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Substantial evidences prove that addressing such issues can directly cut cost and save money. As such, these can evaluate the application of management theory and how company are putting those in practices specifically those that can have impact on the company‟s reputation. 1) Corporate Social Responsibility (CSR) The corporate social responsibility concerns the social environment and a changed social contract. Many argued that organizations must consider the societal impact of their decisions and actions. Furthermore, the organizations must act to protect and improve the welfare of the general public. The organizations must aim not only on organizational effectiveness but on existence to address the needs of society (, 2003, ). According to (1985), the social contract follows the obligation between the organization and the individuals, groups and other organizations, government and the society as a whole. These are set of written and unwritten rules and assumptions in a corporate manner. Such obligations discuss behaviour patterns among various elements of society. The obligation to individual includes equitable wages, salaries and remuneration packages and suitable working conditions. In return of these obligations, the duties and responsibilities must be carried-out by the employees. The obligations to groups and other organizations require the company to compete within acceptable means. In effect, the competition must be carried-out with respect to mutual rights and obligations of trading partners and other businesses and companies. The most notable feature of governmental obligations of organizations is the existence of mutually beneficial exchange evident through tax payments and implementation of health and safety standards. Societal obligations deals with law-abiding activities of the organization like the consumer group (, 1985, ). The underlying issues, however, are the changing values of government, business, education, religion, work force and society. Over the past 50 years, the government tended to get more powerful, more oppressive and more righteous. Many social ills are needed to be rectified and be improved upon. Businesses do have responsibility to society and likewise the society has some responsibilities to the corporate world. These obligations include: setting clear and consistent rules, keeping economically- and technically-feasible rules, making proactive rules and striving at goal-setting rules (as cited in ., 1989, ). If the government will honestly implement and adhered to by the government and industries, there might be a possibility of a much effective relationsh ip. As to all of this are „considerable talk and lip service‟, the cooperation between business and government will be a big challenge. The continuous foreign and domestic takeovers, imbalance between export and import, the high value of dollar and inflation changes the pace of the business sector and it affects the consumer behaviour and the society. However, it can be minimize through involvement of the worker-business to hep increase productivity.
2) Business Ethics Some major corporation faced scandals and unethical acts which lead to public distrust in one time or another. 2003). The stakeholders demand on businesses to grant their desires more than what they really need and deserve perceives the society‟s need and demands from the business sector. social concepts and values and how business works reached the bottom level in recent years. 1989). Some universities and educational institutions are somewhat neglecting their purpose of educating the minds of the people. Descriptive business ethics. managers. the work ethic and ethical-moral standards are not prospering under religious principles. decisions. In business context and practices. (1989. As such. However. “Labor will be more demanding upon management in the future without a large influx and unless industry is able to expand rapidly”. ). Through judicial rulings. other areas such as morals. It is learning about real occurrences in business organizations. Aside from this. usefulness and consistency of ethics (. ). In an organization. practices and values. the normative business ethics deal with establishing ethical from unethical. 2003. actions. The word ethics means character or customs. 2003). 2003. industry. Ethical behaviour deals with the morally-acceptable and commonly-held values which are consistent to personal perception of values. Aside from this. Immediate changes over a relatively short period will do no good to the company and eventually to the society (. many would question the rightfulness of different acts such as: Is it ethical to do personal business on company time? Is it unethical to ask someone to do a certain job that might not be good for their career progress? (. and specific industries regarding behaviour. ).. So that the prevalence of a particular practice of a certain organization that is perceived to be true and acceptable by other organizations won‟t be justified rather be corrected. Thus. The government are not realizing the impact of this on business and societal processes. is the comparison and contrasts of different moral codes. societal and international levels (. policies and practices (. geography classics and government are poorly integrated in the educational systems. other organizations are concern with the greater specificity. said . The distinction between the two perspectives must be clarified once and for all. systems. . It is divided into two as normative business ethics and descriptive business ethics. questionable deeds of organizations will be addressed on individual.The knowledge in history. beliefs. A growing misconception is the difference of the two. He relates that the rapid growth of the 20 -44-year-od age groups and the small growth of the population in the 1-9-year-old bracket will create serious managerial problems 10 to 20 years. organizational. It concerns with “what ought to be” and “what ought not to be”. the organization‟s codes and by -laws must convey moral integrity and values in serving the public to avoid misgivings and scepticism. we can define business ethics as perception of right or wrong in the behaviour and practices of the business. in contrast.
