The retail industry in India is undergoing major changes as large domestic and international companies enter the market. Reliance Industries announced a $2 billion investment in its retail venture Reliance Retail. Aditya Birla Group will invest over $1.3 billion in retail over the next three years. Walmart is entering the Indian market through a partnership with Bharti Enterprises. Major players anticipate investments and expansion will generate many new jobs in the growing retail sector.
VIP Industries is India's largest manufacturer of hard luggage and a market leader in the luggage industry with over 60% market share. It is recommended as a buy with a 12 month target price of Rs. 130 per share. Key reasons include strong growth expected in the soft luggage segment where VIP is expanding its offerings. Additionally, recent acquisitions and brand building exercises are positioning VIP to increase market share and cater to all price segments. However, raw material price fluctuations and competition from the unorganized sector pose investment concerns.
There has been a big buzz recently on how India might become a steam
horse in the global economy as a manufacturer. But how is it going with
the 1.2 billion people populating the huge Asian subcontinent as far as
outdoor activities are concerned? We asked our reporter to check out Indian
outdoor shops – and, of course, the great, but still under-estimated
outdoor arena of the huge country.
The document summarizes several major financial market scams that occurred in India, including:
1) The 1992 Harshad Mehta securities scam, which involved Rs. 5000 crores through fraudulent ready forward deals and fake bank receipts.
2) The 2001 Ketan Parekh scam, where he rigged stock prices of companies like Visualsoft and Sonata Software, inflating values and causing losses of Rs. 1250 crores.
3) The 2001 UTI scam, where chairman P Subramanyam misused small investor funds worth Rs. 4800 crores for favors and junk investments.
4) The 2008 Satyam scam, where founder Ramalinga Raju admitted to fals
Future Group is an Indian conglomerate established in 1987. It is valued at over $10 billion and led by Kishore Biyani. Future Group operates numerous retail formats and brands across India, including Pantaloon Retail, Big Bazaar, Food Bazaar, and Central. The group aims to deliver products and services to Indian consumers through a variety of retail formats and has seen rapid expansion in recent years. Future Group is considered a pioneer in modern retail in India.
The article discusses the acquisition of German concrete pump manufacturer Putzmeister by Chinese company Sany. It notes Sany's rise to become China's dominant domestic construction equipment leader through the support of the Chinese government. While some see aggressive deals like this as signs that Chinese companies are returning to real economic activities, others remain skeptical and see potential issues arising from debt-fueled expansion and a possible property bubble in China. The acquisition raises questions about how Chinese national champions plan to compete globally in core manufacturing industries.
Vishal Retail, an Indian retail chain, reported a net loss of Rs 19.47 crore for the first quarter of 2010-11, lower than a net loss of Rs 90.65 crore in the same period last year. However, net sales increased to Rs 334.63 crore from Rs 265.37 crore. Spencer's Retail expects its specialty retail division sales to increase five-fold to Rs 500 crore by 2013 by investing Rs 30 crore in new stores. Bharti-Walmart is waiting for changes in FDI policy to potentially open hundreds of stores in India. Future Group will launch a new ethnic wear brand called Srishti in six months. The government will
Lion Trilogy: Lion Entrepreneurs and Lion Infrastructure + Media articlesKoon Boon KEE
This document summarizes key similarities between Berkshire Hathaway and Singapore, and discusses the importance of "Lion entrepreneurs" in building infrastructure and achieving long-term success. Specifically:
1) Berkshire Hathaway and Singapore both went public in 1965 and have achieved multibagger growth, with Berkshire increasing its value 4,340-fold and Singapore transforming from a small village to a $180 billion economy.
2) Both have had visionary founders, with Warren Buffett building Berkshire Hathaway and Lee Kuan Yew credited for Singapore's success.
3) Building "Lion infrastructure" through long-term thinking, teamwork and sacrifice is important for sustained growth, as
The document compares Singapore and Berkshire Hathaway, noting they both started in 1965 and have achieved extraordinary growth and returns since. It discusses how both have had visionary founders, Lee Kuan Yew for Singapore and Warren Buffett for Berkshire, who made critical early decisions that shaped long-term success. It also notes both benefited from strong teams, with Singapore having Lee Kuan Yew, Goh Keng Swee, and Hon Sui Sen, and Berkshire having Charlie Munger support Buffett's investments. The document advocates for investing in "Lion entrepreneurs" who have long-term visions and build durable businesses, rather than "Hyena entrepreneurs" who are short-term thinkers focused on quick gains.
VIP Industries is India's largest manufacturer of hard luggage and a market leader in the luggage industry with over 60% market share. It is recommended as a buy with a 12 month target price of Rs. 130 per share. Key reasons include strong growth expected in the soft luggage segment where VIP is expanding its offerings. Additionally, recent acquisitions and brand building exercises are positioning VIP to increase market share and cater to all price segments. However, raw material price fluctuations and competition from the unorganized sector pose investment concerns.
There has been a big buzz recently on how India might become a steam
horse in the global economy as a manufacturer. But how is it going with
the 1.2 billion people populating the huge Asian subcontinent as far as
outdoor activities are concerned? We asked our reporter to check out Indian
outdoor shops – and, of course, the great, but still under-estimated
outdoor arena of the huge country.
The document summarizes several major financial market scams that occurred in India, including:
1) The 1992 Harshad Mehta securities scam, which involved Rs. 5000 crores through fraudulent ready forward deals and fake bank receipts.
2) The 2001 Ketan Parekh scam, where he rigged stock prices of companies like Visualsoft and Sonata Software, inflating values and causing losses of Rs. 1250 crores.
