An Overview:

Retailing in India is one of the pillars of its

economy and accounts for 14 to 15 per cent
of its GDP
Fifth largest in the world
Fastest growing industry in the country,
expected growth rate 25%-30% annually
Mostly the industry in unorganized due to
huge difference in taste and demands
The industry is getting more popular
nowadays and becoming organized also in
terms to serve the needs of customers

Automatic approval is not allowed for foreign

investment in retail
Regulations restricting real estate purchases,
and cumbersome local laws
Taxation, which favours small retail businesses
Absence of developed supply chain and
integrated IT management
Lack of trained work force
Low skill level for retailing management
Lack of Retailing Courses
Intrinsic complexity of retailing rapid price
changes, constant threat of product
obsolescence and low margins

Generally family-owned businesses catering to small

sections of society
Owned and operated by individuals
Range of products are very selective and few in
numbers
These stores are known for their high standards of
customer service

Hawker: An individual who sells wares by carrying

them through the streets
person's ordinary methods of attracting attention
include addressing the public, using placards,
labels, and signs, or displaying merchandise in a
public place
A peddler is defined as a retail dealer who brings
goods from place to place, exhibiting them for sale
he does not have a fixed place of conducting
business, but regularly carries the goods for sale
with himself
he or she does not have a fixed place of conducting
business, but regularly carries the goods for sale
with himself or herself

A Street market is an
outdoor market such as
traditionally held in a market
square or in a market town,
and are often held only on
particular days of the week
Very similar markets, or
bazaars can also be found in
large enclosed spaces,
instead of on a street

DEPARTMENT STORES:

SPECIALTY STORES:

A typical specialty store

gives attention to a
particular category and
provides high level of
service to the customers
For example if a customer
visits a Reebok or Gap store
then they find just Reebok
and Gap products in the
respective stores.

A retailer of such store

carries variety of categories
and has broad assortment at
average price & offer
considerable customer
service
For example: Food World in
Bangalore

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DISCOUNT STORES:

Offers extensive
assortment of
merchandise at affordable
and cut-rate prices
Normally retailers sell less
fashion-oriented brands
The service is inadequate
For example: The Loot

CONVENIENCE STORES:

Is essentially found in
residential areas
Provide limited amount of
merchandise at more than
average prices with a
speedy checkout
Store is ideal for emergency
and immediate purchases
For Example: Reliance Fresh

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SUPERMARKETS:

HYPERMARKETS:

Provides variety and huge

volumes of exclusive
merchandise at low margins
Operating cost is comparatively
less than other retail formats
For Example: Dmart , Big
Bazaar, Trent, Landmark, Star
Bazaar

a self service store consisting

mainly of grocery and limited
products on non food items
may adopt a Hi-Lo or an EDLP
strategy for pricing
supermarkets can be
anywhere between 20,00040,000 square feet
For Example: SPAR
supermarket

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MALLS:

Has a range of retail shops

at a single outlet
Endow with products, food
and entertainment under a
roof
For Example: Inorbit Mall,
Ambience Mall.

CATEGORY KILLERS

Supplying wide assortment in a

single category for lower prices
a retailer can "kill" that
category for other retailers
The products are displayed at
the center of the store and
sales person will be available to
address customer queries and
give suggestions when required
For Example: Pai Electronics
store in Bangalore.

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VENDING MACHINES:

E-TAILERS:

Customer can shop and order

through internet and the
merchandise are dropped at
the customer's doorstep
Format is ideal for customers
who do not want to travel to
retail stores and are
interested in home shopping
For Example: Amazon and
Ebay

An automated piece of
equipment wherein
customers can drop in the
money in machine and
acquire the products
This system is currently not
widely used in India
For example: Soft drinks
vending at Bangalore Airport

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