximate 21. www. 00. and in Japan as Seiyu. 1969. It is the world's largest public corporation by revenue. Chairman of the Executive committee of Board. 17 . Arkansas Founder – Sam Walton Headquarter. Discount stores.walmartstores. and the Indian Railways. It also owns and operates the North American company. Founded by Sam Walton in 1962.

1940. a businessman from Arkansas. began his retail career when he started work on June 3. and alleged sexism. Sam Walton.C. Iowa where he remained for 18 months. The building is now occupied by a hardware store and a pawn shop. Oklahoma. Arkansas. In 1968. grassroots organizations. History Sam Walton's original Walton's Five and Dime store in Bentonville. in Rogers. Arkansas. Arkansas. at a J. Conversely. he met Butler Brothers. Walton opened the first Wal-Mart Discount City store located at 719 Walnut Ave. women's rights groups. Missouri and Claremore. the company expanded to 24 stores across Arkansas and reached $12. In 1945. now serving as the Wal-Mart Visitor's Center. resistance to union representation. 18 .6 million in sales. a regional retailer that owned a chain of variety stores called Ben Franklin and that offered him one in Newport. On July 2. others point out that Wal-Mart's rapid growth and logistical efficiency has enabled it to bring lower prices to consumers and more jobs and new small businesses to the communities in which it operates. 1962.Wal-Mart has been criticized by some community groups. specifically for its extensive foreign product sourcing. it opened its first stores outside Arkansas. Within five years. low rates of employee health insurance enrollment. and labour unions. in Sikeston. Penney store in Des Moines.

[ This year also marked the completion of the company's satellite network. and our reason for being. our strengths. Sam Walton stepped down as CEO and was replaced by David Glass. we save people money. Wal-Mart continued to grow rapidly. it was the largest private satellite network. Walton remained as Chairman of the Board. so they can live better. That’s good news – in any language. It’s what makes us one of the world's most-admired companies. and by its 25th anniversary in 1987 there were 1. Incorporation and growth:In the 1980s.800 Wal-Mart stores and Sam’s Club locations in 16 markets worldwide employ more than 2 million associates. it’s our special way of doing business. Starting with Sam’s 3 Basic Beliefs. over 7. Our Operations Today.000 associates. Our Culture What is “Culture?” It’s how we treat each other.9 billion and 200. All around the world. Our Principles Our founder Sam Walton gave our company a sense of honor and a set of values that are still very important to us. allowing the corporate office to track inventory and sales and to instantly communicate to stores.198 stores with sales of $15. At the time. 19 . and serve more than 100 million customers per year. a $24 million investment linking all operating units of the company with its Bentonville office via two-way voice and data transmission and one-way video communication. and the company also rearranged other people in senior positions. here’s what makes us proud to be part of the Wal-Mart family. In 1988. Find out what we're passionate about.About Wal-MartOur Purpose We save people money so they can live better.

2008. who question whether the new logo is as bold as competitors such as the Target bulls eye or as instantly recognizable as the former company logo. Inc. 2008. The new logo will eventually replace store logos at the company's US locations throughout the year.Recent initiatives In June 30. Wal-Mart Stores. there are 886 stores offering a pleasant and convenient shopping experience across the United States. walmartstores. which was used for 18 years. The new logo made its debut on the company's walmart. Wal-Mart Discount Stores Sam Walton opened his first Wal-Mart discount store in 1962. although the old logo still appears on the corporate site. as it is referred to on store advertisements. Each store employs about 225 associates. The size of an average store is 107.com website on July 1. featuring the nonhyphenated name "Wal-Mart" followed by a stylized spark. Our stores feature wide.000 square feet.com. The new logo received mixed reviews from some design critics. value-priced general merchandise. Today. Wal-Mart international have not yet adopted the new logo. clean. brightly-lit aisles and shelves stocked with a variety of quality. including: Family apparel Health and beauty aids Electronics Toys Jewelry Automotive products Home furnishings Hardware Sporting goods House wares Wal-Mart Supercenters 20 . Wal-Mart unveiled a new company logo.

even freshly baked breads and a wide assortment of wines. Supercenters average 187. We save you time and money by combining a full grocery and our general merchandise under one roof.000 square feet and employ about 350 or more associates. restaurant-quality prepared meals and their everyday favorite national brands . customers can shop for a variety of fresh ingredients. 'What's for dinner? 21 . In our stores.622 Supercenters nationwide. There are 2. Supercenter groceries feature: Bakery goods Meat and dairy products Fresh produce Dry goods and staples Beverages Vision centers Tire & Lube Expresses Brand-name fast food restaurants Deli foods Frozen foods Canned and packaged goods Condiments and spices Household supplies Health clinics Employment Agencies Hair salons Marketside Opened in 2008. delicious meals at great prices.Our Supercenters were developed in 1988 to meet the growing demand for convenient. Marketside stores are small community pilot grocery stores specializing in fresh. We provide a fresh and convenient shopping experience for busy people who want an easy answer to the question. and most are open 24 hours. onestop family shopping featuring our famous Every Day Low Prices.

