2. ABSTRACT
The purpose of this research is to examine the emotions young
compulsive buyers experience while shopping and target the college
student.Conduct a study of compulsive buying and the results show
that the emotions experienced by compulsive buyers are much more
complex than thought. The emotions young consumers go through
during the shopping process are not predominantly negative or
positive. Instead, young consumers move up and down on an
emotional continuum during the shopping. The trigger involved with
the emotions is linked to the different factors such as public self
conscious, post- purchase buyers, stress and anxiety, materialism,
power-prestige, peer communication, family pressures and credit card
usage. This study was focused on young consumers or college
students. Although this age group is considered suitable for conducting
a study of compulsive buying, the results cannot be generalized to
other age groups.
2
3. RELIANCE
"Growth has no limit at Reliance. I keep revising my vision. Only
when you can dream it, you can do it."
Dhirubhai H. Ambani
Founder Chairman Reliance Group
December 28, 1932 - July 6, 2002
RELIANCE GROUP
The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is
India's largest private sector enterprise, with businesses in the energy
and materials value chain. Group's annual revenues are in excess of
USD 27 billion. The flagship company, Reliance Industries Limited, is a
Fortune Global 500 company and is the largest private sector company
in India.
Backward vertical integration has been the cornerstone of the
evolution and growth of Reliance. Starting with textiles in the late
seventies, Reliance pursued a strategy of backward vertical integration
- in polyester, fibre intermediates, plastics, petrochemicals, petroleum
3
4. refining and oil and gas exploration and production - to be fully
integrated along the materials and energy value chain.
The Group's activities span exploration and production of oil and gas,
petroleum refining and marketing, petrochemicals (polyester, fibre
intermediates, plastics and chemicals), textiles and retail.
Reliance enjoys global leadership in its businesses; The Group exports
products in excess of USD 15 billion to more than 100 countries in the
world. There are more than 25,000 employees on the rolls of Group
Companies. Major Group Companies are Reliance Industries Limited
(including main subsidiaries Reliance Petroleum Limited and Reliance
Retail limited) and Reliance Industrial Infrastructure Limited.
Reliance Industries Limited is India's largest private sector
conglomerate (and second largest overall) with an annual turnover of
US$ 35.9 billion and profit of US$ 4.85 billion for the fiscal year ending
in March 2008 making it one of India's private sector Fortune Global
500 companies, being ranked at 206th position (2008). [1]
It was
founded by the Indian industrialist Dhirubhai Ambani in 1966. Ambani
has been a pioneer in introducing financial instruments like fully
convertible debentures to the Indian stock markets. Ambani was one of
the first entrepreneurs to draw retail investors to the stock markets.
Critics allege that the rise of Reliance Industries to the top slot in terms
of market capitalization is largely due to Dhirubhai's ability to
manipulate the levers of a controlled economy to his advantage.
Though the company's oil-related operation forms the core of its
business, it has diversified its operations in recent years. After severe
differences between the founder's two sons, Mukesh Ambani and Anil
Ambani, the group was divided between them in 2006. In September
2008, Reliance Industries was the only Indian firm featured in the
Forbes's list of "world's 100 most respected companies"
4
5. Subsidiaries of RIL
• Reliance Petroleum
• Ranger Farms Limited
• Retail Concepts and Services (India) Private Limited
• Reliance Retail
• Reliance Global Management Services (P) Limited
• Reliance Biopharmaceuticals
• Reliance Ghatraj Services
• Reliance Engineering Associates (P) Limited
Reliance Retail Limited
Reliance is gearing up to revolutionize the retailing industry in India.
Towards this end, Reliance is aggressively working on introducing a
pan-India network of retail outlets in multiple formats.
A world class shopping environment, state of art technology, a
seamless supply chain infrastructure, a host of unique value-added
services and above all, unmatched customer experience, is what this
initiative is all about.
