Industry and company profile

Industry profile:
Retail industry is a division or area of the economy which sells the commodities directly to
consumers. At the end of the supply chain, we can see the retail operation. Producer sell huge
quantities of goods to retailers and retailers try those same quantities of products to sell to the
consumers.

Indian retail industry:

The activities of trading made by licensed retailers are called organized retailing. These
retailers are liable to pay sales tax, income tax etc. These retailing include the publicly
trading Supermarkets, hypermarkets, and private retail businesses and also retail chains. The
culture of retail is developed from traditional outlets to large supermarkets, shopping malls,
hypermarkets, and retail chains. In India huge changes was taken place in customer
demographics with the presence of large expatriate population, rising purchasing power have
attracted premium and luxury brands to the region.

There is a rapid growth of retailing industry in India, especially from the last few years.
Indian retail market is most attractive after passing the resolution and allowing the foreign
organized retailers in Indian retail sector. After some domestic organized retail store like
Spar, Reliance Fresh, Vishal Megamart, Big Bazaar, More, Nilgiris, Trent, now Indian retail
industry is attracting some world’s leading retail stores like Metro, Wal-Mart, Wholesale,
Carrefour, etc, are ready to change the face of Indian retailing in a huge and also in all
dimensions offering by different retail outlets and belief of consumers with respect to these
retail stores. Indian retail businesses are operating in a very challenging environment. There
is a huge competition in retail business. Companies must deal with customers that they have
more options/choices than in the past and are therefore more demanding.

For the most part Indian shopping are happened in open markets or various small grocery
and retail shops. Customers for the most part hold up outside of the store, and approach the
shopkeeper for what they need, and buyer can't analyse the item or pick the items from the
rack. There is a limited entry for the product storage area. Once the customer requests the
item, or any family unit things they have desired, the retailer goes to the rack or compartment
or to the capacity territory, brings it out and offers it available to be purchased to the 11
customers. But now Retailers have understood the customer’s needs and income level

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especially the growing young and working population. Numerous retailers have been
enhancing themselves by re-situating to up-coming present day shopping centres and malls,
giving more prominent shopping environment and experience particularly in the urban, semi
urban areas.

The Indian retail industry has become the most active and fast-paced businesses due to the
entry of some new multinational players. It accounts for over 10% of the nation’s GDP
(Gross Domestic product) and around 8% of the employment. India is the world’s fifth
largest global destination in the retail sector.

As of 2003, India's retailing industry was basically owner managed small shops. In 2010,
well-built hypermarket, supermarkets and convenience comes for existing, and these were
existing only in urban and semi urban area. India's retail and logistics industry utilizes around
40 million Indians.

Factors for retailing growth in India:

1. The customers are young, educated and asks for their needs.
2. Rise in Income level.
3. The occurrence of communication channels like TV, radio and mobiles had a great
influence on customer’s expectation.
4. There is rise in literacy rate in urban as well as rural areas makes the customers more
awake.
5. Improved bargaining power
6. Increase in number of nuclear families in urban& rural areas.
7. Different types of products offering and the availability of additional facilities.
8. Customers are ready to pay any price for their requirement.
9. Better organized supply chains both by the manufacturer and the retailer with many
numbers of outlets in different locations.
10. The effort on infrastructure created by the government-roads, communication
facilities, and so on.
11. The reward of bargaining with larger volumes-economies of scale.
12. Cooperate sector entered in retailing.
13. Using of information technology.
14. Stores coming out as brand.
15. New retail formats are coming out.

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 16. New retail formats also get quickly replicated and lose their novelty.
17. Increase in customer desire and disposable income.
18. Demand as well as raise in expenditure for luxury items.
19. Growing liking for branded products and elevated aspirations.
20. Rising liberalization of the FDI policy in the past decade.
21. Growing urbanization.

Investment scenario:

In the previous couple of years many multinational organizations have put resources into
Indian retail industry. This is a result of there is a high development need of customer
products.

 Amazon India increased its area of operation by 3 times more. Now it is operating in 2200
cities and towns in 2015. And the company also invested in its India operations over US$ 700
million.

 Well-known companies Adidas sports brands, is the 1st company to get government
approval to open 100% foreign-owned stores in India.

 Walmart India preparing to increase 50 more stores in India in next 4-5 years.