Marketside offerings include: • • • • • • ENTRÉES AND SIDES inspired by classically trained chefs and ready to serve in minutes.000 square feet. and general merchandise all at our famous Every Day Low Prices. Neighborhood Markets feature a wide variety of products. to 10 p. there are now 150 Neighborhood Markets. including: Fresh produce Meat and dairy products Frozen foods Dry goods and staples Health and beauty aids Stationery and paper goods Drive-through pharmacies Deli foods Bakery items Canned and packaged goods Condiments and spices Pet supplies Household supplies One-hour photo centers Walmart. More than 300 NATURAL AND ORGANIC products throughout the entire store.m. pharmaceuticals. Each of their stores is open from 7 a. meats and flowers for GUARANTEED FRESHNESS.Market side is a new chain of grocery stores opened in October 2008. roasted chickens. Daily deliveries of fresh produce. soups and breads that are fresh out of our oven.com 22 . with over 200 under $10. each employing about 95 associates? A typical store is about 42.* Plus. low prices! Wal-Mart Neighborhood Markets Neighborhood Markets offer a quick and convenient shopping experience for customers who need groceries.m. First opened in 1998. all the GROCERY BRANDS you want at low. as stated in the backgrounder found on Wal-Mart's official homepage. A vast assortment of wines. An assortment of HOT FOODS like pizzas. the stores are said to be less than half the size of a conventional supermarket.

great merchandise selection. But Wal-Mart or as it Indians pronounce it. plus easy-to-use music downloads and digital one-hour photo services. Walmart. Wal-Mart.000. I've never spoken with a shop keeper that has been displaced. they should consider something similar in India sooner than later..Founded in 2000. During the holidays. friendly service and Every Day Low Prices of your neighborhood Wal-Mart to the Internet. That doesn't really matter.com features more than 1. we’re adding more great products every day. Wal-Mart is slowly changing their tune in the U. Wal-mart in India- Wal-Mart ran into a little trouble with it planed to expand into India earlier this year.000 products. 23 . I don't know if Wal-Mart really does this.com brings the convenience.S. With our innovative “Site to Store” program. which is expected to double in size by 2015. you can purchase items at Walmart. And. found a partner to further explore the possibilities with. Walmart.com and then have them shipped free to your local store for pickup. Wal-Mart is partnering with Bharti Enterprises in order to become a player in the Indian market. Walmart. It’s also a convenient place to find out about our exciting in-store holiday specials.com features many special offers available only online. India has tough Foreign Direct Investment regulations (FDI) preventing companies from moving into India directly. India is already one of Wal-Mart's biggest sources of product. If your an advertiser it means that you have to figure out a way for Wal-Mart not to be hated by the small stores that it is going to displace. because the perception exists.

As a wholesale cash-and-carry business. Wal-Mart will continue to work with and develop local suppliers and create local beneficiaries along the supply chain. Under the agreement. for wholesale cash-and-carry and back-end supply chain management operations in India. stationery.000.000 square feet and sell a wide range of fruits and vegetables. manufacturers and farmers• Business-to-business wholesale cash-and-carry joint venture to set up world-class modern supply chain and back-end logistics infrastructure Driving efficiencies across the supply chain will help minimize wastage and provide • small retailers quality merchandise at competitive wholesale prices New Delhi. Wal-Mart announced an agreement with Bharti Enterprises to establish a joint venture. Wal-Mart is one of the top two sourcing retail companies from India. a joint venture for wholesale cash-and-carry and back-end supply chain management operations in India.In August 2007. The Bharti Wal-Mart business-to-business (B2B) wholesale cash-and-carry joint venture will serve kirana stores. groceries and staples. in line with Government of India guidelines. restaurants and other business 24 . available in our Featured Video section on the right side of this page. Bharti Wal-Mart Private Limited. Bharti Enterprises and Wal-Mart join hands in wholesale cash-and-carry to serve small retailers. Over the next seven years. consumer durables and other general merchandise items. Bharti and Wal-Mart will hold a 50:50 stake in Bharti Wal-Mart Private Limited. August 6. Inc. Wholesale cash-and-carry operations provide small retailers and business owners a wide range of quality products at competitive wholesale prices that help them enhance their businesses and profitability. clothing. footwear. Learn more about Indian suppliers who have transformed their business through working with Wal-Mart in segments produced by CNBC TV-18. fruit and vegetable resellers. A typical facility will stand between 50.000 and 100. 2007: Bharti Enterprises and Wal-Mart Stores. today announced that they have signed an agreement to establish Bharti Wal-Mart Private Limited. often helping small and medium sized enterprises transform into exporters with access to global markets over time. the venture is expected to open 10 to 15 wholesale cash-and-carry facilities and employ approximately 5.

Bharti Enterprises. in Bharti. the venture is expected to open 10 to 15 wholesale cash-and-carry facilities and employ approximately 5. consumer durables and other general merchandise items.” said Sunil Bharti Mittal.owners. said. 25 . “We are delighted that. we have a well-respected partner who has a deep understanding of the local market. and fuel management systems. The venture will support farmers and small manufacturers who have limited infrastructure and distribution strength. This venture promises to bring great value to millions of farmers. particularly of fresh foods and vegetables. bringing Wal-Mart’s global best practices in such areas as just-in-time inventory.000 and 100. cold chain infrastructure. “We are delighted to partner with Wal-Mart for wholesale cash-and-carry and back-end supply chain management operations in India. Chairman and Group CEO. We are pleased to be a partner in developing this sector which is set to become a significant engine of India’s economic growth. small manufacturers and retailers. It also will serve other retailers such as Bharti Retail. artisans. we will help drive efficiencies across the supply chain and work towards the betterment of India’s farmers. Bharti Wal-Mart Private Limited will bring modern supply chain and back-end logistics expertise to India. which is setting up a chain of stores in India that are 100 percent owned and operated by Bharti. groceries and staples. A typical facility will stand between 50. Through our wholesale cash-and-carry joint venture. stationery. thereby maximizing value for farmers and manufacturers on the one end and retailers. in line with our global vision of saving people money so they can live better.000. This will link farmers and small manufacturers directly to retailers. GPS for truck and trailer tracking.” The first wholesale cash-and-carry facility is targeted to open by the end of next year. retail information systems. Vice Chairman.000 square feet and sell a wide range of fruits and vegetables. The wholesale cash-and-carry venture will invest in setting up an efficient supply chain.” Mike Duke. consumers on the other. footwear. clothing. Inc. “Wal-Mart's global expertise in supply chain and logistics will bring enhanced efficiencies across the retail ecosystem. We would also like to leverage our global scale to transform some of these suppliers into exporters with access to our global markets over time. Over the next seven years. and in turn. small manufacturers and retailers across India. Wal-Mart Stores. and the supply chain will enable minimum wastage.