3) The 2001 UTI scam, where chairman P Subramanyam misused small investor funds worth Rs. 4800 crores for favors and junk investments.
4) The 2008 Satyam scam, where founder Ramalinga Raju admitted to fals
Future Group is an Indian conglomerate established in 1987. It is valued at over $10 billion and led by Kishore Biyani. Future Group operates numerous retail formats and brands across India, including Pantaloon Retail, Big Bazaar, Food Bazaar, and Central. The group aims to deliver products and services to Indian consumers through a variety of retail formats and has seen rapid expansion in recent years. Future Group is considered a pioneer in modern retail in India.
The article discusses the acquisition of German concrete pump manufacturer Putzmeister by Chinese company Sany. It notes Sany's rise to become China's dominant domestic construction equipment leader through the support of the Chinese government. While some see aggressive deals like this as signs that Chinese companies are returning to real economic activities, others remain skeptical and see potential issues arising from debt-fueled expansion and a possible property bubble in China. The acquisition raises questions about how Chinese national champions plan to compete globally in core manufacturing industries.
Vishal Retail, an Indian retail chain, reported a net loss of Rs 19.47 crore for the first quarter of 2010-11, lower than a net loss of Rs 90.65 crore in the same period last year. However, net sales increased to Rs 334.63 crore from Rs 265.37 crore. Spencer's Retail expects its specialty retail division sales to increase five-fold to Rs 500 crore by 2013 by investing Rs 30 crore in new stores. Bharti-Walmart is waiting for changes in FDI policy to potentially open hundreds of stores in India. Future Group will launch a new ethnic wear brand called Srishti in six months. The government will
Lion Trilogy: Lion Entrepreneurs and Lion Infrastructure + Media articlesKoon Boon KEE
This document summarizes key similarities between Berkshire Hathaway and Singapore, and discusses the importance of "Lion entrepreneurs" in building infrastructure and achieving long-term success. Specifically:
1) Berkshire Hathaway and Singapore both went public in 1965 and have achieved multibagger growth, with Berkshire increasing its value 4,340-fold and Singapore transforming from a small village to a $180 billion economy.
2) Both have had visionary founders, with Warren Buffett building Berkshire Hathaway and Lee Kuan Yew credited for Singapore's success.
3) Building "Lion infrastructure" through long-term thinking, teamwork and sacrifice is important for sustained growth, as
The document compares Singapore and Berkshire Hathaway, noting they both started in 1965 and have achieved extraordinary growth and returns since. It discusses how both have had visionary founders, Lee Kuan Yew for Singapore and Warren Buffett for Berkshire, who made critical early decisions that shaped long-term success. It also notes both benefited from strong teams, with Singapore having Lee Kuan Yew, Goh Keng Swee, and Hon Sui Sen, and Berkshire having Charlie Munger support Buffett's investments. The document advocates for investing in "Lion entrepreneurs" who have long-term visions and build durable businesses, rather than "Hyena entrepreneurs" who are short-term thinkers focused on quick gains.
On the Ground in Asia (Jan/Feb 2013): The Revenge of the Geographical Value I...Koon Boon KEE
This document discusses the importance of local geographical knowledge and expertise in identifying overlooked investment opportunities in Asia. It provides examples of companies like Ancestry.com, Dynasty Ceramic, Singer Thailand, and Charoen Pokphand Group that gained a strong competitive advantage and saw tremendous growth by deeply penetrating rural or provincial areas through their own local distribution networks and understanding customer needs. Having local geographical channels allowed these companies to better manage inventory, pricing, and provide tailored products and services to customers in ways that larger competitors could not. The document advocates that investors should look for such locally specialized businesses that are underestimated due to a lack of geographical awareness, as these types of companies can often deliver multibagger returns.
The document discusses the past, present and future of golf in India. It mentions that golf originated in Scotland and was introduced to India in the 1800s. In the past few years, the number of golf courses in India has increased significantly. Golf tourism is also emerging as more international players visit India to play on courses here. The future of golf in India is promising with continued growth in courses and players. Government support and initiatives are helping drive more interest in golf across the country.
Mubadala, a $232 billion investment fund based in Abu Dhabi, is investing Rs. 6248 crores in Reliance Retail for a 1.4% stake, making it the fourth investor in Reliance Retail. Reliance Retail operates India's largest retail business with over 12,000 stores across 7,000 towns, serving over 640 million customers annually in industries like grocery, consumer electronics, and apparel. In the fiscal year 2020, Reliance Retail's revenues were Rs. 1.63 lakh crore.
The document contains answers to 32 trivia questions from various categories like business, sports, entertainment etc. Some key details include:
- Saina Nehwal was named brand ambassador of Kellogg's in India.
- BigBasket partnered with Chefkraft to deliver ready-to-cook meals under the brand HappyChef.
- Paolo Colella was appointed as head of Ericsson's India operations.
- TA Associates and Argan signed an agreement to acquire 95% stake in broadband provider Atria Convergence Technologies.
Varenyaa Properties is a real estate consulting firm focused on the Gurgaon market in India. It aims to provide superior customer service, build trust, and ensure transparency. Gurgaon is a major economic center with over 300 Fortune 500 companies located there. Real estate in Gurgaon has significantly outperformed other markets in India in terms of returns. Varenyaa analyzes macro trends, developer profiles, and other factors to provide informed investment advice to clients.
Comprehensive Risk analysis of shoppers stop presentationAkshat Kapoor
This is a risk analysis done by me of Shopper Stop for financial year 2011-12.
