Intl retailng


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Intl retailng

  1. 1. International Retailing Presenter: Amit Kumar Roy 1014370005
  2. 2. International Retailing Defined² Definition:- “ All the activities involved in selling products and services to finalinternational consumers for their personal consumption.”² “Retail internationalization is the management of retail operations in market which are different from other in their regulation, economic development, social conditions, cultural environment and retail structures.”² Transferring retail operations, concept, management expertise & buying function across national borders.² Global retailing is now valued at $ 7 Trillion (Source:2011 Global Retail Report, Deloitte Touché Tohmatsu).
  3. 3. Growing Indian Retail SectorRetail Sector contribution to GDP sector is 8%-10%.    
  4. 4. International Retail At Glance 3% 2% 9% 8% 38%13% 27% USA EU Japan China India Russia Others
  5. 5. Factors Affecting International Retailing Expansion of Retail Transfer Of Retail Operations To Concepts. Foreign Market.     Internationalization Employing Advance Of Management Technology. Expertise
  6. 6. Issues In International Retailing Legislation & Regulation Variations In Taxation & Retail Practices International (Sales people And Retailing Cross Border Management)   Shopping Variations In Retail Practices (Consumers Perspective)
  7. 7. Indian Vs. Global Retailing Indian Retailing Global RetailingA)  Retailing  Is  mostly  unorganized.                                    A)  Mostly  Organized  Retailing.    B)  It  is  concentrated  around  few  formats.          B)  Large  number  of  retail  formats  .    C)  Lag  behind  in  use  of  technology.                                  C)  Advanced  technology  applications.    D)  Infrastructural  Bottlenecks.                                                    D)  Minimum  infrastructural  problems.    E)  Low  competition  market.                                                            E)  Cut-­‐throat  competition  exists.    F)  Lack  of  trained  Manpower.                                                      F)  Trained  manpower  aids  retail  boom.      
  8. 8. InternationalizationConcept:- “It is the act of crossing international boundaries with business interests .”v Choices of Internationalization:- ü  Self-Start Entry. ü  Acquisitions & Mergers. ü  Joint Ventures. ü  Franchising. ü  Exporting.
  9. 9. Reasons 4 Going International•  PULL FACTORS:- are •  PUSH FACTORS:- are Pro-active reasons, are Reactive reasons, are motivating forces which compulsions of domestic attract business. E.g. market like saturation of Profitability & Growth market, Unskilled prospects. manpower etc.
  10. 10. Process Of Internationalization Licensing  A  contractual  agreement  in  which  one  firm  provides  access  to  some  of  its  patents,  trademarks,  or  technology  to  other  firms  in   exchange  for  fee  or  royalty.   Export  via  agent  or  distributor   Firm  uses  export  as  “Vent”  for  its  surplus  production  and  may  have  no  long  run  commitment  to  the  international  market.   Export  through  own  sales  representative  or  sales  subsidiary.   Firm  sets  a  separate  export  department  to  manage  sales  and  production,  tailoring  of  product  design  as  per  export  market.   Local  Packaging  and  or  Assembly   Involving  in  Host  country  Factor  market,  dealing  with  environmental  variables  such  as  cultural  attitudes,  wage  rate,  workers   expectations.   Foreign  Direct  Investment   Establishes  production  line  in  Host  country  with  prescribed  FDI  norms.  
  11. 11. Globalization² Concept:- “Integration with world economy or the process of integration of the world into one huge market.”² I.M.F Definition:- “The growing interdependence of countries worldwide through increasing volume and variety of cross-border transactions in goods and services and of international capital flow and also through more rapid and widespread diffusion of technology.”² The firm commits itself with several manufacturing locations around the world.
  12. 12. Globalization AdvantagesFree flow of technology.   Increased industrialization.   Development of world economies.   Increased employment and income.  High standards of living.  
  13. 13. Globalization DisadvantagesHeterogeneity of problems.   Reluctance of developed countries.   Reluctance of developing countries.  Short term gains.  
  14. 14. Multi-national & Trans-national Retailers•  Multinational Retailors:- •  Transnational Retailors:- The retailer operates in The retailors develop a more than one country and world class format that is adapts its offering to fit flexible enough to adapt to that country. local markets.
  15. 15. Amit Kumar Roy(1014370005)
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