2004). is the study of the allocation and exercise of such authority (. 3) the commitment of time and resources of investors in monitoring the affairs of the organization. then. What is the sense of putting ethical components on standard curriculum? What is the theoretical extent in comparison to business reality of such teachings would be? The impact of such observation points toward the relative interconnection between business schools. such as: 1) the management efficiency means having enough courage to take risks. 2007). is the extent of authority-intervention on managerial matters and how it can affect the prevalent activities of firms and organizations. and 4) the reliability and accuracy of information-needs by the investors/shareholders (as cited in . ). corporate governance. 2004). Since the term governance implies the exercise of authority. The challenge. If not. 3) Corporate Governance The concepts of firm and the interests it govern contribute to the understanding of the issues faced by the corporate governance. The primary goal of the organization as a whole is somewhat overlooked the more as the location of authority is becoming more blurry. but the choice on what they ought to do (2007) lies in the hands of the company and employees. There is an urgent need of a workplace revival and education and training in ethics and professionalism is the key. according to Blair. The challenge herein is the approach to disseminate the information about codes and to avoid concentration in a certain management level. the result would be clogging on “continuous professional development. The ability to impart morality and inculcate virtue to future mangers is their job. including and ten . 2006). The CEO and the senior management must consider the ethical dilemmas in the workplace. business ethics can be taught and learned. business ethics is viewed by many. business theories and business realities. . In reality. In ‟s point of view. 2) the control-rights of shareholders with large total of shares has a power that must be restrained. A well-written and well-communicated acceptable code can help but it is impossible to regulate non-existence of unethical behaviour. as “sentimental common sense or a set of excuses for being unpleasant. The power and position of both parties must be guarded to avoid abuse and taking unfair advantages over one another. 2007).Another management challenge is the „teachability‟ of business ethics and the „learnability‟ of the employees in accordance with their personal perception and values regarding business ethics. at best window dressing and at worst a calculated lie” (as cited in . Another issue to deal with is the dispersed structure of organizational ownership (. make strategic decisions and take advantage of investment opportunities and the management cannot submit every decision to shareholders affirmation. The separation of the equity holder and the management creates problems. by and large. It must be from top to bottom. According to . business institutions “cannot taught students something as fundamental as moral principles and ethical values as a kind of professional add-ons” (2006). The bottom line is there is no legal requirement to behave ethically (. an open workplace culture and a clear and explicit code” (. 2004.
It is oftenly viewed as a movement.and transition-management ( and . The issues confronting the management are employer behaviour and the lives of employees before. strengthening of workplace learning and helping employees to have a better change. corporate governance is practiced within individual companies and its focus is normally internal (. is to determine such elements which affect the efficiency and quality of work life of the employees. A more balanced and responsive corporate governance system will eventually be the challenge. Broadly speaking. 4) Quality of Work Life and Quality Circles The quality of work life (QWL) is essential for continuous attraction of future employees and retention of current employees. strong internal governance practices and independent auditors who are neutral and objective-driven (. ). The consequence to be faced by the management is the incorporation of QWL in policies. and (1993) define QWL as the workplace strategies. Another aspect to explore regarding corporate governance is the implications of globalization. reward systems. 1998. Usually. 2006. points out that the critical aspect is the increasing potential damage once the company involved itself in the international economy (2002). The scale and scope of international business activities have significant effects on the international scene. Regardless of position or status in a company. many employees are experiencing dissatisfaction towards work. Since in a competitive environment. shareholders and board of directors. The QWL is a comprehensive company-wide program which aims at the improvement of employee satisfaction. the identification of elements of QWL may be organization. top management. 2002). It includes concerns of job security. Herewith. after and during work. the authorities must intervene according to their position and power if the management failed to respond to economic changes and challenges ( and . a set of organizational interventions and a type of work life by the employees. leadership style and operations. The small groups are consistently given advice and take decisions on immediate work . therefore. procedures. 2006. This conforms to the complexity of problems as it is very difficult to isolate and identify all aspects that contribute to affect the QWL. ). job sustainability. the management threat is the responsiveness taken by each. chief executive. The corporate governance deals with the role of financial performance. It promotes and maintains employee satisfaction. improve work conditions and organizational effectiveness. The creation of quality circles in shop-floor level involves the attempt to engage employees on collective quality improvement. training and career advancements opportunities and participation in decisionmaking ( and . ). QWL is a very dynamic and multidimensional concept. The readiness of such companies to engage in international economy might alter the prevalent cultures and practices of the company.The three elements that contribute to the efficiency and inefficiency of the corporate governance is the existence of strong public sector governance including a network of corporate law and securities legislation. The duty of the management.and context-specific. operations and environment. 2002).