 Jabong.com has combined with MobiKwika Mobile Wallet Company to offer mobile
payment facility to Jabong’s customers.

 Lulu Group (Abu Dhabi-based Company) planned to invest Rs 2,500 crore to start shopping
mall in Telangana and Hyderabad.

 Flipkart purchased AdiQuity mobile ad network, to support its advertising segment,

 Aditya Birla Retail has purchased Total hypermarkets which were owned by Jubilant
Retail.  Fashion and You have going to open 3 new supply centres in Mumbai, Surat and
Bengaluru to fast-track its deliveries.

 Sbarroa pizza outlet is going to add its store count from the current 20 to 50 in next 2 years.

 HomeShop18 has joined with Data Wind to expand its retail footprint in the country

 Major textile Arvind Limited has declare a partnership with Sephora.

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Trends in Indian retailing:

The retail sector of Indian economy is in a stage of great renovation. Indian retail market is
expected to touch Rs. 47,00,000 crores by 2016-17. The retail market, which includes both
unorganized and organized sector, stood at Rs. 24 lakh crores in 2011 to 2012. Within retail,
the growing segments would be grocery, food, electronics, apparel, e-commerce, fashion and
lifestyle. Retailing is modernised by use of computers for merchandise planning and
management, controls the inventory expenses and supplies and internal store billing,
replacement of goods done electronically etc. has transformed the face of product retailing.

There is a high chance of online retail business to grow in the future. After achieving high
success in physical stores, retailers are now focusing into the area of e-retailing. The retail
industry all set and ready tests the online medium, by selling products over websites.

COMPANY PROFILE:

Aditya Birla Retail Limited (ABRL)

ABRL is a Rs. 2.5 lakh crore corporation. Aditya Birla Group has a strong work force of
over 1,20,000 employees and that employee belongs to 42 different countries. Above 50% of
companies’ revenues coming from its international operations spanning 36 countries.

ABRL has been awarded fourth in the world in the ‘Top Companies for Leaders’ and 1st in
Asia Pacific. The study was conducted by Fortune Magazine in 2011. The Group has topped
the Nielsen's Corporate Image Monitor 2014-15 and they have developed as the Number one
corporate, the 'Best in Class', for the 3rd successive year.

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More super market:

ABRL (Aditya Birla Retail Limited) is the retail arm of Aditya Birla Group Company. In
India Aditya Birla Retail Limited is the fourth largest supermarket chain after Future Group,
Reliance Retail and D-Mart. ABRL operates two different store formats - Hypermarket and
Supermarket under the brand more. ABRL has about 16 hypermarkets and 540 supermarkets
in India.ABRL plans to open 6-8 hypermarkets and100 supermarkets.

Aditya Birla Retail Limited conveys items to the clients under its own names. Private name
Food Brands incorporates Best of India, Feasters, and Kitchen's Promise. Home and Personal
consideration brands incorporate Enriche, Pestex, Paradise,110% and Germex.

History:

Aditya Birla Group entered in retail business with the obtaining of Trinethra Super Retail in
2007. Trinethra Super Retail had a strong track with over 175 stores located across four
states - Karnataka, Andhra Pradesh, Kerala and Tamil Nadu. In Tamil Nadu and Andhra
Pradesh 15 ‘Trinethra’ brand was used, Fabmall branded in Kerala and Karnataka. After that,
all the stores were renaming as more stores.

The motto of ABRL is Quality first, ABRL get the accreditation of first ever Indian food and
grocery retailer from the Food Safety Management System (FSMS). The organization sacked
the honour for guaranteeing that manufacturing, assembling, conveying and offers of
sustenance to the most elevated quality principles.

The intension of the clubmore is to make extraordinary consumer loyalty and give extensive
variety of brands, including power brands — 110%, Feasters and Kitchen's Promise — that
give incomparable quality to homemakers, the organization means to make customer who
continue returning for more. In May 2009 Aditya Birla Retail presented another idea of

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giving its clients "Hamesha Extra" which has an incredible engage purchaser."Hamesha
Extra" is the main essence of More. It means it give feel to customers that they have got
something extra while shopping at More. Currently clubmore has a membership of 14
million, and it is growing. All the members enjoy a host of customized offers and great
savings.