It is a more comprehensive and detailed version than the previous presentation, as I have added much more important and interesting points to the project.
Hope you will like it.
I would be more than Happy to know your response on the same.
1) Luxury brands have begun making inroads into India's growing luxury market in recent years as the economy booms and Indian consumers show a desire to consume premium international brands.
2) The Indian luxury market is currently estimated at around $444 million but is growing rapidly as India's high net worth individuals and spending power increases.
3) Major luxury brands like Cartier have had a long association with India dating back over a century but are now more aggressively expanding retail operations in India's metro cities to tap the emerging potential of the Indian luxury consumer.
1. The document discusses a joint venture between Bharti Enterprises and Wal-Mart Stores Inc. to explore business opportunities in the Indian retail industry through a 50-50 joint venture.
2. Wal-Mart is the largest retailer in the world and brings supply chain management expertise, while Bharti knows the Indian market.
3. The joint venture will help introduce modern retail to India but may also negatively impact small retailers and increase monopoly power of large players.
The retail sector in India is growing rapidly, fueled by factors such as a young population, increasing urbanization, and rising incomes. The organized retail sector makes up only 5% of the market currently but is expected to see significant growth. The apparel industry is an important part of the Indian economy, accounting for a large portion of GDP and exports. It is divided into organized and unorganized segments as well as categories such as menswear, womenswear, and kidswear. Marketing mix modeling is important in the competitive apparel industry to help companies optimize their promotional strategies and forecast sales based on various tactics.
1. The article profiles the top 5 most powerful people in India based on the India Today Power List 2009.
2. Ratan Tata is ranked first for his statesman-like leadership during times of crisis in India and for continuing to expand the Tata group despite economic challenges.
3. Mukesh Ambani, Anil Ambani, and Sunil Mittal are also featured for growing their business empires and increasing revenues, even as others have struggled during the economic downturn.
4. Shah Rukh Khan made the list not only for his movie success but also for his diverse business interests in areas like television and cricket team ownership.
MRE has scaled new heights in the field of development and manufacturing of Electronic products in the field of Power supply and Safety.
MRE is a leading manufacturer of Power Supplies since 1974
MRE is a high - tech enterprises that specialize in the development and manufacturing of Electronic products in the field of Power supply and Safety.
This year marks MRE's successful completion of 40 years in field of manufacturing with a bouquet of over 100 products to offer to our esteemed clients. We strictly implement & follow the operation guidelines of `Leading Technology, Reliable Quality, Satisfactory Service and Customer First'.
The document summarizes an interview with Viren Sinha, Chairman and Managing Director of Balmer Lawrie & Co. Ltd. Key points include:
- Logistics is the main driver of profits for the company and they plan to invest Rs. 350 crore in expanding their logistics business over the next 2-3 years.
- Opportunities exist in cold chain logistics, temperature controlled warehouses, and a new multi-modal logistics hub project in Visakhapatnam.
The retail world is undergoing a fast paced revolution. One which is being driven
by consumers and fuelled by tech advancements. The pace of this revolution is
remarkable with no sign of slowing down, provided all stakeholders embrace
this change simultaneously. With shopping centres taking steps to merge online
experiences with offline ones, the future of retail is becoming increasingly exciting
for both retailers and consumers. Social Media has its own role to play in this retail
world and its importance will continue to grow. Today, the first part of decision
making for the new age consumer is initiated before he enters the store. The
physical store is an extension and culmination of his primary online journey. He
carries the retail world within his mobile, with the entire shopping and leisure
universe in his pocket!
The document discusses the evolution and growth of the retail industry in India. It covers topics such as the advantages of retail in India, the changing retail landscape and formats, opportunities in rural retail, and initiatives by major companies in India. Key points made include that retail is one of the fastest growing sectors in India, with a large young population and increasing disposable incomes driving demand. Rural retail also provides significant opportunities with initiatives like ITC's e-Choupal and HUL's Project Shakti aiming to improve access and incomes for farmers. Major players operating in India include global brands as well as domestic retailers expanding across the country.
Organized retail in India employs recruitment consultants and agents to help identify qualified candidates for both junior and middle level positions. For junior roles, consultants are used to find candidates in large numbers who can then be shortlisted. For middle level roles, consultants conduct initial screenings before internal teams interview potential hires. During economic downturns, retailers optimize current staff and focus on quality over quantity when hiring through consultants. Consultants play an important bridge between open positions at retailers and job seekers seeking opportunities in the organized retail sector in India.
FMCG companies like Dabur, Godrej, Emami have postponed product launches this year due to rising input costs and inflation. They are waiting for costs to recede before introducing more products. The number of new product launches has decreased from an average of one every alternate day last year to about two per week in the first half of this year. Companies want to keep expenses low and are being cautious with new launches and marketing spends until commodity prices stabilize. Some Dabur and Godrej launches planned for the fourth quarter of last fiscal or early this year have been delayed.
Flipkart is an Indian e-commerce company founded in 2007 and headquartered in Bangalore. It was founded by Sachin Bansal and Binny Bansal and is registered in Singapore. Flipkart operates in the online retail industry in India and has earned revenue of Rs. 60.8 billion with over 10,000 employees. In 2014, Flipkart acquired fashion retailer Myntra.
UTV Motion Pictures is a film production and distribution subsidiary of UTV Software Communications. It produces Bollywood films as well as collaborates with Hollywood studios on films. Approximately 35% of Indian moviegoers are between ages 10-24, making marketing and branding partnerships important. UTV faces competition from other major film releases. Key factors influencing consumer choice of films include marketing, genre, stars, production house, and ease of watching.