procedures. Another thing to consider is the reflection of opinion of the group compared to the whole work force. encountered and the perceived vs. ). the informal discrimination deals with interpersonal dynamics and work atmosphere such as verbal and non-verbal harassments. the management must struggle at inculcating the sense of involvement among employees in decision-making. the employees realized that they really have little real influence on the organization. Another area of concern is the motivation scheme and its significant benefits directly to the employees of the organization. 1998. The nature of work is very mul tifaceted as it can be experienced in pre. 2001).during and post-levels of work. ). describes work discrimination as “unfair and negative treatment of workers or job applicants based on personal attributes that are irrelevant to job performance” (2001). salary deductions and job assignments. These dimensions transcends across all status. the situation is just a result of misconception/misperception. real and perceived discriminations. and . . In ideal. and argue that the effectiveness of such process is poorly carried-out. When. If this is the case. and etc. potential vs. the process appears as an instrument for manipulating the employee opinion (1998. . hostility and prejudice ( and . real. The neutral situation may be interpreted and misinterpreted as a discriminatory practice where in fact. firing promotion. In contrast. the distinction between the two is subjectivity and objectivity viewed from neutral terms (. Since the organizations are purely hierarchical and the principles are centralized. race. However. 1984). The idea is the how effective a small group in voicing their concern regarding the work and their environment. lack of respect. Some organizations thrive at grouping of employees who meet regularly to tackle improvements within the workforce of a certain organization (. informal. The former deals with actual discrimination in sexual orientation disclosures. Such issues regarding the quality work of life and quality circles may appear to be very broad but still they are waiting for recognition and immediate solutions. The comparison between perceived and real discriminations varies from perception of individuals. for example. 6) Transparency . The third dimension is derived from the concept occupational opportunity structures of (1980): the ideal. the employee will start to feel indifferent. gender. The framework of formal discrimination is based on institutional policies and decisions regarding hiring. The latter refers to encountered discriminatory practices. The second dimension involves the potential and encountered discriminations. 5) Workforce Treatment and Workforce Discrimination The work treatment and the work discrimination per se have three dimensions: the formal vs. there is no discrimination. .