Aditya Birla Retail Ltd has make the most excellent industry perform in order to help its
staff through its world-class learning institutes — the Aditya Birla Centre for Retail
Excellence and Gyanodaya. This will be helping their people imbibe the key character of the
Quality 1st philosophy.

Supermarket:

more stores are located inconveniently surrounded areas. The more supermarkets serve to the
day-to-day shopping requirements of customers. All the more markets offer expansive staple
goods lines, extensive variety of home consideration, individual consideration, new foods
grown from the ground, general stock and a fundamental scope of attire. As of now, there are
540 supermarkets nation over.

Hypermarket:

more. MEGASTORE is a decent shopping destination for the entire family. What's more an
extensive variety of items containing basic needs, foods items, FMCG items, more
MEGASTORE likewise has a solid accent on attire, general stock, customer durables and IT
products. Presently there is 16 hypermarkets the nation over.

More attracts to consumers by a wide range of brands that deliver at reasonable price. It
offers beverages, ready-to-eat food, staples, tea, cereals, instant mixes, pickles, papad,
apparel, household cleaning essentials, footwear, personal care and devotional products. The
power brands-Kitchen’s Promise and Feasters, 110%, deliver best quality to consumers. All
these brands are developed in-house.

In addition, Own Brands across categories include Incheels, Blue earth, selecta, Bjoyzz,
Prarthana, Blue earth Casual, Karinee, Kruff Jeans Company, Berwins, Chatter Kids and Yo.
ABRL aspires for its range of brands to be a customer’s most preferred brand across product
categories.

Clubmore:

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Clubmore is the loyalty program in More. It has a strong membership base of over 14 million
members. By this system customers appreciate an assortment of select offers and
advancements. Turning into a Clubmore part is straightforward. Any individual who is
making a buy of more than Rs.250 can turn into a part. The only thing is he has to do the
form fill up given from the store with his details. After that he/she can appreciate the
advantages of shopping from the very beginning. As a valued part, every time customer shop
at more outlet they get Reward Points which can be reclaimed in their favoured more outlet.
A Clubmore member will deserve to special benefits, in addition to the regular offers and
promotions at more. Clubmore members will likewise get the SMS alerts for extraordinary
offers on the products.

The clubmore is customer-friendly, free-to-use and easy to understand. With the strength of
around 14 million members, Clubmore has gone mobile. It influences the force of advertising
17 examination to convey vital and great offers to individual customers in view of their
shopping history. Thus, it is making loyal customers every time.

Aditya Birla Group at Present:

 The world's biggest maker of copper and aluminium. They rank third in greatest makers of
aluminium in Asia.

 Aditya Birla Group No.1 in thick staple fibber.

 The Group has positioned No.1 in carbon dark.

 They are the 4th biggest manufacturer of insulators.

 The 5th biggest manufacturer of acrylic fibre.

 They are the largest cement producers around the world.

 They contain the top vitality sparing manure plants. Aditya Birla Group is the main Indian
multinational organization which works in the United States, where 95% of the
representatives contains Americans.

Aditya Birla Group present scenario:

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 Aditya Birla Group has top form retail locations.

 They are the major manufacturer in the chlor-alkali sector.

 They are positioned in main 3 versatile telephony organizations.

 They are the top player in asset management and life insurance.

 In the retail business Aditya Birla Group is the top 2nd supermarket chains.

 They are the 2ndlargest player in viscose filament yarn.

Beyond Business the Aditya Birla Group is:

 They Works in 5,000+ villages worldwide for provincial improvement.

 Aditya Birla Group concentrates on: education, health-care, the girl child, sustainable
livelihood, and women empowerment projects, improve infrastructure and espousing social
development.

 They additionally run 42 schools which give brilliance training to fifty thousand
youngsters. In these eighteen thousand understudies fit in with the underprivileged portion.
Merit Scholarships are given to twenty-four thousand kids from the insides.

 The group owns 18 hospitals, and they working for poor in more than a million villagers.

 There are many ongoing projects of educations, healthcare and sustainable livelihood in
Thailand, Egypt, Philippines, Indonesia, Korea and Brazil, lift a large number of individuals
out of neediness. Helps a huge number of needy individuals.