The document provides information on Bharti Enterprises, Walmart, and the Bharti Walmart joint venture in India. It discusses the history and business models of Bharti Enterprises and Walmart. It then summarizes the 2006 joint venture between Bharti Enterprises and Walmart to open retail stores in India, as foreign retailers were not allowed direct entry. The joint venture aimed to source 90% of goods from India. It also provides a brief analysis of the joint venture as a horizontal and synergistic strategic alliance.
Retail in India is growing rapidly but also faces many challenges. Organized retail makes up only 3% of the market but is expected to grow significantly. Many large Indian and global companies are investing billions to expand retail operations through new stores, supply chain infrastructure, and partnerships. However, success is not guaranteed as retail requires large investments, real estate costs are high, distribution networks are weak, and many players could lead to overcapacity. The future of India's retail boom remains uncertain.
The Indian retail market has grown at a double-digit compound annual growth rate over the last five years and was worth an estimated $554bn in 2011. The Indian economy grew throughout the global downturn, with increasing consumer purchasing power bolstering the retail sector. Retailing is now the second highest contributor to India’s gross domestic product.
Confusion reigns over India's FDI policy. Currently international food and grocery retailers are prohibited from entering the Indian market, except through cash and carry wholesale trading, but the government announced plans to lift restrictions in 2011, but then committed an embarrassing u-turn just weeks later.
The emergence of modern retail started in the major cities of Delhi, Mumbai, and Bangalore, and the satellite towns which have developed around them due to the huge influx of young professionals. Modern retail is concentrated in just a few cities, and premium locations there have already become saturated.
Employing 8% of the total work force, retail is the second largest employer in the country. The majority of these workers are self-employed, as India has a huge base of traditional retail outlets which are often family-owned. At present, modern retail represents only 5–7% of total retail in India.
On the Ground in Asia (Jan/Feb 2013): The Revenge of the Geographical Value I...Koon Boon KEE
This document discusses the importance of local geographical knowledge and expertise in identifying overlooked investment opportunities in Asia. It provides examples of companies like Ancestry.com, Dynasty Ceramic, Singer Thailand, and Charoen Pokphand Group that gained a strong competitive advantage and saw tremendous growth by deeply penetrating rural or provincial areas through their own local distribution networks and understanding customer needs. Having local geographical channels allowed these companies to better manage inventory, pricing, and provide tailored products and services to customers in ways that larger competitors could not. The document advocates that investors should look for such locally specialized businesses that are underestimated due to a lack of geographical awareness, as these types of companies can often deliver multibagger returns.
The document discusses the past, present and future of golf in India. It mentions that golf originated in Scotland and was introduced to India in the 1800s. In the past few years, the number of golf courses in India has increased significantly. Golf tourism is also emerging as more international players visit India to play on courses here. The future of golf in India is promising with continued growth in courses and players. Government support and initiatives are helping drive more interest in golf across the country.
Mubadala, a $232 billion investment fund based in Abu Dhabi, is investing Rs. 6248 crores in Reliance Retail for a 1.4% stake, making it the fourth investor in Reliance Retail. Reliance Retail operates India's largest retail business with over 12,000 stores across 7,000 towns, serving over 640 million customers annually in industries like grocery, consumer electronics, and apparel. In the fiscal year 2020, Reliance Retail's revenues were Rs. 1.63 lakh crore.
The document contains answers to 32 trivia questions from various categories like business, sports, entertainment etc. Some key details include:
- Saina Nehwal was named brand ambassador of Kellogg's in India.
- BigBasket partnered with Chefkraft to deliver ready-to-cook meals under the brand HappyChef.
- Paolo Colella was appointed as head of Ericsson's India operations.
- TA Associates and Argan signed an agreement to acquire 95% stake in broadband provider Atria Convergence Technologies.
Varenyaa Properties is a real estate consulting firm focused on the Gurgaon market in India. It aims to provide superior customer service, build trust, and ensure transparency. Gurgaon is a major economic center with over 300 Fortune 500 companies located there. Real estate in Gurgaon has significantly outperformed other markets in India in terms of returns. Varenyaa analyzes macro trends, developer profiles, and other factors to provide informed investment advice to clients.
Comprehensive Risk analysis of shoppers stop presentationAkshat Kapoor
This is a risk analysis done by me of Shopper Stop for financial year 2011-12.
It is a more comprehensive and detailed version than the previous presentation, as I have added much more important and interesting points to the project.
Hope you will like it.
I would be more than Happy to know your response on the same.
1) Luxury brands have begun making inroads into India's growing luxury market in recent years as the economy booms and Indian consumers show a desire to consume premium international brands.
2) The Indian luxury market is currently estimated at around $444 million but is growing rapidly as India's high net worth individuals and spending power increases.
3) Major luxury brands like Cartier have had a long association with India dating back over a century but are now more aggressively expanding retail operations in India's metro cities to tap the emerging potential of the Indian luxury consumer.
1. The document discusses a joint venture between Bharti Enterprises and Wal-Mart Stores Inc. to explore business opportunities in the Indian retail industry through a 50-50 joint venture.
2. Wal-Mart is the largest retailer in the world and brings supply chain management expertise, while Bharti knows the Indian market.
3. The joint venture will help introduce modern retail to India but may also negatively impact small retailers and increase monopoly power of large players.