2001). where almost 54 per cent of the population is dependent has declined. must clearly provide the people truthfulness regarding their operations and activities. It is no longer a profitable venture as the input costs have gone up in the post green revolution phase. the financial transparency and the corporate governance system are the key factors to encourage investors and to create a sustainable business (. the announcement by the UPA government about FDI in multi brand retail comes not as a relief but as a matter to be given a serious thought. show what precarious condition agriculture has landed into. The debate so far is threefold: (a) one section which is drooling over the reforms and projecting huge surge of investment in infrastructure and thereby increment in the employment levels. In effect.Generally. In the midst of these galloping problems. in addition. as policymakers. has proven to be a fallacy. The interaction. transparency is critical in corporate accounting and statements. The profits will be cut and may erode business competitiveness. this group fears competition from the big foreign companies which have deep pockets to procure products from the world market. Not all entrepreneurs. not because they fear that it would affect the overall development of the economy. Productivity in agriculture.Carrefour. without this. Kmart etc. The management. the country‟s socio-economic health has by no means become better. Rather. informalization of labour in the formal sector is a clear indication of this fact. . farmer suicides. it would affect their profits by a huge margin. Rise in the phenomena of rural to urban migration. The switch to a more open accounting can be daunting said . Instead. are interested in legalizing their financials. Thus. transparency scares business. In this regard. The benefit of the people around and within the company is the avoidance of misleading informations and false announcements (. can lead to financial deficiency. vice-president of Delta Private Equity Partners. According to (2005). Gradual shift of the economy from agriculture to industry. (b) The second group is the one which is sceptical about the opening of markets for foreign retail giants like Walmart. The management struggles at the significant cost in paying consultations regarding elimination of shady schemes. The companies must practice publicizing in order to gain and regain the confidence of shareholders and consumers in all aspects of business. rural non-farm employment. as expected in the prospects of reforms. The continuum of economic growth includes a transparent corporate governance structure. Trade liberalisation has given the global players a free hand to rein the economy. Employment in formal sector has not increased by any count since 1991. 2007). FDI in Retail: What it entails? More than two decades after the first wave of reforms were introduced in the year1991. Various claims made by UPA seem to fall flat on any reason if we take into consideration the outcomes of previous reforms. (c) The third group comprises of the unorganized retail sector which fears its elimination from the market in the long run. the credibility of the corporate governance will be respected by the employees and the consumers. These examples showcase that reforms and liberal policies have not led to the overall development of the economy. As a consequence rate of inflation is rising unchecked as the price of crude oil is fluctuating globally. the existing industries have become more capital intensive leading to the displacement of labour on a mass scale.
in case it decides to capture the domestic market it would create direct contact with small and medium enterprises and get commodities at the lowest possible cost and take benefit of the economies of scale. It is not unknown that the majority of those engaged in retailing at the lower end of the economy depend on the small and medium enterprises for their supplies. When only 4 percent of the retail trade in India comes under the organized retail it becomes essential to evaluate or assess the viability of FDI taking into consideration not this 4 percent but the 96 percent which belongs to the unorganized retail sector. Whether it‟s a small vendor selling fruits on his bicycle or a trader who has a kiosk in a neighbourhood where he sells grocery or a weekly market trader who sells garments. These vendors who till now were able to purchase goods from the wholesale market by proving their credit worthiness would no longer be able to give cash and carry goods to the retail market.). mandis. It manages by catering to middle classes in the metropolis.In the light of the above observations. they will all be unemployed. push-cart vendors. it comprises of peddlers. (b) Since multi brand retail stores have the liberty to buy products from anywhere in the world and they have enough resources to conduct market research. Decline of the rural economy coupled with lack of employment in the manufacturing sector (organized sector) created a vast pool of surplus labour in the country in the post reform period. and periodic/weekly markets) coexist with modern day markets (supermarkets. hypermarkets. kiosks. Indian retail market is quite diverse in terms of scale. the rise of the middle class and its purchasing power and a huge market for foreign investment in India are factors that have invoked the interest of the foreign investors. The unorganized retail sector is not a homogeneous category. Annihilation of small scale and self employed lower middle class will lead to large scale poverty and destitution because the unorganised sector is absorbing the shocks of migration and rural distress. grain mandi and wholesale market for garments respectively. culture and structure. it becomes imperative to see what this FDI would entail for the retail sector when it is analyzed by keeping the informal economy at the centre of the debate. by many economists. But. how and under what conditions the unorganized sector has risen to such heights in India and other developing countries via the route of the neoliberal regime. It has been reiterated time and again. all three of them depend on a vegetable mandi. then the retail giants would slowly gain hands and monopolize the market and dictate the prices of essential commodities in the domestic market. With the entry of the multi-brand retail giants in the market two possibilities emerge (a) these retail giants are expected to procure 30 percent of goods from medium scale enterprises (but it is not necessary that these enterprises should be from the host country) thus. On the one hand the government is trying to convince that FDI would not harm the local trading practices and on the other hand various traders associations. announcement of FDI in multi brand retail does not give much hope. Single brand outlets etc. weekly traders. This multitude of labour started migrating to urban centres in search of employment and many of them landed up with self employment in the service sector of which retailing forms a huge part. Traditional forms of marketing (neighbourhood markets. it would explore the world market and invest wherever they would be able to maximize their profits through final sale. This would slowly displace small vendors who don‟t have enough working capital to compete with retail giants. The huge population of the country. small vendors and traders would continue to have access to the products which are . In this scenario. vendors are fearing its exit from the retail market in the long run when various multi brand retail giants with their deep pockets and marketing skills would create direct contacts with farmers and producers of essential commodities. The Indian retail sector is not only very vast but also varied in its composition. If this market is gone. In case this happens. street vendors. Some reasons for this diversity can be attributed to the divide that exists between rural and urban India.