broadband and enterprise services. “We source local products from local suppliers that appeal to local tastes. 26 . and more choice at better prices. a group company.with AXA. agribusiness. Managing Director. who will oversee the India joint venture. is one of India’s leading private sector providers of telecommunications services with an aggregate of 44. Bharti also has a joint venture .In addition. – ‘Field Fresh Foods Pvt. It is our hope that big and small retailers and businesses will be our customers.‘Bharti AXA Life Insurance Company Ltd. insurance and retail. our endeavor is to work with and develop local suppliers and create local beneficiaries along the supply chain. Bharti Enterprises’ 100% subsidiary Bharti Retail.” “One of the key reasons for Wal-Mart’s international success is the fact that in every location where we operate. Ltd. Bharti Enterprises said. Country President for Wal-Mart's operations in India. across the country and ultimately benefit the entire retail ecosystem through better quality.’ . Ltd’ . fixed line. that will own and manage the retail stores. needs and fashions. Bharti Teletech is the country’s largest manufacturer and exporter of telephone terminals. Bharti has recently forayed into the retail business under a company called Bharti Retail Pvt. Bharti has been a pioneering force in the telecom sector with many firsts and innovations to its credit. both big and small. As a wholesale cash-and-carry business.” said Raj Jain.for global distribution of fresh fruits and vegetables. Bharti Airtel Limited.67 million customers as of end of June 2007 spanning mobile. This partnership is committed to bringing in world-class processes and technologies in the area of supply chain. Bharti has a joint venture with FFF India Ltd. Rajan Bharti Mittal. take advantage of the efficiencies we provide and derive significant benefits for their businesses.” About Bharti Enterprises:Bharti Enterprises is one of India’s leading business groups with interests in telecom. “Creating a strong back-end infrastructure will be one of the critical components in the development of modern retailing in India. logistics and cold chain that will be bring immense value to retailers. we are local. world leader in financial protection and wealth management. has entered into a franchise agreement with Wal-Mart which will provide technical support to Bharti Retail. Bharti Airtel was recently ranked amongst the best performing companies in the world in the Business Week IT 100 list 2007.

Bharti and Wal-Mart Stores Inc have also unveiled the initial retail plans for their joint venture• • Bharti . Wal-mart to get 3% royalty for their brand name [Unconfirmed] • • • • • • 27 .After signing the deal. Bharti-Wal-Mart to have Hyper marts and Neighbourhood stores [Just like the Reliance group] Bharti will very soon engage in talks with major real estate developers across India for store space.Wal-Mart to have equal stake in the company. Bharti has committed an immediate investment of $100 Million Bharti-Wal-Mart venture will start hiring for retail operations this week. Bharti group will lead and manage the front end operations. Wal-Mart will power the logistics and back end operations. First store to be opened on 15th of August 2007.

2008 New logo adopted by Wal-Mart Stores U. and other things.S. 1992 – 2008 The star was adopted as an update to the existing logo in early 1992. it was never used as building signage or in an annual report. in-store signing. 1968-1981 The Discount City mark was used in print advertising. 1981 – 1992 The logo was updated again in 1981." this was the first official and consistently used logo. on the uniforms/smocks.Wal-Mart Logo Timeline 1964 – 1981 Also known as the "Frontier Font Logo. However. 28 .

mypoints.chennaibazaar.fabmart.coolsavings.com www.rediffshopping.com www.com 29 .ebay.futurebazaar.indianpurchase.com www.com www.skumars.com www.americangreetings.indbazaar.com www.indiagifts.com www.com www.com www.com www.indiastores.bargainsbazaar.malamall.buy.com www.com www.com www.com www.ONLINE SHOPPING WEBSITES Some important online shopping websites.amazon.com www.com www.indiashop.com www.egreetings. www.com www.

interviews and online chats with leading Indian personalities. including e-commerce and mobile services. movies. USA. Bangalore. News content includes:  Current affairs and breaking news: Rediff provides breaking news focused on events of interest to Indians. Hyderabad and New York. Rediff. India with offices in New Delhi. Information and Content:Information and content channels currently include news.com additionally offers the Indian American community one of the oldest and largest Indian weekly newspapers.Rediff. Rediff. business. cricket/sports and several other topics of interest. USA. communication. free and paid community features and products.com provides a platform for Indians worldwide to connect with one another online. communication and content services. PRODUCT AND SERVICE OFFERINGS INDIA ONLINE BUSINESS:The Rediff. Rediff.com additionally offers the Indian American community one of the oldest and largest Indian weekly newspapers. Rediff.com is headquartered in Mumbai. Mission In The Internet Space:To provide world-class online consumer service offerings to Indians worldwide. Founded in 1996. India Abroad. Rediff. entertainment and shopping services. Hyderabad and New York.com is committed to offering a personalized and a secure surfing and shopping environment Rediff. India Abroad Founded in 1996.Shopping. information. Bangalore.com is headquartered in Mumbai.com ReviewCORPORATE PROFILE Rediff. including feature news stories. 30 . India with offices in New Delhi.com India website consists of information.com (NASDAQ: REDF) is one of the premier worldwide online providers of news. Chennai. Chennai.