Major Companies of Aditya Birla Group:

1. ADITYA BIRLA CAPITAL ADVISORS PVT LTD

2. ADITYA BIRLA FASHION AND RETAIL LTD
3. ADITYA BIRLA RETAIL LIMITED
4. BIRLA SUN LIFE INSURAANCE COMPANY.
5. ULTRATECH CEMENT LTD
6. PANTALOONS FASHION & RETAIL LTD
7. MADURA FASHION AND LIESTYLE

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 8. IDEA CELLULAR LTD
9. ADITYA BIRLA MONEY

Aditya Birla Capital Advisors PVT LTD gives budgetary administrations. ABCAP offer
investment management and advisory services all over the world. The company’s products
are Private equity investment, advisory and management services. ABCAP has been made
with the expectation of prompting, start and dealing with a progression of private value assets
to put resources into economy and make business development opportunities. Aditya Birla
Capital Advisors Private Limited is the fourth biggest organization. ABCAP has the great
record of corporate administration and they need wide institutional achieve, global vendor
and customer relationship over every single real segment.

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Aditya Birla Fashion and Retail Ltd., is one of the major fashion retail stores in India. The
organization is begun in the year 2007, it is a huge organization having a business sector top
of Rs 11,500Cr. Aditya Birla Fashion and Retail Ltd. key Products includes Branded Apparel
such as Ready-to-Wear Western and Ethnic Apparel for Men, Women & Kids, Footwear and
Accessories. Different brands available on these stores are Van Heusen, Allen Solly, Louis
Philippe, Peter England, People and private brands.

Aditya Birla Retail Limited (ABRL) is the retail arm of Aditya Birla Group Company. It
works under the brand name more. The products of the companies are vegetables, fruits,
FMCG products, bakery, groceries, homecare, frozen food, personal care, pharmacy, general
merchandise and apparel and footwear. The Fabmall grocery supermarkets of Aditya Birla
Retail Limited are re-brands it's to additional. A name intelligent of its promise to offering
customers an all the more fulfilling retail encounter. The re-branding takes after the securing
of the "Trinethra Super Retail" that incorporates the retail marks Trinethra, Fabmall, and
FabCity by Aditya Birla Retail in January 2007. As an after effect of the amalgamation
process, "68 Fabmall stores" in Karnataka has been re-marked under the umbrella of
additional., the retail mark from the Aditya Birla Group With the essential target to improve
the shopping background for purchasers, the new stores will continue to be built around the
proposition of quality, affordability and convenience with new in-store merchandise and a
whole new retail experience.

These Stores are offering a broad range of product categories together with home care, fruits
and vegetables, personal care, staples, household general stock and dairy products The
securing of Trinethra Retail store has furnished Aditya Birla Retail with a strong retail
impression in South India reaching out to 270 stores and over more than a large portion of a

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million sq. ft in Andhra Pradesh, Tamil Nadu, Karnataka, and Kerala, where it is the top food
and grocery retailer. All the more Retail has sixty stores in Bangalore, eight stores in Mysore,
ten stores in Mangalore and three stores in Tumkur.

In the year 2000 BIRLA SUN LIFE INSURANCE COMPANY was begun. Birla Sun Life
Insurance Company Limited (BSLI) is a joint undertaking between a mainstream and reliable
name overall Sun Life Financial Inc, and Aditya Birla Group. Sun Life Financial Inc, is a top
international financial services company from Canada. The local knowledge of the Aditya
Birla Group merged with the domain specialist of Sun Life Financial Inc., offers a security
for its clients' life. BSLI has given importance to the development and improvement of the
insurance industry in India from the first 10 years and right now positions amongst the main 7
private life insurance company in the country.

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UltraTech Cement Ltd. is the major cement company in India. They are the biggest producer
of dark cement, Concrete and white cement in India. They are additionally one of the big
cement makers around the world. This brand represents 'strength ''reliability', and
'innovation'. Together, these aspects encourage engineers to extend the limits of their
imagination to build homes, buildings, and structures that define the new India. Its operation
22 span across India, Bahrain, Bangladesh, UAE, and Sri Lanka. When comes to export of
cements UltraTech Cement is India's largest exporter. It exports cements around the Indian
Ocean and the Middle East.

Pantaloon Fashion Retail Limited is leading India’s retail chain. Pantaloons operate in both
the value and lifestyle segment of the Indian consumer market. Headquarter is arranged in
Mumbai. The organization works in more than twelve million sq. ft of retail space.
Pantaloons have 400 stores crosswise over 73 urban areas in India and Employs more than
35,000 individuals.