The retail initiative of Reliance will be without a parallel in size and
spread and make India proud. Ensuring better returns to Indian
farmers and manufacturers and greater value for the Indian consumer,
both in quality and quantity, will be an integral feature of this project.
By creating value at all levels, we will actively endeavour to contribute
to India's growth.
5
6. The project will boast of a seamless supply chain infrastructure,
unprecedented even by world standards. Through multiple formats
and a wide range of categories, Reliance is aiming to touch almost
every Indian customer and supplier.
With a vision to generate inclusive growth and prosperity for farmers,
vendor partners, small shopkeepers and consumers, Reliance Retail
Limited (RRL), a subsidiary of RIL, was set up to lead Reliance Group’s
foray into organized retail.
With a 27% share of world GDP, retail is a significant contributor to
overall economic activity across the world. Of this, organized retailing
contributes between 20% to 55% in various developing markets. The
Indian retail industry is pegged at $ 300 billion and growing at over
13% per year. Of this, presently, organized retailing is about 5%. This is
expected to grow to 10% by 2011. RRL has embarked upon an
implementation plan to build state-of-the-art retail infrastructure in
India, which includes a multi-format store strategy of opening
neighbourhood convenience stores, hypermarkets, and specialty and
wholesale stores across India.
RRL launched its first store in November 2006 through its convenience
store format ‘Reliance Fresh’. Since then RRL has rapidly grown to
operate 590 stores across 13 states at the end of FY 2007-08. RRL
launched its first ‘Reliance Digital’ store in April 2007 and its first and
India’s largest hypermarket ‘Reliance Mart’ in Ahmadabad in August
2007. This year, RRL has also launched its first few specialty stores for
apparel (Reliance Trends), footwear (Reliance Footprints), jewellery
(Reliance Jewels), books, music and other lifestyle products (Reliance
Timeout), auto accessories and service format (Reliance AutoZone) and
also an initiative in the health and wellness business through ‘Reliance
Wellness’. In each of these store formats, RRL is offering a unique set
of products and services at a value price point that has not been
available so far to the Indian consumer. Overall, RRL is well positioned
to rapidly expand its existing network of 590 stores which operate in
57 cities.
6
7. During the year, RRL also focused on building strong relationships in
the agri-business value chain and has commenced marketing fruits,
vegetables and staples that the company sources directly to
wholesalers and institutional customers. RRL provides its customers
with high quality produce that has better shelf life and more consistent
quality than was available earlier. RRL has made significant progress in
establishing state-of-the-art staples processing centres and expects to
make them operational by May 2008.
Through the year, RRL also expanded its supply chain infrastructure.
The Company is fully geared to meet the requirements of its rapidly
growing store network in an efficient manner.
Recognizing that strategic alliances are going to be a key driver to its
retail business, in FY 2007-08, RRL established key joint ventures with
international partners in apparel, optical and office products
businesses. Further, RRL will continue to seek synergistic opportunities
with other international players as well. This year, RRL will continue its
focus on rapid expansion of the existing and other new formats across
India.
7
8. Popular Profiles at Reliance Retail
ManageMent teaM
naMe Designation
Mr. Mukesh Ambani Chairman&Managing Director
Nikhil R Meshwani Executive Director
Hital R Meshwani Executive Director
Madhumita Mohanti Deputy General Manager
Akashay Lokhande Area Manager-Operation &Sales
and NSO
Devandra Chawla Vice-President-Business Head,
Merchandise Head
Zubin Nowrojee, Mangement State Head Category
Formats of Reliance RETAIL
Reliance Fresh,
Reliance Mart,
Reliance Digital,
Reliance Trendz,
Reliance Footprint,
Reliance Wellness,
8
9. Reliance Jewels,
Reliance Timeout and Reliance Super,
RELIANCE fRESH
APKA FRESH APKE PADAOS ME
Reliance fresh is the retail chain division of reliance industries of India
which is headed by Mukesh Ambani. Reliance has entered into this
segment by opening new retail stores into almost every metropolitan
and regional area of India. Reliance plans to invest rs 25000 crores in
the next 4 years in their retail division and plans to begin retail stores
in 784 cities across the country. The reliance fresh supermarket chain is
ril’s rs 25,000 crore venture and it plans to add more stores across
different g, and eventually have a pan-India footprint by year 2011.