I have been researching the local weekly markets of Delhi for the past three years. rubber chappals and shoes made in Agra. a week. this is going to affect the cost of production both in agriculture and manufacturing. .2011). Local weekly markets provide a very easy channel of distribution of commodities produced not only in local small scale industries but also in the neighbouring States. Prabhat Patnaik et. woollens made in Ludhiana are all sold at affordable prices here in these very markets. Vellore. hosiery made in Coimbatore. Chandrashekhar. If in this context we see the large unorganized retail sector. In Pudukottai district. T. Price of diesel and petrol has been exponentially hiked up. In the long run it is speculated that the prices of their commodities would fall in the markets and sooner or later these domestic small enterprises would be forced to quit. This logic seems to be a wishful thinking because rising inflation cannot be controlled by the multi brand retail giants instead the prices of food grains. Farmers are not going to benefit in any way as they would continue to be exploited by the multi brand retail giants in the long run. fruits and vegetables and essential commodities would only increase once these retail outfits will make a market for their products in India. Dec. There are around twelve hundred weekly markets of which only one fourth are recognized by the Municipal Corporation of Delhi (consequence of zoning). Vellayan. corporate capital would get a free reign in the indigenous markets of India and the process of primitive accumulation would set in as predicted by C. But with the coming of multi brand retail stores this floating capital would freeze and small retailers and vendors will be evicted from the market. These markets are very prominent feature in all parts of Delhi and NCR. sarees made in Surat. a month or a year because the prices are going to rise in the long run and so will the interests on the borrowed sum. Approximately 2. Multi brand retail giants would not only affect the price of food grains at the national level but it might also result in the disappearance of Agricultural Produce Marketing Committees which keep a certain minimum check on the price of the foodgrains coming to the grain markets. Thus. One round of a weekly market in the neighbourhood of Delhi or elsewhere would show that the margins between the prices at which weekly traders sell their products and the price at which any supermarket sells the same thing varies by more than 20 to 30 percent.produced by the small scale industries but at the same time these enterprises would face severe competition from cheap commodities imported from elsewhere. Tiruvannamalai. But these traditional oil mills closed down. Today the local markets run on capital which has a fluid or floating nature. FDI in multi brand retail would either displace various wholesale markets or the size of such markets would shrink.P.5 million people are employed through these markets. Cuddalore and Villupuram districts had several stone oil presses. oil mill premises have been converted into marriage halls ( Frontline. Various own account and household enterprises are producing commodities on a daily basis for such low end markets. This figure would just double if we take in to account additional employment that is created around these markets. For example. Another justification given by the government for allowing FDI is that it would stabilize the inflationary trends that the Indian economy is witnessing for the past two years. al. The adverse impact of the FDI would befall the unorganized retail sector with great intensity if the State makes more stringent rules of zoning and regulation. For instance. we can observe how small vendors of fruits and vegetables are able contain the inflationary pressure by offering lower prices. president of the Tamil Nadu Federation of Trader‟s Associations gives the example of how the import of palm oil and soyabean oil for edible purposes proved ineffectual to the oil manufacturing units. This would have direct impact on that section of the unorganized retail sector which is employed in the lowest level of the market hierarchy who do not have ready cash to invest and whose livelihood is dependent on the recycling of debt for a day.