The retail sector in India is growing rapidly, fueled by factors such as a young population, increasing urbanization, and rising incomes. The organized retail sector makes up only 5% of the market currently but is expected to see significant growth. The apparel industry is an important part of the Indian economy, accounting for a large portion of GDP and exports. It is divided into organized and unorganized segments as well as categories such as menswear, womenswear, and kidswear. Marketing mix modeling is important in the competitive apparel industry to help companies optimize their promotional strategies and forecast sales based on various tactics.
1. The article profiles the top 5 most powerful people in India based on the India Today Power List 2009.
2. Ratan Tata is ranked first for his statesman-like leadership during times of crisis in India and for continuing to expand the Tata group despite economic challenges.
3. Mukesh Ambani, Anil Ambani, and Sunil Mittal are also featured for growing their business empires and increasing revenues, even as others have struggled during the economic downturn.
4. Shah Rukh Khan made the list not only for his movie success but also for his diverse business interests in areas like television and cricket team ownership.
MRE has scaled new heights in the field of development and manufacturing of Electronic products in the field of Power supply and Safety.
MRE is a leading manufacturer of Power Supplies since 1974
MRE is a high - tech enterprises that specialize in the development and manufacturing of Electronic products in the field of Power supply and Safety.
This year marks MRE's successful completion of 40 years in field of manufacturing with a bouquet of over 100 products to offer to our esteemed clients. We strictly implement & follow the operation guidelines of `Leading Technology, Reliable Quality, Satisfactory Service and Customer First'.
The document summarizes an interview with Viren Sinha, Chairman and Managing Director of Balmer Lawrie & Co. Ltd. Key points include:
- Logistics is the main driver of profits for the company and they plan to invest Rs. 350 crore in expanding their logistics business over the next 2-3 years.
- Opportunities exist in cold chain logistics, temperature controlled warehouses, and a new multi-modal logistics hub project in Visakhapatnam.
The retail world is undergoing a fast paced revolution. One which is being driven
by consumers and fuelled by tech advancements. The pace of this revolution is
remarkable with no sign of slowing down, provided all stakeholders embrace
this change simultaneously. With shopping centres taking steps to merge online
experiences with offline ones, the future of retail is becoming increasingly exciting
for both retailers and consumers. Social Media has its own role to play in this retail
world and its importance will continue to grow. Today, the first part of decision
making for the new age consumer is initiated before he enters the store. The
physical store is an extension and culmination of his primary online journey. He
carries the retail world within his mobile, with the entire shopping and leisure
universe in his pocket!
The document discusses the evolution and growth of the retail industry in India. It covers topics such as the advantages of retail in India, the changing retail landscape and formats, opportunities in rural retail, and initiatives by major companies in India. Key points made include that retail is one of the fastest growing sectors in India, with a large young population and increasing disposable incomes driving demand. Rural retail also provides significant opportunities with initiatives like ITC's e-Choupal and HUL's Project Shakti aiming to improve access and incomes for farmers. Major players operating in India include global brands as well as domestic retailers expanding across the country.
Organized retail in India employs recruitment consultants and agents to help identify qualified candidates for both junior and middle level positions. For junior roles, consultants are used to find candidates in large numbers who can then be shortlisted. For middle level roles, consultants conduct initial screenings before internal teams interview potential hires. During economic downturns, retailers optimize current staff and focus on quality over quantity when hiring through consultants. Consultants play an important bridge between open positions at retailers and job seekers seeking opportunities in the organized retail sector in India.
FMCG companies like Dabur, Godrej, Emami have postponed product launches this year due to rising input costs and inflation. They are waiting for costs to recede before introducing more products. The number of new product launches has decreased from an average of one every alternate day last year to about two per week in the first half of this year. Companies want to keep expenses low and are being cautious with new launches and marketing spends until commodity prices stabilize. Some Dabur and Godrej launches planned for the fourth quarter of last fiscal or early this year have been delayed.
Flipkart is an Indian e-commerce company founded in 2007 and headquartered in Bangalore. It was founded by Sachin Bansal and Binny Bansal and is registered in Singapore. Flipkart operates in the online retail industry in India and has earned revenue of Rs. 60.8 billion with over 10,000 employees. In 2014, Flipkart acquired fashion retailer Myntra.
UTV Motion Pictures is a film production and distribution subsidiary of UTV Software Communications. It produces Bollywood films as well as collaborates with Hollywood studios on films. Approximately 35% of Indian moviegoers are between ages 10-24, making marketing and branding partnerships important. UTV faces competition from other major film releases. Key factors influencing consumer choice of films include marketing, genre, stars, production house, and ease of watching.
The document provides information on Bharti Enterprises, Walmart, and the Bharti Walmart joint venture in India. It discusses the history and business models of Bharti Enterprises and Walmart. It then summarizes the 2006 joint venture between Bharti Enterprises and Walmart to open retail stores in India, as foreign retailers were not allowed direct entry. The joint venture aimed to source 90% of goods from India. It also provides a brief analysis of the joint venture as a horizontal and synergistic strategic alliance.
Retail in India is growing rapidly but also faces many challenges. Organized retail makes up only 3% of the market but is expected to grow significantly. Many large Indian and global companies are investing billions to expand retail operations through new stores, supply chain infrastructure, and partnerships. However, success is not guaranteed as retail requires large investments, real estate costs are high, distribution networks are weak, and many players could lead to overcapacity. The future of India's retail boom remains uncertain.
The Indian retail market has grown at a double-digit compound annual growth rate over the last five years and was worth an estimated $554bn in 2011. The Indian economy grew throughout the global downturn, with increasing consumer purchasing power bolstering the retail sector. Retailing is now the second highest contributor to India’s gross domestic product.