 Rediffmail: Rediffmail is the flagship product of Rediff. price points. Message Boards. Business: This channel covers the happenings of corporate India. regular columns. It is one of the most popular web email service used by Indians worldwide. Drag & Drop facility to manage your folders and auto address completion. interviews with movie personalities. Rediffmail offers users a complete outlook desktop experience with features like unlimited storage. Rediff. Social Networking. Chat. stock market quotes and analysis. features.  Job Search is vertical search product which allows users to search for jobs across various job sites in India under several categories and locations in India.com provides a combination of free and paid community features and products to consumers and businesses. It supports eleven Indian languages and also comes with the integrated web-messenger allowing all Rediffmail users to chat in real-time with all their Rediff (Instant Messenger) users within their inbox. 31 . as well as personal portfolio tracker. feature stories. movie reviews and slide shows. The service covers more than 16 product categories under electronics and also covers Cars and Bikes as new categories.com. quick attachments of up to 10 MB.com is using world-class technology to drive community building. instant mail preview.  Community Features and Products. Mobile services. regular columns. Blogs. scores and schedules. feature stories and interviews. user ratings and check availability of the products in their city at local stores with complete contact details. online shopping and auctions.A key focus for Rediff. Through a single login facility.  Sports and Cricket: Provides coverage of Indian and global sporting news.  Rediff Product Search allows users to compare products across brands. Box office information. These include e-mail. There is indepth coverage of cricket news from India and around the globe.  Movies and Entertainment: For latest news and trends from Bollywood and Hollywood. with statistics. regular columns and feature stories. instant messaging. Search.

comAbout the Future Group Future Group. retail real estate development. group subsidiaries are present in consumer finance. is one of India’s leading business houses with multiple businesses spanning across the consumption space. 32 . leisure and entertainment. Rediff Auctions is an e-commerce platform. While retail forms the core business activity of Future Group. Led by its flagship enterprise. brand development. Rediff Books is one of the biggest online book stores offering users the biggest catalogue of books. as espoused in the group’s core value of 'Indianness'. Kishore Biyani. the largest retail trade association and the the Emerging Market Retailer of the Year 2007 at the World Retail Congress in Barcelona. the group operates over 11 million square feet of retail space in over 63 cities and towns and 65 rural locations across India. retail media and logistics. Internet banking. led by its founder and Group CEO. FutureBazaar. by the US-based National Retail Federation. Users can avail of a variety of payment options such as Cash on delivery (COD). which enables sellers to sell their products at dynamic prices based on supply and demand. credit card and cheques. 'Rewrite rules. capital. Mr. insurance. This gives buyers a chance to buy their desired products at competitive prices. Pantaloon Retail. Users can choose from over 2 million books or search for books from over 4000 authors. Retain values'. Pantaloon Retail was awarded the International Retailer of the Year .E-commerce Rediff Shopping is an online marketplace where users can purchase products and services from various merchants. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas.2007. The group's corporate credo is.

dispatching.000 products which create the flexibility to offer a large range of choices to customers. Core Competency of the business…what makes us different from others!  A choice of more than 20. We have been able to create some major popularity ripples with our corporate clients with products like mobiles. electronics.com has the benefit of leveraging the sourcing network of the Future Group’s retail chains. This sourcing network straddles a wide range of product requirements. right from stocking. Our back-end infrastructure enables us to service around 15000 pin codes across India. which allows us to get the latest in the range to our customers. We also have partnerships with most of the brands available in the country. As part of India’s largest retail chain.000 pin codes  Fast deliveries – tie ups with world leaders in logistics & transportation services  A dedicated Customer Care helpline for any queries  Always offering Manufacturer’s guarantee as opposed to Seller’s guarantee. Gift Vouchers and so on. 33 . India’s largest retail conglomerate.FutureBazaar.  Seamless end-to-end Logistics Solution – We pride ourselves in having built an end-to-end logistics solution. we enjoy the benefits of buying in bulk for the entire group. thus being able to offer us economies of scale thereby . T-shirts. MP3 players. The company was incorporated in 2006 and began business in 2007. (FBIL). which most of the other online shopping sites offer  Aggressive Prices –FutureBazaar. and delivery confirmation upto post-sales support. FBIL is a part of the Future Group.unbelievable prices to it’s customers  Unmatched Selection of Products and Brands – We have more than 20. laptops. Our aim is to get you a great range of products at great prices.000 products  Delivery across more than 1500 cities and towns in India covering around 16. FBIL is the e-commerce arm of the Future Group.com is owned and operated by Future Bazaar India Ltd.

who can take decisions and resolve your problems. For the occasional delays. 34 . so all applicable products carry the original manufacturer’s warranty. In case you have received a different product. The invoice accompanying the product is your warranty document. In case they cannot solve the problem at their end. we will contact you and update you about the status. being part of India’s largest retail company with a presence all over India. your call is being taken seriously. Customers can visit any of the authorized service centers of the manufacturer if required. or if the product was damaged in transit. please let us know and and we will ensure that we replace the product or ensure that your money is refunded. They are empowered to solve your problems and are aware of the processes and means to handle them. Our office address is also available for any one who wishes to contact us in person. Guaranteed Delivery:Futurebazaar guarantees to deliver the exact product you selected. Secure Payments:We are committed to ensuring that no payment misuse happens. and the chances of fraud in these channels are actually very low. Payments are protected both by us and by the policies of your bank. so please preserve it.The FutureBazaar. they will trigger the required action on your behalf or advise you the best possible method to a successful fulfillment of all your queries/issues.com PromiseManufacturer’s warranties on all products FutureBazaar sells only original products from authorized dealers. so we work with banks and payment gateways to ensure that your information is protected. Moreover. Please note that delivery times vary according to products. we are omnipresent! Prompt Customer Support Our Customer Care is manned by dedicated personnel. Be assured that when you call us. We also have a Risk Management team that scrutinises all payments to ensure that there are no fraudulent transactions. without defects. 95% of our deliveries take place within the committed time period.