filed a police complaint against Google‟s „Mapathon‟ — the first ever mapping competition in India. But employment for whom is the crucial question? It would create employment for those who are educated and have professional experience. At the same time it has created a distinct market for lower middle class who would not go to a super market or a mall for shopping. These are the maps that can be sold to the public. Bewildered government institutions. or hidden activity. are seeking the coercive power of rules to maintain dominance and stifle innovation. Where will this section of population shop for daily needs with the entry of multi brand retail outlets in case it leads to the displacement of weekly markets? Instead of providing infrastructural facilities the State already keeps street vending. Google has stood its ground and said its activities are well within the rules. instead of embracing innovation and quickly adjusting to changes.” It also threatened participants with potential breach of rules. the mapping arm of the government. maps of coastal areas. Bangalore and other metropolitan cities. Mumbai. cancel their licenses. Often these are characterized as unlawful. has from time to time uprooted slums and relocated them to the periphery of the city. I have observed in the course of my research that through weekly markets of Delhi hundreds of people have employed themselves who were displaced for one reason or the other. For more than two centuries. Just as in Delhi. It alleged that Google. Similar decisions if taken for the unorganized retail sector would gravely increase inequality and poverty. but the shrinking role of the state in disseminating geographical information. the second are declared as unrestricted by the Ministry of Defence. peddling and weekly markets at the helm by keeping them in that buffer zone where it is difficult to „recognize‟ their real viabilility for the economy at large. In response. Of the two kinds of maps it publishes. Third parties can reprint and add value to them. or remove tehbazaari rights for weekly markets in the times to come. the State. it is not in any way going to benefit these traders if they lose their sole means of survival. to make way for the investment by private corporate builders in order to make the city slum free. black. but only after signing an agreement and abiding by the condition set by the SOI. Putting people on the map Last week. the Survey of India (SOI). At the heart of this conflict are not legal issues as the SOI makes it out to be. the SOI has been surveying the country and producing topographical and special maps of different scales. the region around national boundaries and of Jammu & Kashmir State are out of bounds. Technologies have broken government monopoly over spatial data and are empowering communities to produce maps that are relevant to them. . Defence Series and Open Series Maps. However. “is likely to jeopardise national security interest and violate the National Map Policy. which had invited Indian participants to add their local knowledge to existing maps. Taking cue from my observation in the weekly markets of Delhi I would argue that majority of those now employed in these markets have minimal education and have no professional degrees apart from their marketing knowledge.It is argued by the government that FDI in retail would create employment opportunities. Now if FDI in multi brand retail comes. It is my contention that in order to make way for the private capital the State might evict street vendors.
a political ecologist. MapMart. and demanded democratic resource allocation. elevation model. For example. security and surveillance. has challenged such state dominance and indifference. manipulate data and produce maps that stealthily serve commercial interests. the Indian National Map Policy envisioned that the SOI would take a leadership role in liberalising access to spatial data. RapidEye. Google Maps and Google Earth. offers images. anticipating such a situation.-based concern. Oliver Burkeman. in 2005. they contain only information that is relevant to what the state needs for administration. writing in The Sydney Morning Herald on the dark side of digital mapping. remarked that “Google‟s and Apple‟s maps might not just observe our lives. . it has empowered communities to produce alternative maps that document local assets and enabled them to make rightful claims. Inc. To promote this. By collecting information such as location of public toilets and mapping them. the national policy recommended “exploration of partnerships with „all sections‟ of people and „work towards a knowledge-based society‟. is pushing cartography “out of the control of powerful elites. digital vector maps and topographical maps of territories in India and other countries. a project initiated by the Institute for Financial Management and Research and partly funded by Google‟s Inform and Empower initiative. Jeremy W. For more than a decade. local communities evaluate government performance and demand better services. Crampton and John Krygier insightfully noted. have taken advantage of technological solutions and allowed users to freely populate maps with information relevant to them. From Indonesia to Nicaragua.” But nothing much has changed. they have leapfrogged to become the favourite and frequently consulted map services. but in some sense come to play a role in directing their course.S.Private enterprise These restrictions are inconsequential. Technology. Commercial exploitation of data. invasion of privacy and illegal scooping of personal information in Google projects such as Street View are unsettling. these counter-maps groups have challenged exploitation. a U. Transparent Chennai. a private company based in Germany.” Maps worldwide are accessible as never before. Private companies sell satellite images and maps of Indian territories for a fee. Hence. On the contrary.” They track use patterns. The problem is that Indian institutions still hold on to antiquated views of maps as instruments of governmental-ity. launched in the same year as the National Map Policy. Closer home. offers high resolution images of three billion square kilometres of earth area including images of the western boundary of Jammu and Kashmir. Privacy issues Not everything is benign about mapping practices offered by Google. Counter-mapping Counter-mapping. As a result. Burkeman wittily observed that our search for the quickest route between two points in such map services may throw a result that passes through at least one Starbucks shop. as two geographers. helps Chennai citizens counter “inaccurate” government data. Probably. Similarly. the e-commerce division of IntraSearch. Everyday spaces and resources closely connected with active users have hardly been the concern. exclusion. We are yet to witness collaborative efforts in the scale and manner needed. a practice and term made popular by Nancy Lee Peluso.