Confusion reigns over India's FDI policy. Currently international food and grocery retailers are prohibited from entering the Indian market, except through cash and carry wholesale trading, but the government announced plans to lift restrictions in 2011, but then committed an embarrassing u-turn just weeks later.
The emergence of modern retail started in the major cities of Delhi, Mumbai, and Bangalore, and the satellite towns which have developed around them due to the huge influx of young professionals. Modern retail is concentrated in just a few cities, and premium locations there have already become saturated.
Employing 8% of the total work force, retail is the second largest employer in the country. The majority of these workers are self-employed, as India has a huge base of traditional retail outlets which are often family-owned. At present, modern retail represents only 5–7% of total retail in India.
The document discusses the deal between Reliance Retail and Future Group wherein Reliance Retail will acquire Future Group's retail, wholesale, logistics and warehousing businesses for Rs. 24,713 crores. This will give Reliance Retail access to Future Group's network of over 1800 stores across India. However, Amazon is opposing this deal as it had previously invested in Future Group. If the Reliance-Future deal fails to materialize, it could impact the livelihoods of over 29,000 Future Group employees and potentially force Future Retail into liquidation. The Delhi High Court is currently hearing arguments from both Future Retail and Amazon in this matter.
The cash and carry business model involves producers and manufacturers selling directly to retailers and consumers. This shortens the supply chain and reduces costs compared to traditional wholesaling. Cash and carry operators benefit small and medium businesses by allowing them to purchase bulk goods at high margins. The cash and carry model is attractive in India due to the large number of small retailers and businesses, its ability to strengthen supply chains, and because the government fully allows foreign direct investment in this sector. While several companies have tried and failed in the Indian cash and carry market, Metro Cash and Carry has four existing stores with a fifth opening soon, and the sector overall still has significant growth potential.
Research on customers - Aditya Birla Retail Ltd (more.)Gigo George
The Aditya Birla Group is a $35 billion corporation with over 133,000 employees across 42 nationalities. It operates in 36 countries across sectors like metals, cement, chemicals, retail, telecom, and financial services. Over 60% of its revenues come from international operations. In India, it is a top player in sectors like viscose filament yarn, chlor-alkali, mobile telephony, life insurance, BPO, and fashion. Globally it is a leader in metals, viscose staple fibre, carbon black, insulators, acrylic fibre, cement, fertilizers, and retail. The group entered retail in 2006 and operates stores under the brands 'More' and 'More
The document discusses the history and operations of Reliance Industries Limited (RIL), a large Indian conglomerate. It details RIL's expansion from petrochemicals into various retail businesses over the past few decades under the leadership of Mukesh Ambani and Anil Ambani. These include Reliance Retail which operates grocery, apparel, electronics and other stores nationwide in India with plans to further expand organically and through acquisitions.
The document provides a business plan for a snack bar at Praxis Business School. It includes an environmental scan of the Indian retail sector, describing the growth of organized and unorganized retail. Key drivers of retail growth are identified as changes in demographics, increased credit availability, rising incomes, media exposure, evolving consumer behavior, and the entry of corporate and foreign retailers. Challenges facing the Indian retail sector are also summarized, such as barriers to foreign direct investment, lack of industry status, structural impediments, high real estate costs, and supply chain bottlenecks.
1. The document discusses a joint venture between Bharti Enterprises and Wal-Mart Stores Inc. to explore business opportunities in the Indian retail industry through a Memorandum of Understanding signed in November 2006.
2. The joint venture will be a 50:50 partnership focused on cash-and-carry wholesale operations, with Bharti Enterprises investing up to $2.5 billion and Wal-Mart investing an undisclosed amount.
3. The joint venture aims to open hypermarkets and neighborhood stores in India beginning in August 2007, bringing Wal-Mart's supply chain expertise while leveraging Bharti's local market knowledge.
Titan Industries plans to open 250 new stores in 2011-2012, a significant increase from 150 stores opened in the previous year. This expansion will include opening more stores under newer formats like Helios, Eyeplus and Fastrack. Titan's capital expenditure for the next financial year is budgeted at Rs. 100 crore, partly to support this store expansion plan and maintain existing stores. The company aims to scale up these newer store formats and have 40 Helios stores, 60-70 Fastrack stores and 20 Tanishq jewelry stores by the end of the next financial year.
The document provides an overview of the retail industry in India. Some key points:
- India has a booming $300 billion retail market that is growing at 25-30% annually.
- Organized retail currently accounts for 5% of the market but is predicted to reach 15-20% by 2010.
- Several major retail companies like Tata, RPG Group, and Pantaloon Retail are expanding rapidly across India.
- Factors driving growth include a rising middle class, increased spending, urbanization, and favorable demographics with many young consumers.
The document provides an overview of the retail industry in India. Some key points:
- India has a booming $300 billion retail market that is growing at 25-30% annually.
- Organized retail currently accounts for 5% of the market but is predicted to reach 15-20% by 2010.
- Several major retail companies like Tata, RPG Group, and Pantaloon Retail are expanding rapidly in India.
- Factors driving growth include a rising middle class, increased spending, urbanization, and favorable demographics with many young consumers.
Reliance Group is India's largest private sector enterprise with annual revenues over US$27 billion. Reliance Retail Limited is a subsidiary of Reliance Industries Limited and was established to lead Reliance Group's entry into organized retail. Reliance Retail operates various store formats across India including neighborhood stores, hypermarkets, specialty stores, and wholesale stores. It aims to provide quality products at affordable prices to consumers while also generating prosperity for farmers, vendors, and small shopkeepers. Reliance Retail has over 500 stores currently and plans rapid expansion across the country.