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Product offering in Pantaloons are men’s wear (John Miller, JM Sports, Bare Denim, Rig,
Ajile, Lombard) ladies wear (Honey, Akkriti, Annabelle, Mix & Match) kid’s wear (Chalk,
Bare 7214) accessories (Cosmetics, Stationary for kids, Books & Magazines).

In store Pantaloons keep 70% of products of their own brand. Remaining 30% include
complete inventories of non- apparels & and some apparels brands like UMM, Rang Munch,
Bare Denim, leisure Denim & Rig etc. They have primarily positioned as a family store, but
later turn towards becoming a fashion store with an emphasis on youths and clear focus on
‘FRESH FASHION’. They are targeting youth and even women, since they are the ones
defining most purchasing decisions.

Madura Fashion &Lifestyle is one of India’s branded apparel companies which is extremely
popular. It is a premium lifestyle shop It is making Indian customers to buy the most
prestigious worldwide style wear and accessories within the nation.

The company’s brand collection comprises of different products ranging from affordable to
luxurious, top of the line style and accessible to each age group, from children and youth to
men and ladies. Madura Fashion & Lifestyle has global brands of Van Heusen, Peter
England, Allen Solly, Louis Philippe, and People that represent style, attitude luxury, and
comfort.

Madura Fashion and Lifestyle achieves its customers through a selective system including
1,980 stores, covering 2.5 million sq. ft of retail space. The lifestyle stores of the organization
offer a restrictive mix of worldwide designs, caters at Bangalore, Chandigarh, Mumbai,
Delhi, Delhi NCR, Pune and Chennai.

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With 231 stores across 164 towns, Planet Fashion is one of the biggest clothing retail chains
of its kind in the nation. They kept the business in enormous urban areas as well as in littler
towns, for example, Udupi, Bareilly and Dehradun. Planet Fashion is one of the biggest chain
of stores of its kind in India, with a normal store impression that reaches from 2,000-6,000 sq.
ft relying upon its location. Recently, Planet Fashion chose to remodel its image personality
to oblige the observing tastes of today's smart Indian customers.

Idea Cellular popularly known as ‘!dea’ is a mobile network operator in India. Right now,
Idea offers 2G,3G and 4G portable system administrations. Idea is 3rd largest mobile
operator in India by subscriber base. Idea has 160.08 million subscribers as of June 2015.
Idea competes with Airtel, BSNL, Reliance, Vodafone, Aircel, Uninor and Tata DoCoMo.
On 28 March 2011, first time Idea launched 3G services in Gujarat, Madhya Pradesh and
Himachal Pradesh. The launch cities were Ahmedabad, Shimla and Indore.

It also offers GPRS services in urban zones. On 23 November 2011, Idea builds up its
customer base after the start of MNP in India. Currently Idea Cellular launches 4G LTE
services in 75 towns in South India.

While Vodafone has been present in India since 2007, it merged with Idea Cellular, part of
ABG Group, in 2017 because both the companies were struggling to sustain in the wake of
crippling price war after Reliance Jio launched 4G services in 2016.

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Vision Mission and Values:

Vision:

To be a premium global company, with a clear focus on each of the businesses.

Mission:

To deliver greater value to customers, employees, shareholders and society at large.

Values:

 Integrity: Taking fair and honest decisions. Make and follow the top standards of
professionalism and being known for doing so. Integrity for company does not only means
intellectual and financial integrity, but includes all other forms as are generally understood.

 Commitment: Commitment of the company means deliver value and importance to all
stakeholders. In the process, being responsible for companies own actions and decisions.

 Passion: An intuitive and active passion that comes from emotional commitment with the
company that makes work pleasant and inspires each one to give his/her best.

 Seamlessness: Thinking and working together across operative groups, hierarchies,

businesses, and geographies.

 Speed: Reaction to internal and external customers with a sense of urgency. Continuously
motivated to finish before target and choosing the best rhythm to optimise companies
efficiencies.