It also provides international shipping to certain countries for some of its products. etc. a name quickly abandoned for sounding like "cadaver". and Japan. On January 15. and came third in overall retail rankings. Washington. furniture. Inc.Amazon. video games. in 1994 and launched it online in 1995. his effort to fend off regret for not staking a claim in the Internet gold rush. A9. Germany. music CDs and MP3s.Jeffery p. Jeff Bezos founded Amazon.com. DVD. with nearly three times the internet sales revenue of runner up Staples.Bezos (CEO) Headquarter –USA Area served-Worldwide Industry-Retail (Amazon. France. a survey published by Verdict Research found that Amazon was the UK's favorite music and video retailer. Inc. While company lore says Bezos wrote the business plan while he and his wife drove from New York to Seattle.com) Advertising –Web banners and video Amazon. toys.com Founded -1994 Founder.com. It started as an on-line bookstore but soon diversified to product lines of VHS. food. Bezos 35 . electronics.000 titles. China. the United Kingdom. computer software. apparel. spurred by what Bezos called "regret minimization framework". It is America's largest online retailer. while the largest brick-and-mortar bookstores and mail-order catalogs for books might offer 200.com. Inc. an on-line bookstore could offer more.com". Amazon was founded in 1994. 2009. Amazon has established separate websites in Canada. (NASDAQ: AMZN) is an American electronic commerce (e-commerce) company in Seattle. The company began as an online bookstore named "Cadabra.

beauty products. Amazon's logotype is an arrow leading from A to Z. The company remains profitable: 2003 net income was $35. Amazon's "slow" growth provoked stockholder complaints: that the company was not reaching profitability fast enough. and more. sporting goods. wallpaper.amazon. Amazon's initial business plan was unusual: the company did not expect a profit for four to five years. Product lines:Amazon has steadily branched into retail sales of music CDs. Amazon grew steadily in the late 1990s while other Internet companies grew blindingly fast. and jewelry 36 . lawn and garden items. its own Web auctions service. $359 Amazon has announced plans to move its headquarters to the South Lake Union neighborhood of Seattle beginning in mid-2010. kitchen items. clothing.50 million in 2004. tools. $588. apparel. carpets. health and personal-care items. groceries. and many e-companies went out of business. the strategy was effective. footwear.3 million. The company launched Amazon. industrial & scientific supplies. videotapes and DVDs. jewelry. and a failed Sotheby's/Amazon partnership called sothebys.renamed the company "Amazon" after the world's biggest river. clothing. headgear. in March 1999. When the dot-com bubble burst. toys & games. Since 2000.com Auctions.com in November. software. The list of products registered for coverage by the trademark grew to include items such as paints. This move will consolidate all Seattle employees onto the new 11-building campus. musical instruments. However it failed to chip away at industry pioneer eBay's juggernaut growth. watches. baby products. representing customer satisfaction (as it forms a smile) and the goal to have every product in the alphabet. cleaning products. gourmet food. consumer electronics. with full occupancy by 2011. Amazon Auctions was followed by the launch of a fixed-price marketplace business called zShops in September 1999. hair accessories.

I further study whether the number of employees and chain membership affected the survival probability. and Internet use affected the survival probability and the change in the number of music stores between 1998 and 2002. Such comparison motivates sorting across market segments and reshapes the whole marketplace. I analyze how online purchases. and online sales of records have affected the entry and exit of brick and mortar music specialty retailers. broadband. 2. we provide empirical evidence on (1) the sorting of product quality between the online and offline segments. with the number of broadband providers at the zip code level.Abstract: Abhishek Malhotra University of Delhi. Abstract:Alejandro Zentner. I find that broadband connectedness increased the death rate of brick and mortar music stores and reduced their number. (2) the changes for retail outlets after the Internet came into place.Review of literature 1. 2007 Every new method of trade offers an opportunity for economic agents to compare its costs and benefits relative to the status quo. School of Management. 37 . file sharing. and with a database of the location of universities. New Delhi 2007 This paper uses phonebook records of music retailers in the United States for the years 1998 and 2002 to examine how Internet use. The Internet provides an excellent example: it introduces substantial search cost savings over brick and mortar retail stores but imposes new obstacles for sellers to convey quality.Department of Economics. I also find that the presence of a university led to a reduction in the number of music specialty stores in the zip code. and (3) how supporting industries such as professional grading and card manufacturing adapted to take advantage of the new market. By merging music store information with data on Internet activity and broadband connectedness at the Metropolitan Statistical Area (MSA) level. Using sports card trading as a case study.

Analysis of product differentiation yields no clear results. which means that the retailer pays only when a shopper clicks through to the product page of its website. Moreover. The extra cost that is associated with shoppers who first click through to the thirdparty websites makes them less attractive as customers than those who directly visit the retailer's online store. The second states that Internet retailers will differentiate to avoid intense price competition. 2005 Two conflicting predictions have emerged regarding the effect of low-cost information on price. School of Public Policy and Management. the retailer needs to decide dynamically whether or not to list on a third-party website. and thus varies over time. A retailer may sell its product not only through its online and bricks-and-mortar stores. the retailer has to pay a certain amount to such third parties in an actionbased payment scheme. but also through the websites of one or more third parties. The first states that all Internet retailers will charge the same low price for mass produced goods. 38 . 4. such as a cost-per-click (CPC) scheme. Mumbai. The structural properties of the optimal policy are discussed. payment is based solely on click-through. Business school. Abstract: Vipul Patel. Department of Management. we find similar average prices online and in physical stores and substantial price dispersion online. the CPC rate for a prominent placement is normally set by competitive bidding. and numerical examples are given to show the revenue impact of dynamic listing control. Therefore. The substantial premium charged by Amazon provides indirect evidence of product differentiation. Using data collected in April 1999 on the prices of 107 books in thirteen online and two physical bookstores. 2006 The problem studied in this paper is a predigestion of the decision faced by online retailers that advertise on publisher or comparison-shopping websites. Abstract: Ramayya Krishnan. Only a fraction of such clicks lead to actual sales. However. Under the CPC scheme.3.

