The study report will give the over view current scenario of retailing in india

1. RETAIL
A
PROJECT REPORT
ON
“A STUDY OF RETAIL SECTOR IN INDIA”
Management Research Project -I
Submitted By:
RAHUL S. CHAUDHARI
(02MBA16)
MBA PROGRAMME
(Year 2016-18)
S.K. SCHOOL OF BUSSINESS MANAGEMENT HEMCHANDRACHARYA NORTH
GUJARAT UNIVERCITY,PATAN

2. retail industry one of the fastest growing industry in the world due
to economic growth
RETAIL
1980s Indian retail experienced slow change as India began to open
up economy

3. RETAIL
•Retail in India
10% In country GDP 8% in workforce
0
10
20
30
40
50
60
2017 2022
Employment expected to increase

4. RETAIL
2017 2022
672billon
1.3 trillion
•Retail market in India is estimated to reach USD 1.3 trillion by 2022
from USD 672 billion at present.
Source: a joint report by Assochamand MRRSIndia.com

5. ADVANTAGE INDIA
RETAIL

6. RETAIL
ADVANTAGE INDIA
2016
Market
Value:
USD672
billion
2022E
Market
Value:
USD1.3
trillion
DEMAND POTENTIAL
•Healthy economic growth
•changing demographic profile
• increasing disposable
incomes
•, changing consumer tastes
and preferences
•Rapid urbanisation with
increasing purchasing power
has led to growing demand
INCREASING INVESTMENTS
• Foreign retailers are continuously
entering the Indian market
• retail is expected to increase with
51 per cent FDI in multi-brand retail
being approved. FDI limit in single-
brand retail is raised to 100 per cent
POLICY SUPPORT
• FDI in single-brand retail up to
100 per cent from 51 per cent
•Approval of FDI limit in multi-
brand retail up to 51 per cent
• Introduction of Goods and
Service Tax (GST) as a single
unified tax system from next
fiscal year
INNOVATION IN
FINANCING
•Collective efforts of financial
houses and banks with retailers
are enabling consumers to go for
durable products with easy credit
•In January 2016, Bank of India
announced reduction in rate of
interest on retail loans offered by
the bank.

7. RETAIL
E-commerce has emerged as one of the major segments
The value of online sales in India is predicted to reach $48 billion by 2020 from the
current level of US $38.5 billion, according to analytics firm Forrester.
73%
74%
75%
76%
77%
78%
79%
80%
81%
82%
83%
2017
shopping queries made
through mobile devices
shopping queries
2016
60%
35%
Male Female
gender wise study
usage

8. RETAIL
MARKET OVERVIEW

9. RETAIL
KEY PLAYERS IN INDIAN RETAIL INDUSTRY
Retail
Grocery
Food and
Beverages
Department
stores
Pharmacy
Book,
music, gift

10. RETAIL
Departmental stores Hypermarkets Supermarkets/
convenience stores
Specialty stores Cash & carry store
RETAIL
COMPETITIVE LANDSCAPE IN INDIAN RETAIL SECTOR
•Pantaloon has
started 104
•Reliance Retail
launched ‘Trends’
in this format and
currently has
nearly 3300 .
•Shoppers Stop
has 81 stores in
India, as of 2016
•Pantaloon
Retail is the
leader in this
format, with
512Big Bazaar
stores.
•HyperCITY,
Trent,Spencer’s
, Aditya birla,
relince
•Aditya Birla
Retail (1735
stores)
•Spencer’s Daily
(134 stores)
•Reliance Fresh
(700 stores)
•Titan industries is
a large player, with
430 World of Titan,
174 Tanishq, and
336 Titan Eye+
shops.
•Vijay Sales,
Croma, and EZone
are into consumer
electronics
•Metro sarted
model in India; the
company operates
16 stores across
Mumbai, Kolkata,
Delhi.
• Reliance opened
its first cash-
andcarry store in
September 2011
and plans to open
20 stores.
Source: By Rasmi Kumar, Updated November 26,2017. 10:33AM bizfluent.com

11. RETAIL
MARKET OVERVIEW AND TRENDS

12. RETAIL
STRONG GROWTH IN THE INDIAN RETAIL INDUSTRY
•The retail sector in India is emerging sector.
•The total market size was estimated to be
around USD600 billion in 2015,
•Retail industry is expected to grow to
USD1.3 trillion by 2020
204 238 278 321 368 424
518 490 536 600
1300
2000 2002 2004 2006 2008 2010 2012 2014 2015 2016 2020E
Market size over the past few years (USD billion
market size

13. RETAIL
FOOD & GROCERY ACCOUNT FOR LARGEST SHARE IN REVENUES IN INDIA
66%
9%
8%
5%
3%
3% 1%
5%
REVENUE SHARE IN INDIA
food & gorcery Appeal gwellery consumer durable pharmecy furniture & furnishing footwer others
By 2020, food & grocery segment is expected to account for 66 per cent of the total revenues in
the retail sector, followed by apparel segment
Demand for Western outfits and readymade garments has been growing at 40–45 per cent
annually; apparel penetration is expected to increase to 30-35 per cent by 2015

14. RETAIL
PORTERS FIVE FORCES ANALYSIS

15. Competitive
Rivalry
(Moderate
High)
Threat of New Entrants
(High)
Bargaining
Power of
Customers
(High)
Bargaining Power of
Suppliers (Low)
Threat of
Substitute
Products (Low)

16. RETAIL
PORTER’S FIVE FORCES ANALYSIS
COMPETITIVE RIVALRY
•Entry of foreign
•Customers’ low switching
cost
•The Indian retail sector is
highly fragmented
SUBSTITUTE PRODUCTS
threat of substitute product is low.
However, customers may purchase
products from a local store instead of
purchasing from a retailes
BARGAINING POWER OF SUPPLIERS
• Retailers have low switching costs,
which make the supplier power low.
BARGAINING POWER OF CUSTOMERS
• The consumers are price sensitive, and have
information about the product and its price
•Low switching cost gives customers high
bargaining power
THREAT OF NEW ENTRANTS
• Entry as a retailer is quite simple