Products:

Supermarket More:

More super markets conveniently located in rural and urban areas. More Supermarket serves
to the daily, weekly and monthly shopping needs of consumers. The product offerings
include a wide range of

 Fresh fruits

 Vegetables

 Groceries

 Personal care
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 General merchandise

 Basic range of apparels

 Home care

Hypermarket More:

More Promises a world-class pleasurable shopping experience to Indian consumers in their

very own neighbourhood. For the entire family Hypermarket More is a one-stop shopping
destination. It has large number of products like

 Fruits & vegetables

 Groceries

 FMCG products

 General merchandise

e  Apparels

 CDIT

Area of operation

more ― Conveniently located in neighbourhoods. At present, there are 540 supermarkets

across the country. And 16 hypermarkets work under the brand more. MEGASTORE in
Mysore, Vadodara, Indore, Mahadevpura, Old Madras Road & Bull Temple Road in
Bengaluru, Mumbai, Saroor Nagar & Kukatpally in Hyderabad, Vashi, Rohini&Kirti Nagar
in New Delhi & Nashik.

Strong Supply Chain

For every effective retail organization strong supply chain is required. The main duty of
Supply chain is to collect the goods, sort and arranged the goods in manner. The supply chain
is also liable for bringing back unsold, returnable goods and sends it back to the supplier or
manufacturer. A Supply chain support network comprises the following...

1. Private delivery vehicle

2. People

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 3. Private or leased warehouses
4. Good racking arrangements

COMPETITOR'S INFORMATION

 Big bazaar

 Nilgiris

 Reliance fresh

 Spar

 Easy day

Huge Bazaar Pvt. Ltd works a hypermarket that offers fashion and general merchandise for
example, home furnishings, electronics, crockery, cutlery, footwear, sports goods, toys, men's
and women's apparel, accessories such as watches, sunglasses, luggage, and handbags,
vegetables, fruits, and stationary products. The organization have their store everywhere
throughout the country and it offers its items through its retail store. Big Bazaar Pvt. Ltd was
begun in 2001 head office is in Mumbai, India. The company functions as a subsidiary of
Future Retail Limited.

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Nilgiris is one of the greatest super market chains in South India. It is additionally one of the
most popular and prominent supermarket chains in India. It started in year 1905. All products
of Nilgiris are sold under the brand name of "Nilgiris 1905". It is like general stores and
staple shops in India, which offers its own item and additionally branded product.

This super market began from Muthusamy Mudaliar. He was from Erode region in Tamil
Nadu, he was filling in as a mail runner for the British decision in India. In the year 1905 he
opened a little shop, then he began "The Nilgiri Dairy Farm Ltd." In 1936, he moved his shop
to Brigade Road, Bangalore. The Nilgiri Dairy Farm Ltd. specializes in dairy, dairy products,
chocolate and bakery. Later the production centre was setup in Erode.

The produce was supplied to Bangalore once a day from Erode The organization was begun
in 1905 and it additionally has its own particular products line include dairy products,
chocolates, baked goods, and staples. In the year 2014, Future Consumer Enterprises Ltd.
Buys the shares of the organization coming about that now Nilgiris is a completely claimed
by Future Consumer Enterprises Ltd, which is a Future Group Company.

Reliance Fresh is the part of the retail business of Reliance Industries of India. The company
is headed by Mukesh Ambani. Reliance Fresh is the convenience store. Reliance wanting to
put resources into excess of 250 billion in the following four years in their retail division.

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Reliance Fresh as of now has around 1700 store outlets the country over. These stores sell
vegetables, fresh fruits staples, fresh juice, groceries, bars and dairy products.

Reliance Fresh store have typically approximated of 2500–4000 sq.ft and caters to a
catchment area of 2–3 km.

Reliance Fresh faced dramatic change in its positioning and mainly due to the situation
established in West Bengal, UP, and Orissa, it also mentioned recently in newspapers that
Reliance Retail is moving out of stocking vegetables and fruits.

In a portion of the states the organization may not stock vegetables and natural product.
However, Reliance Fresh is not selling the fruit and vegetable altogether, company has
decided not to compete with local vendors. Because of political perspectives, and somewhat
because of its inability to make a solid production network.

Spar, is one of the major retail organizations. It is trademarked as SPAR, SPAR a Dutch
multinational retail chain which has an overall establishment with around 12,000 stores in
40+countries. It was established in the Netherlands in long in 1932. Through its affiliate
company spar operates in most of the European countries, Asia, parts of Africa and Oceania.

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