Second. This finding suggests that after searching for an item through a shop bots and receiving the price information. prices on the Internet are not necessarily more flexible than prices in traditional brick-and-mortar stores. It includes more than 5 million daily price quotes downloaded from price comparison web sites in France. but smaller than the respective values reported for CPI data.and time-dependent factors. Finally. Internet prices in the EU countries do not change less often than online prices in the US. Germany. Surprisingly. price 39 . consumers will continue to look for detailed information about the online retailers by visiting their web sites. It compares price rigidities on the Internet and in traditional brick-and-mortar stores and provides a cross-country perspective. and Management Sciences . this study demonstrates the opposite result. which shows that on the one hand shop bots reduce the marginal benefit of searching additional online stores. Abstract: Operations. Therefore whether shop bots reduce consumer search depends on the cost of reducing per unit of risk. on the other hand they reduce the cost of search. Banque Central du Luxembourg 2006 This paper studies the behaviour of Internet prices. The following results emerge from our analysis. First. panel legit estimates suggest that the likelihood of observing a price change is a function of both state.5. That is.2007 Online price comparison agents (shop bots) allow consumers to instantaneously receive price and other information from many online retailers. Italy. This phenomenon raises such questions as "how do shop bots change consumers' search behavior?" and "do they reduce consumers' online search?" Conventional wisdom suggests that consumers are expected to search less because shop bots have displayed prices and other relative information from retailers on the search result page(s). Third. the average price change on the Internet is relatively large. there is substantial heterogeneity in the frequency of price change across shop types and product categories. Online consumer click stream data from ComScore Inc. Fourth. such as marginal search costs. The empirical finding is explained by an analytical model. Abstract: Patrick Lunnemann. 6. which is decided by a number of factors. the UK and the US. consumers are actually visiting more online retailer web sites after using shop bots. demonstrate that consumers are increasingly using shop bots to conduct search. and contrary to the recent findings for common CPI data. The data set covers a broad range of items typically sold over the Internet.

Keywords: Effects. implies an unambiguous welfare gain. Product Variety. Washington.in particular. Choice Compass Lexicon. Shelf. This paper finds the conditions under which more variety. 2006 Research on shelf effects in traditional grocery stores has shown that a product's absolute and relative shelf position may strongly affect consumer choices. we examine whether and how such shelf effects translate into a stores grocery context. A calibration to the market of books confirms the intuition that fixed costs . Welfare. We find that a product's choice probability increases when presented on the first screen or located near focal items especially when the latter are out-of-stock. 7. price and quality correlation. In this paper. Keywords: Fixed Costs. These primacy and proximity effects have a stronger impact on choice decisions when assortments are more difficult to evaluate and when a clear shelf organization facilitates the use of shelf-based choice heuristics. Abstract: Faculty of Business and Economics (FBE). DC. and consumers' relative preference for service quality. Electronic Commerce.dispersion and quality differentiation among stores. The problem with product variety is that more variety does not necessarily imply higher welfare.2008 8. Abstract: The impact of product variety on welfare has received little attention in the electronic commerce literature. if caused by lower fixed costs. Internet 40 . per-title fixed costs-are much lower at online stores than at conventional stores and that the welfare gains from electronic commerce are likely to be underestimated if one ignores changes in product variety. Dec.

OBJECTIVE OF THE STUDY “If you know where you are going. any road will take you there” Before the start of any research.e. To find out influence of online advertising on the buying behaviour of the customer. what we are going to study. • • • • • To check the consumer awareness & perception of online shopping in India. 41 . Impact of advertising on online shopping. Satisfaction level at various components of online shopping. To study sales promotional techniques to boast online shopping in India. it is very necessary to define the objective of the study i.

printed literature etc. SAMPLE SIZE • A sample of 100 people will be taken for the survey. purchasing power. RESEARCH INSTRUMENT • • A structured design questionnaire is used for surveying the consumers.RESEARCH METHODOLOGY MARKETING RESEARCH Marketing research covers the field of problems. This is done thru primary survey. It also tries to determine the contribution of other relevant factors such as habits. The literature review is a secondary data type. It studies their response pattern towards prize. promotion. Research design is used to describe the state of affairs. and other aspects of marketing and related decision-making and their implementation. The major type of information used is primary data. websites. Exploratory research includes survey and fact finding enquiries of different kinds. It studies an economic unit in respect of its various constituents such as consumers. Business persons. and loyalty towards specific brands and similar other marketing activities. Both open ended and close ended questions are included. Data Sources • • Both Secondary and Primary Sources of data will be used. The sources include books. buyers. techniques. and preference to decision making. Non-professional and Retired persons are included. as it exists at present. and sellers. consumers. SAMPLING METHOD 42 . • Further these are only the people based on whom analysis and interpretation is done. TYPES OF RESEARCH DESIGN • • • The research design adopted for this study is exploratory research design. periodicals. Professionals.