Cash on delivery (COD) is one such example. At present. The city has made it mandatory for government agencies to disclose data to improve transparency and governance. New York has been conducting competitions. Changing the game Indian e-commerce industry has evolved over a period of time with innovations that have changed the rules of the game globally. the market place is flooded with several e-commerce options for shoppers to choose from. 596 Acres. Digital map applications are frequently among the prize winning ones. E-commerce in India – Present and Future Today. the growth of e-commerce industry in India has been phenomenal as more shoppers have started discovering the benefits of using this platform. Today. Unfettered use of data and free mapping possibilities alone have the potential to check predatory practices and state monopoly. There is enough scope for online businesses in the future if they understand the Indian shopper’s psyche and cater to their needs. which encourage people to use these data and create useful applications. is an online map application that helps communities find vacant public land and put it to common use. In the last couple of years. introducing cash on delivery has been one of the key factors for the success of the segment. . Since 2009. For example. A variety of innovative products and services are being offered spoiling customers for choice.One of the models worth looking at is New York‟s open data policy and the related BigApps project. last year‟s prize winning entry. In a country where credit card penetration is much lower than other developed markets and where e-commerce companies are still working hard to build trust among shoppers. it is a reality in India. Online shopping is no more a privilege enjoyed by your friends and family living in the US or UK. COD is the preferred payment mode for close to 55-60% of all online transactions in the fashion and lifestyle segment in India.
The more faith the customer has in your delivery service.COD is here to stay owing to its convenience and its cultural affinity and will be a major part of payment mechanisms for at least the next four to five years. e-commerce players need to focus on customer experience as a means to build trust and confidence. Delivering a good experience is critical not only to ensure repeat purchase from a customer. With metro markets reaching saturation. Being a day behind the fastest in the market isn’t a big deal. but trust. to the actual delivery experience. Executing COD efficiently and painlessly for the customer is critical to the success of any ecommerce player in the country. consistency and reliability are more important. Growing opportunities Cities beyond metros are in the limelight for all the good reasons. This large base will provide vast scope for e-commerce businesses to establish themselves in India. Building a robust supply chain is critical to efficiently fulfilling orders from these cities and tapping their full market potential. I believe tier 2 and 3 cities are going to be the biggest drivers for ecommerce businesses in India in the not so distant future. The e-commerce industry is growing at a rapid pace and changing the dynamics of the retail industry. This doesn’t necessarily mean constantly pushing the frontier on faster deliveries. Providing a great delivery experience is one of the core aspects to delighting customers. India has almost 130 million online users at present. building strong technology infrastructure and delivering the best customer experience. In the coming years. e-commerce is expected to contribute close to 8-10% of the total retail segment in India. but also for building a good brand image and word-of-mouth publicity. the more likely he is to buy again. The online user base is expected to cross 300 million in the next 2 – 3 years and a larger percentage of people are expected to transact online by 2015. Customer experience encompasses every interaction a customer has with your service from placing an order to interacting with your customer service team. This growth is bound to continue provided e-commerce companies focus on innovating. Growing the base Online shopping has seen a lot of traction in the last 12-18 months. Delivering experiences Besides COD. out of which as many as 10% are engaging in online transactions. almost 50 – 55% of our business come from tier 2 and tier 3 cities and I believe this ratio is similar across other ecommerce companies in the country. On an average. .
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