The super marts will sell fresh fruits and vegetables, staples, groceries,
fresh juice bars and dairy products and also will sport a separate
enclosure and supply-chain for non-vegetarian products. Besides, the
stores would provide direct employment to 5 lakh young Indians and
indirect job opportunities to a million people, according to the
company. The company also has plans to train students and
housewives in customer care and quality services for part-time jobs
BACK GROUND
We can see many examples of businesses where, first we grow and
then think of expanding but
9
10. Reliance is quite different. Reliance has developed such huge amount
of resources and capital over the years that whenever it steps into any
segment it is not required to wait for growing signal, that’s why it
always thinks of expanding without any boundaries. Reliance retail is
next Step by RIL which will be a pan India project.
Reliance Fresh is the retail chain division of Reliance Industries of India
which is headed by Mukesh Ambani. Reliance has entered into this
segment by opening new retail stores into almost every metropolitan
and regional area of India. Reliance plans to invest Rs 25000 crores in
the next 4 years in their retail division and plans to begin retail stores
in 784 cities across the country. The Reliance Fresh supermarket chain
is RIL’s Rs 25,000 crore venture and it plans to add more stores across
different g, and eventually have a pan-India footprint by year 2011.
The super marts will sell fresh fruits and vegetables, staples, groceries,
fresh juice bars and dairy products and also will sport a separate
enclosure and supply-chain for non-vegetarian products. Besides, the
stores would provide direct employment to 5 lakh young Indians and
indirect job opportunities to a million people, according to the
company. The company also has plans to train students and
housewives in customer care and quality services for part-time jobs.
The company is planning on opening new stores with store-size varying
from 1,500 sq ft to 3,000 sq ft, which will stock fresh fruits and
vegetables, staples, FMCG products and dairy products. Each store is
said to be within a radius of 1-2 km of each other, in relation to the
concept of a neighbor store. However, this is only the entry roll-out
that the company has planned. Bangalore is said to have 40 stores in
all by the end of the year.
In a dramatic change due circumstances prevailing in UP, West Bengal
and Orissa, It was mentioned recently in News Dailies that, Reliance
Retail is moving out stocking. Reliance Retail has decided to minimize
its exposure in the fruit and vegetable business and position Reliance
Fresh as a pure play super market focusing on categories like food,
FMCG, home, consumer durables, IT, wellness and auto accessories,
with food accounting for the bulk of the business.
10
11. The company may not stock fruit and vegetables in some states,
Orissa being one of them. Though Reliance Fresh is not exiting the fruit
and vegetable business altogether, it has decided not to compete with
local vendors partly due to political reasons, and partly due to its
inability to create a robust supply chain. This is quite different from
what the firm had originally planned. When the first Reliance Fresh
store opened in Hyderabad last October, not only did the company
said the store’s main focus would be fresh produce like fruits and
vegetables at a much lower price, but also spoke at length about its
“farm-to-fork’’ theory. The idea the company spoke about was to
source from farmers and sell directly to the consumer removing
middlemen out of the way.
FaRM to FoRK
The Reliance retail company sources say it is setting aside Rs
50,000 crore to build its farm-to-fork linkage. Reliance has drawn
up plans for a presence in 784 towns and 6,000 mandi (wholesale
market) towns with 1,600 rural business hubs to service these. It
has already rolled out 177 Reliance Fresh stores across major
towns in 11 states. According to a company report, RIL is
targeting a turnover of Rs 40,000 crore in the next few years.