Process of collection & analysis of Data: After collecting the entire filled questionnaire the collected data will be transferred to a worksheet. Amritsar 43 . Schedule: Time frame for completion of the Project is 4months Sample unit. the data related to set objectives will then be classified and the findings will be graphically represented. • The study on the customer satisfaction level that can be obtained through well formatted & designed questionnaire that is mentioned in the subsequent chapter. have • Observing & studying the behavior of the customers & their demand towards the different products.• Random sampling method will be chosen to conduct the survey in which the samples are selected randomly.Jalandhar. Methodology: • The study will be conducted by Personal Interview with the customers who interest in shopping.

can identify the number of times a customer is likely to shop in a month’s time. By analysing the responses to this question.DATA ANALYSIS AND INTERPRETATION 1. the researchers. 44 . This question is aimed at understanding how frequently consumers visit shops and buy their products or avail of their services. of respondent 7 25 55 5 8 INTERPRETATION. we.Of the consumers approached. 100 people agreed to fill in the questionnaire and this specific question. as well as companies. How often you go for shopping Response Daily Once a week Once a month Fortnightly Quarterly No. The frequency points laid before the respondent have been the result of observation and interview.

. 2. of respondent 45 55 INTERPRETATIONOf the consumers approached. 100 people agreed to fill in the questionnaire and this specific question. 45 .The survey indicate that most of respondent make the purchase through offline. This question is aimed at analyzing the preferences of consumers purchase behaviour. How do you make a purchase? Response Online Offline No.

The reason behind is that they believe in the offline shopping.3. In online shopping. of Respondent 5 15 25 10 45 INTERPRETATIONOf the consumers approached. Rate of preference towards online shopping Response Very interested Interested Average Least interested Not interested No. 46 . This question is aimed at analyzing the preferences of consumers purchase behaviour. The survey indicates that the maximum respondent were not interested in online shopping. only those were interested who have no time for offline purchase. 100 people agreed to fill in the questionnaire and this specific question.

4. of respondent 20 10 5 15 0 5 INTERPRETATIONThe survey depicts that the consumers are mostly quality and brand conscious. 5. Do you have own credit card 47 . The promotional advertisements also affect there buying behaviour. Most of the respondents were get to know about online shopping from Friends. From where you get to know about online shopping Response Friends Internet Magazines Advertisement Newspaper Online Search No. internet and advertisement of the online portals.

Why do you prefer online shopping 48 . 6. 55 people agreed to fill in the questionnaire and this specific question. of Respondent 55 0 Interpretation Of the consumers approached. This question is aimed to know about consumer have own credit card.Response Yes No No. Most of the people which I have surveyed who were purchasing the goods through online have their own credit card.

of respondent 7 30 4 4 0 INTERPRETATIONOut of 45 respondents. 7. Are you aware about online shopping portals Response Yes No No. of respondent 45 0 49 . most of the respondent said that the big advantage of online shopping is time saving process and providing the variety of the products.Response Convenient Time saving Less costly Security Any other No.

Awareness of various online Portals Response Rediffshopping. of respondent 17 17 0 6 0 .com Amazon.com Malamaal. 8. The highest number of responses has been attributed to online shopping portals.com 50 No. Online shopping attracts people of many income groups.com eBay. and offers products that appeal to a wide array of consumers.INTERPRETATIONThis question is aimed at analyzing the awareness of consumers among the different online shopping portals.com Futurebazaar.

This question is aimed at analyzing the preferences of consumers among the different online shopping portals. only 45 people agreed to fill in the questionnaire and this specific question. and offers products that appeal to a wide array of consumers. The highest number of responses has been attributed to Rediffshopping. of respondent 19 4 6 0 0 .com/Amazon. 9.Wal-mart Others 0 5 Interpretation Of the consumers approached.com. They attract people of many income groups.com/eBay. What type of products you purchase through online shopping Response Electronics goods Gifts Home goods Cosmetics Clothes and accessories 51 No.

10. The high number of responses indicate that a large number of consumers visit online portal for Electronics goods/Home goods/gifts. This question is aimed at identifying the products consumers shop online.Others 16 Interpretation Of the consumers approached. Do you think that online shopping is secure in terms of online payment Response Strongly Agree Agree Neutral 52 No. of respondent 0 20 15 . only 45 people agreed to fill in the questionnaire and this specific question.

This helps to understand the current consumer perception of the security of online payment identified and the corresponding satisfaction levels.Disagree Strongly disagree 10 0 Interpretation Of the consumers approached. of respondent 10 8 20 7 0 . 11. There are also quite a few respondents who were strongly satisfied with the security of online payment. Rate the payment preference Response Debit Card Credit card Cash on Delivery Cheque SMS Billing 53 No. This question is aimed at understanding the satisfaction level of the consumers in terms of online payment. 45 people agreed to fill in the questionnaire and this specific question.

This indicates that although most consumers were satisfied with the delivery of the product. This question is aimed at understanding the payment preference of the consumer in online shopping. of Respondents 23 22 0 . 12. 45 people agreed to fill in the questionnaire and this specific question. Are the products purchases through online shopping as per the methodology of ‘What you see is what you get’ (WYSWYG)? Response Yes No Can’t Say 54 No.Postal money order 0 Interpretation Of the consumers approached.

of respondent 0 10 23 . By analysing the responses to this question some were said satisfied and vice versa with the online purchase methodology ‘What you see is what you get’ (WYSWYG)? 13. The preference points laid before the respondent have been the result of observation and interview. This question is aimed at understanding what elements attract the consumer the most. Response Excellent Good Average 55 No.Interpretation Of the consumers approached. 45 people agreed to fill in the questionnaire and this specific question. How do you rate the after sale support of the shopping portals from whom you purchase the product.