The document discusses several topics related to business in India:
1) RCom may receive additional GSM spectrum to expand their network coverage as they were one of the first operators to receive startup spectrum in 2008.
2) Apparel prices are expected to rise 15% this festival season due to a 72% rise in cotton prices over the last year, forcing retailers to pass on higher costs to consumers.
3) The Indian government currently has manual access to BlackBerry Messenger chats within 4-5 hours but expects automated access starting January 1st to aid security agencies.
Big Bazaar is India's largest hypermarket retail chain with over 80 stores across 45 cities. It aims to bring modern retail convenience to India by offering over 160,000 products at affordable prices. Big Bazaar attracts over 100 million customers annually, making it India's most popular shopping destination. It has received numerous awards for value retail and being the preferred brand for consumers.
The Ambani brothers' companies accounted for over 90% of failed merger and acquisition deals in India this year totaling $27 billion. Reliance Industries' $14.5 billion bid to acquire LyondellBasell and Reliance Communication's $10.8 billion tower merger with GTL Infra both fell through. Italian sports brand Lotto is expanding its retail presence in India by growing its store network and sales volume as India represents a strategic high-growth market for sportswear. Tata Sons reported a 47% decline in FY10 profit to Rs. 1,620 crore, its lowest since 2005-06, due to an extraordinary income in the previous year.
In the next 3-5 years, the Indian retail industry is expected to grow significantly as organized retail expands. Major players from India and abroad plan to invest heavily in retail as the sector is projected to reach $300-500 billion by 2010. Foreign retailers are waiting for regulations to allow more foreign direct investment. Cities like Bangalore are emerging as top destinations for flagship stores due to relatively affordable real estate and a large consumer base. The children's wear market in particular is growing as brands target wealthy parents who are willing to spend on their kids.
FDI in retail has the potential to benefit consumers through more choices, lower prices, and improved quality and supply chain efficiency. However, there are also risks like job losses for small retailers and increased competition. India's retail sector is currently dominated by unorganized and family-run small shops. The document discusses the various formats through which FDI can enter India like franchises, wholesale trading, and manufacturing subsidiaries. It also provides an overview of the growth prospects and impact of organized retail on the Indian economy. While FDI can boost investment and infrastructure, policymakers will need to ensure a level playing field for domestic retailers as well.
CUSTOMER BUYING BEHAVIOR AT BANGALORE CENTRAL Srihari Reddy
The Company is an integrated fashion company with presence across key segments within the fashion industry i.e. design to distribution. Company’s business has been designed to capture the trend of consumers getting more attuned to fashion and brand preferences. We have a portfolio of fashion brands that cover the entire gamut of sub-categories including formal menswear, casual wear, active or sportswear, women’s ethnic wear, women’s denim wear, women’s casual wear, footwear and accessories and are present across various price points.
The retail sector in India contributes 15% to GDP and is one of the fastest growing sectors. It is largely unorganized, with 94-95% of retail being conducted by small shops and vendors. However, organized retail through large corporate chains is growing and contributes 4-5% currently. Major challenges to growth include lack of infrastructure and difficulties acquiring real estate. The government is proposing increased foreign direct investment in retail, such as allowing 100% ownership of single-brand stores and 51% of multi-brand stores, to modernize the sector.
1. Retail
The great Indian
retail saga
All the biggies in the international retail chain are waiting in the
wings to snatch a piece of the retail pie writes Shanker
J
ust like a lengthy soap opera, it retailer Wal-Mart to go one up. Will it her- much more.
has been unfolding for almost a ald a flow of leading foreign retailer chains The entry of Wal-Mart had been in the
year. Each episode brings a new to India? Well, one has to wait and watch. air for some time. So it comes as no sur-
development. The Indian public The share of organised retailing is about prise. The French retail giant Carrefour and
has been lapping it up in right earnest. And 3 per cent of the total retail industry in the the UK-based Tesco are already in talks
a quiet revolution is brewing in the Indian country estimated to be around $300 bil- with Indian companies to set foot in the
retail space. lion. It is still dominated by the unorganised country. The Gulf-based Emke Group with
Every industry major worth its salt is sector. But organised retail sector is pre- its popular Lulu hypermarkets has targeted
putting money into retail ventures tempted dicted to grow at over 20 per cent annual- Kerala to open its account.
by the thickening pay packets of the ly and touch $23 billion by 2010 indicating Of all the factors, none has energised
spending public. Why not? For, statistics that there is room for more players. the organised retail sector than the entry of
show that retail industry accounts for 10 It is this massive scope of the retail Reliance Industries Ltd., one of the leading
per cent of the GDP of India, which is pro- industry that is prompting leading brands private sector players in the country. The
jected to grow at 8 per cent. like Reliance, Tatas and Birlas to take the RIL Chairman Mukesh Ambani announced
The appearance of the $20 billion plunge and try their luck. The existing retail investment of more than $2 billion into its
Reliance Industries Ltd, India's largest pri- kings Pantaloon and Shoppers' Stop are retail venture called Reliance Retail Ltd. at
vate sector player, in the retail space, unfazed by the development for they feel the company's annual general meeting
everyone thought, was the ultimate. But the huge domestic market with rising con- (AGM) on June 27, 2006.
telecom heavyweight Bharti Enterprises sumer spending is hardly even-stretched He also promised to spend over $5 bil-
has struck a deal with world's largest now and hence is capable of absorbing lion in the coming years in RRL, the wholly
owned subsidiary of Reliance to cover
1500 cities. The company began its foray
into retailing by opening Reliance Fresh,
dealing in dairy products and grocery, in
Hyderabad in October.
