The document presents information on the global and Indian retail industry. It discusses the share of organized and unorganized retail globally and in major countries. It then outlines the outlook for retail in India, including its size, growth of organized retail, and large consumer base. A PESTEL analysis is also presented, covering political, economic, social, technological, ecological, and legal factors impacting retail. The presentation identifies threats such as political instability and opportunities like India's large consumer base and increasing purchasing power. It concludes that political issues are a concern but innovation can help organized retail overcome obstacles.
2. 2
Flow of Presentation
Global Scenario
Indian retail outlook
PESTEL
Threats and opportunities
Conclusion
Institute of Agri Business Management Bikaner
12/19/2013
3. Global Scenario (2011-12)
3
Share of
Share of Organized Unorganized Retail
Total Retail Sales (USD)
Retail (%)
(%)
$2,983,000,000,000
85%
15%
Country
USA
Japan
$1,182,000,000,000
66%
34%
China
$785,000,000,000
20%
80%
United Kingdom
$475,000,000,000
80%
20%
France
$436,000,000,000
80%
20%
Germany
$421,000,000,000
80%
20%
India
$322,000,000,000
4%
96%
Brazil
$284,000,000,000
36%
64%
Russia
$276,000,000,000
33%
67%
South Korea
$201,000,000,000
15%
85%
Institute of Agri Business Management Bikaner
Contd.
12/19/2013
5. 5
Indian Retail Outlook
India retail industry:
15% of GDP and 8% of employment
Net worth of ₹
18673 billion (2012)
No. of Kirana stores 12 million
Share of organized retail 7% (2011)
Expected growth of organized retail
21% of total
Large consumer base
Source: Productivity News April-June 2013
Institute of Agri Business Management Bikaner
12/19/2013
7. 7
Political
Economical
Social
Technological
Ecological
Government
regulation
FDI limit
partnership
rules
and
and
foreign
Small
Kirana
shops:
source of party fund
Legal
Institute of Agri Business Management Bikaner
Contd.
12/19/2013
8. 8
Political
Capital intensive business
Economical
High operating cost
Social
FDI
Technological
Degree
of
discrimination
Ecological
Legal
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price
Availability of inexpensive
labour
Contd.
12/19/2013
9. 9
Political
Economical
Social
Technological
Ecological
Legal
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Increase in no. of tier II
cities
Increasing
purchasing
power of Indians
Attraction
westernization
towards
Purchasing behaviour of
Indian customer
Contd.
12/19/2013
10. 10
Political
Computerization
Economical
E-Commerce
Social
Database management
Technological
Ecological
Improved supply
management
Legal
Food processing
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Contd.
chain
12/19/2013
11. 11
Economical
Diverse
climatic
conditions of India
Social
Ample production
Political
Technological
Ecological
Legal
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Contn….
12/19/2013
12. 12
Political
Supremacy of Government
Economical
Quality
parameters
Social
Technological
Ecological
Legal
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standard
Rules
and
related to FDI
regulation
Liberalized economy
Contn….
12/19/2013
13. 13
Threats and Opportunities
Threats
Opportunities
Political instability
Huge consumer base
Untapped rural India
Inefficient supply chain
Small Kirana stores
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Increasing purchasing
power
Diverse production
Emergence
and
acceptance of private
labels
12/19/2013
14. 14
Conclusion
Political factor is a major factor of concern,
however innovation in organise retail business can
overcome of obstacles
Public private partnership model in government
run cooperative stores
Even small traders can go for Business to
Business initiatives
Institute of Agri Business Management Bikaner
12/19/2013