INTRODUCTION TO RETAILING

Retailing Customer is King

A Customer is the most important visitor on our premises. He is not dependent on us. We are
dependent on him. He is not an interruption on our work. He is the purpose of it. He is not an
outside of our business. He is a part of it and we are not doing him a favor by servicing him.
He is doing us a favor by giving us an opportunity to do so.
Mahatma Gandhi

Size

India is one of the 10 largest retail markets in the world

Retail sales were US$262 billion in 2006, constituting over 30% of Indias GDP

Organised Retail constitutes only 4.6% of total retail sales - about US$12 billion
p.a.

Has been growing at over 40% p.a. in the last 2 years.

Structure

The Indian retail sector is highly fragmented: mostly owner-run Mom and Pop
outlets

There are over 15 million such Mom and Pop retail outlets

Retail chains such as Pantaloon, Trent and RPG Retail have been growing rapidly;
while Reliance, Bharti and Aditya Birla Group have announced investments of over
US$9 billion in the sector

Dairy Farm, Metro, Shopritem, Wal-Mart and Marks & Spencer are some of the major
international retail chains that are already present or in the process of entering the
market

More than 100 international luxury brands are planning to set up shop in India.

Indian Retail Market

Food, Grocery & general merchandise- 63.7%
Clothing, Textile & Fashion Accessories 8.5%
Durables 4.1%
Eating Out - 4.1%
Home Dcor & Furnishing - 3.9%
Other 15.8% (TSMG-Analysis)
Overview

The overall retail market is expected to grow from US$262 billion to about US$1065
billion by 2016, with organized retail at US$165 billion (approximately 15.5% of total
retail sales)

India is expected to be among the top 5 retail markets in the world in 10 years.

India has been identified as the most attractive destination for retail in AT Kearneys
Global Retail Development Index.

Future Potential
1

The high growth projected in domestic retail demand will be fuelled by:

The migration of population to higher income segments with increasing per capita
incomes

Increasing urbanization

Changing consumer attitudes, especially the increasing use of credit cards

Growth of the population in the 20 to 49 years age band

There are retail opportunities in most product categories and for all types of formats.

Food and Grocery: the largest category but largely unorganized today

Home Improvement and Consumer Durables: over 20% p.a. CAGR estimated in the
next 10 years

Apparel and Eating Out: 13% p.a. CAGR projected over 10 years
Opportunities exist for investment in supply chain infrastructure: cold chain and
logistics

India also has significant potential to emerge as a sourcing base for a wide variety of
goods for international retail companies

Many international retailers including Wal-Mart, GAP, JC Penney etc. are already procuring
from India.

INTRODUCTION TO COMPANY
HISTORY
Launched in January 1998, Globus is part of the Rajan Raheja group. The company opened
its first store at Indore in 1999, followed by the launch of its second store in Chennai (TNagar). Soon to follow was another store in Chennai located in Adyar. The flagship store was
opened on 1st November 2001 in Mumbai, followed by a vibrant store in New Delhi.
Subsequently, its stores were launched in Bangalore, Ghaziabad, Kanpur, Ahmedabad, Noida,
Lucknow, Varanasi and Hyderabad.

The sixth & seventh stores opened in Bangalore in Koramangala & Richmond Road
respectively. The eighth store opened in Ghaziabad at Shipra Mall and was followed by the
ninth at Kalaghoda in Mumbai; tenth in Thane and eleventh in Ghaziabad. The twelfth,
thirteenth, fourteenth stores opened in Kanpur, Ahmedabad and Lucknow respectively.

As of May 2008, Globus has opened its 24th Store in Nagpur. Globus Stores Pvt. Ltd. was
formed to contribute in the revolution sweeping the retail industry. Globus promises to bring
about a perceptible change in the way apparel and lifestyle retailing has been carried so far.
Recently Globus has opened its Store in Indore, Aurangabad and the journey continues...

Globus Stores Pvt Limited

"Rahejas", Corner of Main Avenue and V.P. Road,
Santacruz (West), Mumbai - 400 054

Tel: 26058731 / 32 / 33
E-mail: info@globus.in
Web URL: www.globus.in

The organization has an innovative and adaptive environment. Globus has achieved customer
delight by presenting value products and services through continuous improvement. It has a
team of dedicated and passionate employees maintained by constant training.
Globus has developed long lasting relationships with its business partners. It employs the best
practices of the industry through cost analysis. It has brought about a veritable revolution in
the retail industry through its constant efforts and innovation in apparels. It has been a
benchmark for many upcoming retailers. It has brought about an important change in the
industry and has distinguished itself from others. Globus has acquired the best processes and
procedures in various fields, such as Marketing & Brand Development, Research & Design,
Human Resources, Services, Administering Policies & Procedures and Production &
Merchandising. It has blended its resources of technology and people in such a way as to get
a competitive advantage over others.

Mission
Achieve customer delight by offering quality products and services through a process

of continuous innovation and adaptation.

Build a dynamic team of committed and passionate employees through sustained

learning and grooming.

Develop mutually beneficial relationships with our business partners.
Employ cost-effective processes and thereby create a strong organization.

INFRASTRUCTURE
Globus Stores Pvt. Ltd. was formed to contribute to the revolution sweeping the Indian retail
industry. Globus promises to bring about a perceptible change in the way apparel and lifestyle
retailing is carried out.

Towards this end, we have brought in modern international technology and made heavy
investments in investing and acquiring the best, tried and tested processes and procedures of
operation.

FUTURE
Globus combines state-of-the-art international information technology, the highest quality of
human resources and sustained financial commitment to realize its long term vision. We are
rapidly expanding and our target is to have an additional 100 fashion stores by the end of
2012.

ABOUT RAHEJA GROUP

Globus is an Apparel Retailing arm of Rajan Raheja Group, a group which has a market
experience of about 3 decades, turnover of Rs. 86 billion and about 19000 employees.
There are more interesting fact which can add your interest in the Group as you came to
know that this is the same group which has its hand in few very famous brand name in
different sector like Exide batteries, Outlook publishing House, Prism Cement, Asianet cable
Channel and many more. Beside this they also have stake in many famous upcoming big
retailing projects with Big Retailer like Dairy Farm Int. as their partner.
The Rajan Raheja Group is led by Mr. Rajan Raheja, a renowned businessman involved in
the Real Estate Development business for over 3 decades. The company diversified into
manufacturing and financial services over the last two decades.
The emphasis is on setting up focused companies, which aim to be profitable leaders in their
respective fields with a long term outlook. All Group Companies are professionally managed
by independent CEOs. Most of the Group Companies has a leading position in Market share,
Technology, Brand, Distribution or Profitability. The Rajan Raheja Group is a
Strategic/Financial partner in many of the businesses where it has management control.
Highlights:
Total Turnover: Over Rs. 86 billion ($ 2.1 billion)
Total Capital Employed: Over Rs. 57 billion ($ 1.4 billion)

 Total Employees: 19,000