11
12. TRAD
ITIONAL MODEL OF RETAIL RELIANCE “FARM TO
FORK”
sUPPLY CHain MoDeLs oF ReLianCe
RetaiL
Reliance started its retail operations of Reliance Fresh stores
with following supply chain model. Procuring directly from the
farmers and operating with moderate margin but mass selling
12
13. was key to Reliance fresh operation for first few months. The
following figure depicts the first Reliance fresh model
RELIANCE FRESH
WHOLESALE TRADING (WST) :
Reliance formalized its second supply chain model to shift itself
from grocery retailer to grocery supplier by focusing and
establishing itself in Mandi’s.
STEPS IN WTS MODEL:
13
RELIANCE OWN
LOGISTICS
RELIANCE
FRESH
OUTLETS
RELIANCE
FRESH
OUTLETS
RELIANCE
FRESH
OUTLETS
PROCESSIN
G
UNIT/POINT
COLLECTIO
N
POINT/UNIT
Farmers Own Transportation
Reliance own Logistics Reliance own Logistics
Farmers Own Transportation
RF
RF
FARMERS
CATEGOR
Y 1
FARMERS
CATEGOR
Y 2
FARMERS
CATEGOR
Y 3
14. 1) Reliance has owned farms on contract basis for production of
specific crop which is decided after extensive research depending
on
• SOIL CONDITIONS,
• CLIMATE CONDITIONS,
• RETURN OVER COSTS INCURRED.
So as to yield best possible results.
2) Different vegetables and fruits from such farms are collected
through reliance own
Logistics and brought to collection Processing centres where
quality check and other required processing is done.
In processing centres workers wearing balaclavas, woollen
trousers and bulky jackets work inside a room kept at a constant
3oC, peeling and chopping vegetables, spinning them dry and then
heaping them in small plastic packets before placing them in plastic
transport crates. At the other end of the 5,000-sq-m warehouse,
men unload crates of fruits from a truck pulled up to a spotless
loading dock. A quality-control expert samples every tenth crate; if
the fruits are good a team will ready them for delivery within hours
to Reliance fresh stores around different places like U.P and as far
away as Hyderabad and even Mumbai (formerly Bombay). If they
are not, workers will inspect the entire shipment and discard
anything below standard.
3) Merchandise from these collection processing centers are
collected and loaded for Wholesale mandi’s. As this merchandise is
to be made available by 4 A.M in morning thus deliveries in trucks
are sent at time depending upon:
TRANSIT TIME. – Time required reaching destination i.e. mandi’s.
14
15. MARGIN TIME. – Time period between a truck reaching mandi and
then Unloads. Can be 2 to 3 hours.
LOADING AND UNLOADING TIME.
4) From mandi’s where the trucks have been unloaded, roadside
vendors and pull carters Buy fruits and vegetables to supply in
households.
5) In case still some vegetables and fruits are not sold reliance
logistics own
Transportation sends them to reliance fresh stores.
15
16. Research Methodology
Research Problem
To make a comprehensive study of Reliance Fresh &know the Buying
behaviour & of Reliance Fresh customers.
Type of research
Descriptive type research has used to complete the project. This
research is base on fact finding enquires and the variables are totally
independent and uncontrollable.
Data collection:
Primary Data
Primary data of research are collected from direct resources
(customer of Reliance fresh) through questionnaire.
Secondary Data
Secondary Data which are used for research to know the history scop
of Retail industry are collected from already available resources like
net and other sources
Universe
Universe of this research is reliance fresh customer of Delhi.
16
17. Sampling technique
Random sampling is used for research project. I have given equal
weightages to my all respondent and chose them randomly without
any biased like gender, age, income culture.
Sample size
100 respondents has selected as sample size for research.
Data representation technique and tools
Columns chart & Pie chart has used for representation.
(1). Gender of the consumer
Data Collected-
Data collected for this questionnaire to know
the gender of customer of reliance fresh.
