The presentation discusses the retail industry in India, focusing on the business model of Big Bazaar and various retail formats. It highlights the fragmented nature of the Indian retail market, the transition from traditional to organized retail, and the factors driving growth in modern retail. Additionally, it analyzes competitive forces using Porter's Five Forces model and emphasizes key learnings such as understanding customers and effective management.

1. INDIA KA NAYA BAZAR
GROUP-1
ANUBHI RAIKWAR

2. OBJECTIVE OF THIS
PRESENTATION
 TO UNDERSTAND RETAILING AND RETAIL FORMATS
 UNDERSTAND BUSINESS MODEL OF “BIG BAZAR”
 PORTAL’S FIVE FORCES MODEL
 LEARNINGS FROM THE CASE

3. RETAILING
 FINAL STEP IN THE DISTRIBUTION OF MERCHANDICE
BULK
PRODUCER
RETAILING
FINAL
CONSUMER

4. RETAIL FORMATS
ORGANISED
SPECIALITY
STORES
DEPARTMENT
STORES
CONVENIENCE
STORES
HYPER
MARKETS
SUPER
MARKETS
MALLS
CATEGORY
KILLERS
E-TAILORS
VENDING
MACHINES

5. UN-ORGANISED
MOM AND POP
PEDDLERS AND
HAWKERS
MARKET
TRADERS 7
STREET TRADERS

6. INDIAN RETAIL
 Highly fragmented
 10% contribution to GDP of India
 World’s 8th largest market
 Transformation from
TRADITIONAL
(KIRANA)
ORGANISED
(SUPER
MARKET)

7. BIYANI
“RAJA OF RETAIL”
ABILITY TO PULL CUSTOMERS FROM
TRADITIONAL BAZARS TO HIS SUPER MARKETS

8. BIG BAZAR
TYPE OF MARKET
HYPERMARKET/
SUPERMARKET

9. BUSINESS MODEL
SUCCESS
PRODUCT
PRICES
PROMOTION
PLACEPHYSICAL
EVIDENCE
PROCESS
PEOPLE
7 P’S

10. SUCCESS BEHIND
TRADITIONAL RETAIL
 CONTRIBUTION TO LARGE AMOUNT OF INDIAN RETAIL SALES
WHY?
 LOW SHOP RENT
 LOW LABOUR COST
 LESS EMPLOYEES MORE SALES OF VARIED PRODUCTS
 CONVENIENT TO CUTOMER’S REACH
 TRADITION OF OFFERING CREDIT

11. MODERN RETAIL
 OPPORTUNITY FOR RAPID GROWTH IN INDIA
WHY?
 INCREAS IN DEMAND OF CONSUMER GOODS
 LIBERALISATION ON IMPORT OF CONSUMER GOODS BY REDUCING
IMPORT TARRIF
 ENABLING LOCAL RETAILERS TO PROVIDE INTERNATIONAL PRODUCTS
 TAEGET - LAGEST BIG CITIES
WHY?
• DIFFICULTIES IN OPERATIONS ANS SUPPLY LOGISTICS IN SMALL CITIES
• POOR INFRASTRUCTURE

12. ANALYSIS
1. Rivalry among existing firms
2. Threats of new entrants
3. Bargaining power of buyers
4. Threats of substitute products or services
5. Bargaining power of suppliers
INDUSTRY
COMPETITORS
POTENTIAL
ENTRANTS
BUYERS
SUBTITUTES
SUPPLIERS
PORTER’S FIVE
FORCE MODEL
31
4
2
5

13. Company promised that they
provide lower cost than other stores
and bazars
Reliance announced major retail
plans
Wal-mart - if FDI introduced
Executives may shift from the
company
No threat of substitute
As consumers love bargains-
company’s tagline was “isse sasta
aur accha kahin nahin”
Global retailers
Reliance-India’s largest
business house
1 25
4 3

14. LEARNINGS
 Involvement in the business
 Understanding your customer
 Ability to pull customers from
 Not just delegation is important sometimes responsibility with
position should be given
 Trust in the management team
 Effective promotion