Unlike other retailers, Reliance has gone
for non-metros because of low rentals.
After Hyderabad it is planning to move to
Chennai. It has zeroed in on Ahmedabad to
start the hypermarket chain.
Perhaps drawing inspiration from
Reliance's arrival in the retail scene, Birlas
and Tatas have also declared their plans.
The Aditya Birla Group comes with next
biggest investment after Reliance. It will
ELIDIO FERNANDES
shell out over $1.3 billion in the next three
years. Starting from 2007, it will have
6000 stores during the period with major
focus on food, grocery and lifestyle
BOOM TIME: One of the many retail chains operating out of Mumbai
34
2. RETAIL
garments. Tata Sons director R.K. Krishna
Kumar had recently made it clear that the
company's debut in consumer durables
product retailing through its arm Infiniti
Retail will cement Tata's presence in the
ongoing retail revolution.
Tata will pump in $80 million in the
retail venture to set up 100 stores in the
next few years selling a range of electron-
ic products and brands. It has already
begun the retail voyage from Mumbai. It
has technical support of Australia-based
Woolworths Ltd. in the venture.
Lording over the retail scene in the
country currently is Kishore Biyani-led
Future Group. The group, started as a gar-
ELIDIO FERNANDES
ment manufacturing company almost 20
years ago, entered modern retail with
Pantaloon Retail outlet in Kolkata in 1997.
It has now grown into a retail giant with RETAIL TALE: A billion consumers and more
140 stores across 32 cities in the country,
which includes hypermarket chain Big The galloping retail bandwagon is Domino, Benetton, Swarovski, Tommy
Bazaar, supermarket chain Food Bazaar expected to have significant impact on the Hilfiger, Revlon, Marks & Spencer, etc.
and malls called Central. In a recent inter- employment scene in India. “Our new busi- have been operating from big cities,
view, Kishore Biyani said Pantaloon may ness will generate one million jobs,” said mainly from shopping malls, through
sell stakes in some of its units to partly Mukesh Ambani at the time of the compa- franchisee route.
fund 4000 stores it aims to open by 2010. ny's AGM. Pantaloon currently employs The Dubai-based Landmark Group and
He plans to spend $1 billion to stave off over 14,000. Now with Birlas and Tatas in Abu-Dhabi-based Emke Group could be
challenge from the new entrants, particu- the fray, it is good news for job seekers. other big ticket foreign investors in the
larly Reliance. Biyani reckons that the cush- There are several big and medium retail country. The $65 million Emke Group has
ion of substantial acquired retail space in players who are doing brisk business, be it its Lulu hypermarket chain spread over all
the backdrop of rising rentals will give him in consumer products or in fashion appar- the Gulf countries. chairman
a head start over others. Pantaloon Retail els. They include Trent, Titan, Wills M.A.Yusufali, a Keralite, has preferred to
(I) Ltd, which clocked gross sales of $410 Lifestyle, Raymond, Café Coffee Day, start his retail foray from his home state.
million for the financial year ended June Provogue, Trinethra etc. He has identified Kochi for starting the
2006, operates through close to 4 million As for foreign retail majors, Wal-Mart's first Lulu hypermarket in India. One factor
sq ft. of retail space. arrival has come even as they have been which can be a stumbling block before the
Keeping pace with Pantaloon is the waiting for a clear-cut foreign direct invest- organised retailers, could be quality retail
Raheja Group retail firm Shoppers' Stop. ment (FDI) policy. At present 51 per cent space. In the face of surging rentals in
This member of the global entity of the FDI is allowed in single brand retailing and metros, this is definitely something the
Intercontinental Group of Department they are hoping that it would be extended players have to grapple with. This may
Stores has 20 lifestyle and 33 Crossword to multi-brand outlets. not be a problem for established retailers
outlets. It has also introduced value retailing The global players have been entering like Pantaloon, who have been in the
business with Hypercity. The group plans to India through licensee or franchisee route. scene for several years.
extend its retail space six times to over 6 Wal-Mart is no different. Bharti Enterprises Pantaloon is learnt to have blocked 10
million sq ft. in three years. Managing direc- will be the franchisee of Wal-Mart in India million sq ft. of space at reasonable rental
tor and CEO B.S. Nagesh has also and will own the retail shops in the coun- for its future expansion. It is aiming for 30
announced his intention of expanding foot- try. Bharti Enterprises chairman and group million sq ft. by 2010 while Reliance is tar-
print to tier 2 and 3 cities in the country. managing director Sunil Mittal has geting something like 100 million sq ft. in
described the union as a joint venture of three years. But even established players
The Top Five equals. The rollout of retail shops is slated cannot remain complacent and have to be
Company Investment to begin from August 15, 2007. constantly on the lookout for retail
Wal-Mart - Bharti Yet to announce In the Asian region, Wal-Mart has space or they will be left behind in the retail
Reliance $ 5.5 billion
presence in China and Japan. It was only juggernaut.
a matter of time it came to India, the sec- No wonder many new comers are
Aditya Birla Group $ 3.3 billion
ond fastest growing economy after looking to start with smaller cities and
Pantaloon $ 1 billion
China. Most of the globally famous towns and gradually work their way to the
Tatas $ 89 million
brands like Nike, Levis, McDonald's, big cities.
Source: The Economic Times
36