(2). Age of customer
17
Male & Female
40 60
18. 10-20 21-50 51& above
25 50 30
Data Collected-
Data collected for this questionnaire to know
the age of customer of reliance fresh.
(3). How offer do you shop
Daily ( ) week ( ) fortnightly ( ) once in month ( )
Data Collected-
Data collected for this questionnaire to know the
shopping behaviour of customer of reliance fresh.
18
Daily Week Fortnightly Once in
month
10 20 50 20
19. (4). What do you mostly shop for at mentioned
store?
Vegetables ( ) Grocery ( ) cosmetic product ( ) all product ( )
Vegetable Grocery Cosmetic
product
All
product
10 40 20 30
Data Collected-
Data collected for this questionnaire to know
the products which are like to purchase by the customer.
(5). Preference of shopping?
Quality ( ) Brand ( ) Price ( ) one stop shop
Quality brand Price One stop
shop
20 20 20 20
Data Collected-
Data collected from this questionnaire to know
the preference the shopping
19
20. are like to purchase quality product which are 24.00%, only 59
respondent consider price which are 13.08.%.
(6). which store do you kept in preference for
purchasing
Reliance Fresh ( ) Big apple ( ) other ( ) Local market
Local
market
Reliance fresh Big apple Other
35 20 25 40
Data Collected-
Data collected from this questionnaire to know
the preference of the purchasing (comparison of store to other).
(7). Do advertisement and promotion influence your
shopping decision?
Yes ( ) No ( )
Yes No
75 25
20
21. Data Collected-
Data collected from this questionnaire to know
the effect of promotion scheme on purchasing.
(8). Are Promotion scheme easy to understand
Yes ( ) NO ( ) some time ( )
Yes no Some time
55 35 10
Data Collected-
Data collected from this questionnaire to know
display of promotion scheme..
(9). How likely are you to recommend Reliance
Fresh to a friend or relative? Would you say the
chances are?
Excellent ( ) Good ( ) Fair ( ) Poor ( )
Excellent Good Fair Poor
20 60 15 5
Data Collected-
21
22. Data collected from this questionnaire to know
the satisfaction level of customer.
(10). Which form of advertisement do you think is
most effective?
Print ( ) TV ( ) Radio ( ) telephone ( )
Print TV Radio Telephone
30 50 20 0
Data Collected-
Data collected from this questionnaire to know
the better advertisement mode of promotion.
OPINION:
1- More promotion scheme should be used to penetrate the
market.
2- Skilled employees should be higher because mostly customers
are young.
3- Promotion scheme should in such way that customer can
understand easily.
4- Service of store should be providing in such way which full the
need of the customer.
22
23. Reliance Fresh
Questionnaire
NAME-
GENDER-
AGE - Monthly income-
1- How offer do you shop
Daily ( ) week ( ) fortnightly ( ) once in month ( )
2- What do you mostly shop for at mentioned store
Vegetables ( ) Grocery ( ) cosmetic product ( )
3- Which store do you shop?
Reliance Fresh ( ) Big apple ( ) other ( ) Local market
4- Preference of shopping
Quality ( ) Brand ( ) Price ( ) one stop shop
5- Do advertisement and promotion influence your shopping decision
Yes ( ) No ( )
6- Are Promotion scheme easy to understand
23
24. Yes ( ) NO ( ) some time ( )
7- How likely are you to recommend Reliance Fresh to a friend or
relative? Would you say the chances are?
Excellent ( ) Good ( ) Fair ( ) Poor ( )
8- Are the Price of Reliance fresh is lower than the other competitor
Yes ( ) No ( ) Equal ( ) no idea ( )
9- Which form of advertisement do you think is most effective?
Print ( ) TV ( ) Radio ( )
10- Did you get help from CSA when asked?
Yes ( ) No ( ) some time ( ) Never ( )
References
Referred books-
Marketing Research – Paneerselvam
Research Methodology – C.R Kothari
Principles of Marketing – Philip Kotler
24
