Retail Case Study

Team Members:
Mayur Kulkarni
Jinen Gala

1.One of the main reasons identified for less
automation in retail shops is the low
awareness by the owners regarding the
technology ad its implementation.
2. Another problem is that most of the retail
shops are small scale with limited inventory
and manpower. Hence have less capital to
invest into new technology and implement it
as they have constraint of space so their ROI
on space is limited
3.Further many retail shops have less
consumer base thus adopting automation to
serve lesser consumer base becomes costly
for them.
Assessing the problem
4.A less variety of goods are kept as not all
the products have good margins so products
having the highest margins are only kept and
company giving better incentives are
preferred, so inventory management
becomes easy for them
5.India has over 13.01 million retail shops but
only about 4% of them have greater than 500
sqft.. Thus it can be said that these shops
have little scope for expansion and thus have
difficulty in implementing advanced
technology as it can be capital intensive
6)In rural parts of the country where
electricity is still considered as a luxury
technology advancement is a big barrier for
them to overcome and cope up with new age
technology which expands business
7.The Fruits and Vegetables Retail is the
most unorganized sector in Indian
where no proper inventory
management as good have a shelf life of
day or 2 and are sold withing short span
of time
8. In the Clothing Industry most of the
branded Company have their stores
which are Tech Savy or partner up
with online giants like Amazon and
flipkart. The non branded clothes
being sold at retail shops have their
niche markets and loyal customers
and do not feel the need to update
their system because of this
9. In the Pharma Industry most of the
shops have an updated SAS system as
for them inventory management is of
utmost important because of the
product they are selling
 Narrowing the focus to FMCG retail business

1. The FMCG sector has seen the 2.As these companies have large
highest growth in terms of market centralized warehouses and a huge
players and its reach further inventory and its planning, the time
increased by online shopping and taken to deliver and order
delivery brands like Flipkart, processing becomes less. This
Amazon, Blinkit etc. happens due to automation which
is rare in local shops.

3.FMCG sector in India has a current 4.Further, having Big Data and data
market size of USD 103.57 million as analytics can help the FMCG sector
of 2020 and is expected to grow at more as it can give accurate
8-10% in future. Thus if automation decisions about product
is employed in this segment, it can placements, stocking of inventory
attract more consumers and can and ordering time, and also help
expand more. target the consumers better.
1.Here in retail business,
we have considered the
shops which are run
locally and do not have
a very large consumer
base.
2. Further in order to
penetrate the market
we also need to devise
strategy to develop
Solutio
retail shops in rural
areas where there is a
n
large knowledge gap.
3. In order to do this we
need to analyse what
type of automation is
required by particular
shop and its effects after
implementation.
Thus we have included
some general measures
to help business owners
consider the importance
of technology and
automation in business.
1.We need to first create
awareness about various
technologies that the small
retail shops can use and
make convince them to
adapt it to get grow their
business
2.Further some retail shops
in urban areas having a
considerable consumer
base can implement
automated billing, digital
khata-book and some can
even try taking orders
online and delivering them
in near by areas. This can
increase their reach and
attract more consumers.
3.There can be a system
where short term loans or
some incentives can be
given to the business
owners to implement the
technologies as it requires
capital. This can also help
us penetrate more into the
retail market place.