FDI IN RETAIL INDUSTRY Following the debacle on the governments decisions on opening up FDI in retail industry oppositions and

trade unions have opposed the governments decisions on opening up of the sector. As the opposition says that such a decision would harm the farmers and the smal l retailers and customers is just being politicized by not bringing the right d irectives . As being studied in various countries and economy small retailers have always be ing benefitted by such a opening and competition as in Brazil, China, Philippine s Argentina and other countries and such retailers will not vanish and scum by the entry of these biggies such as Carrefour and wal mart because ; We need to consider that the overall expenditure of a middle class and lower mi ddle class families on grocery and clothing is less than 2500 a month. So t hey live in limited means . so the only choice for them is the nearest kiryana s tore or the retailer near by who could break up the quantity as per the requirem ent and not like biggies who would force you to buy a minimum of 1 kg or 2kg or 3 kg. Secondly for a middle class family the credit offered by the retailer becomes t he ease to buy at the time of difficulties specially between 20th and 30th of t he month. Thirdly competition has always brought in best practices to lower the price stor age , and transportation . you can image the entry of the private sector like BI G BAZAAR, RELIANCE FRESH, RELIANCE SELECT, MORE AND TATA, brought drastic change d in your nearby retailers that they coned themselves into supermarket, with di scounts and monthly promotions and ambience . One such example is KALWA Super Ma rket which operates from 2 locations in thane which has seen and understood the changing market trends and adapted them selves . change is the only constant in these times which comes as a hard lesson . Changes which can be adapted at reta ilers before the entry of such MNCS in the sector is Stop cheating Change your attitude towards the customer in positive way See and observe grievance signal and try to understand and resolve them Work on pricing and specially offer monthly discounts and daily low prices Economies of large scale buying ( collective buying of all nearby retailers fr om farmers and wholesalers which will reduce buying) Disposition of goods on FIFO and as early as possible to avoiding waistages Maintaining customer data of nearby locality Informing customers of low prices, discounts, promotions and new arrivals Induced consumerism With these steps retailers can averse their fears and do not politicize and help the economy grow .