So most of the consumer were satisfied with the after sale support of the various shopping portals but some were not satisfied with after sale support. of respondent 35 7 3 56 . 14. 45 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding. Are you satisfied with mode of payment for online shopping Response Yes No Can’t say No. after sale support of shopping portals to the consumer the most.Bad Extremely bad 7 5 Interpretation Of the consumers approached.

of respondent 0 32 10 3 .INTERPRETATION: Out of the different people I have surveyed most of the respondents were of the opinion that they were satisfied with mode of online shopping payment. And some respondent were said that they were not satisfied and some were have no opinion. Rate the following portals of online shopping as per the performance Response Highly satisfied Satisfied Neutral Dissatisfied 57 No. 15.

of respondent 27 18 Response Yes No 58 . This question is aimed at analyzing the preferences of consumers purchase behaviour towards the performance of shopping portals. 16. 45 people agreed to fill in the questionnaire and this specific question. Out of 45 consumers 32 respondents were satisfied with the performance of online shopping portals and 3 percent were dissatisfied with online shopping portal’s performance.Highly dissatisfied 0 INTERPRETATION:Of the consumers approached. Do you recommend to your friends for online shopping No.

FINDINGS In the surveys. Here. interviews and study conducted above. we present the findings gathered and the suggestions we offer to companies based on the data gathered and analyzed. we came across many factors that influence the consumers’ perception of a store and their subsequent shopping and buying decisions. most of respondent said that they would be recommended other to go for online shopping because online shopping is the time saving process and some respondent said that they would not be recommended other to go for online shopping .INTERPRETATION:Out of 45 respondent. 59 .

com/Amazon. Most of the respondent who make the purchase through online. The highest number of responses has been attributed to offline purchase. The reason behind is that they believe in the offline shopping. The age groups were identified as key factors impacting shopping and purchase decisions of consumers • The highest responses have been attributed to once a month shopping. All of the people which I have surveyed who were purchasing the goods through online have their own credit card.com.Respondents were asked to choose among five age group categories. The highest number of response has been attributed to rediffshopping. The survey indicates that the maximum respondent were not interested in online shopping. Most of the respondent said that the big advantage of online shopping is time saving process and providing the variety of the products..com/eBay. 30-45. • • • • • The high number of responses indicate that a large number of consumers visit online portal for Electronics goods/Home goods/gifts. internet and advertisement of the online portals. and above 60 years. they were prefer to make the payment on the delivery of the product. and offers products that appeal to a wide array of consumers. The highest number of responses has been attributed to online shopping portals. 45-60. only 45 consumers were interested because they have no time for offline purchase. viz. • • 60 . • Most of the respondents that I have been surveyed were spend on shopping in between 1000 to 6000. It can be deduced that consumers who shop only once a month look to buy groceries and other essentials to last them a month. 18-30. There are also quite a few respondents who were strongly satisfied with the security of online payment. They attract people of many income groups. • • • Most of the respondents were get to know about online shopping from Friends. In online shopping.

61 . Most the people who make the purchase through online were satisfied with the mode of payment. This might be effect the final result. Online shopping is the time saving process so most of the respondent said that they would be recommended other to go for online shopping. • • • LIMITATION OF THE STUDY And necessary data to complete the project may not gather in proper manner. The limitations which we observe were as follows: • With respect to actual population the sample size was too small.• Most of the consumer were satisfied with the after sale support of the various shopping portals but some were not satisfied with after sale support. As per the demographic distribution of sample size used in my research project I h have to come a conclusion that the awareness of online shopping is mostly falls in age group of 18-35 yrs which affects the people perception towards the online shopping is same as the dependent factor of the respondent.

Some customer’s problems don’t lead to valid research conclusion.• Since the responses were only from some part of Jalandhar. The time limit for the research was small to collect adequate information for inference for the consumer buying behavior. Respondents may have given bias information. • • • • In the fast changing world the data collected soon become historic and research findings based on them irrelevant. 62 . SUGGESTIONS AND RECOMMENDATION • Providing quality service at affordable prices and having different types of products for different income customers is another advantage. the report cannot be generalized for whole Jalandhar.

Even though online shopping has several disadvantages. So various online shopping portals has to provide the security on payment procedure. • Delay in delivery and lower quality leads to dissatisfaction of customers. Conclusion Online shopping is a different experience and you can make the shopping creative over the internet as you get used to it.• Online portals have endorsed very famous personalities which has attracted a lot of customers. quality and sales strategy has helped in getting the middle income groups getting attracted towards online shopping. There can be lot of apprehensions about online shopping when you 63 . online portals has had a huge impact on the middle class section of India. the prices. the advantages outnumber the disadvantages and thus more and more people started buying online. you have to take additional care about your credit cards so that to protect from unauthorized usage. This has resulted in increase of sale and the outdoor advertising techniques have also helped the online portals. Due to factors mentioned above online shoppers are not always satisfied. • Yet another concern is about online security. • People are loyal towards brand as they are highly satisfied with the quality and they have an assurance from the brand for their continued supply of quality products. this is not a positive for the shopping portals. If you are shopping online. • Considering the fact that there are a lot middle class families in India. • Online shopping lacks the real world shopping experience that we get shopping with relatives and friends offline.

all people which I have surveyed were interested in shopping but. On the basis of survey the major drawback of the online shopping is lack of the security in the shopping payment through credit/Debit card. My survey indicates that the maximum consumer make the purchase offline because of the lack of awareness towards online shopping and shopping portals.The images of the product are mostly inflated which affects the perception of consumers towards online shopping. Most of the people preferred online shopping because it is a time saving process. Remember that if you stick to the basics.get in to it for the first time. In the conclusion part of my project. As you experience more and more of it those apprehensions get disappeared slowly. . most of the people were having preference to shop offline and very few were interested to go online for shopping. WYSWYG (what you see is what you get)approach is not being followed whole heartedly by online web portal as most of the people opined that the product purchase through online portals differs significantly from its original form . online shopping become more enjoyable and easier than real-world shopping. 64 .

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