1. INTRODUCTION The minor project aims at studying the various aspects governing mall management by taking „Ampa Skywalk Mall‟ located in Chennai as a case study and endeavours to identify the areas of improvement in the mall in terms of facilities. 1.1 Indian Retail Industry: The Indian retail industry is the fifth largest in the world. Comprising of organized and unorganized sectors, India retail industry is one of the fastest growing industries in India, especially over the last few years. Though initially, the retail industry in India was mostly unorganized, however with the change of tastes and preferences of the consumers, the industry is getting more popular these days and getting organized as well. With growing market demand, the industry is expected to grow at a pace of 25-30% annually. India retail industry is the most promising emerging market for investment. In 2007, the retail trade in India had a share of 8-10% in the GDP (Gross Domestic Product) of the country. In 2009, it rose to 12%. The India retail industry is expected to grow to US$ 700 billion by 2010. The organized sector is expected to be 20% of the total market share. The Indian retail industry undergoes major revolutions. Retailing in India is gradually becoming the next boom industry. In India, there will be the fastest growth in retailing and real estate. The consumer buying patterns and behaviours are changing steadily. The growth of India's retail sector is not only limited to urban areas but also growing in rural areas. In the next five years, it is expected that, India's retail industry will expand more than 80%. 1.2 Shopping Malls & Mall management: A shopping mall, shopping centre or shopping precinct is one or more buildings forming a complex of shops representing merchandisers, with interconnecting walkways enabling visitors to easily walk from unit to unit, along with a parking area – a modern, indoor version of the traditional marketplace. The partial foreign direct investment (FDI) relaxation in 2006 allowed 51% ownership in joint ventures by single-brand companies in the retail market. This triggered high international singlebrand retailer interest in the Indian retail market. Additionally, large Indian conglomerates such as Reliance Industries and Aditya Birla Group are commencing their foray into retailing across the country. This prompts the Indian retail industry to 1
undoubtedly move on a high growth curve. However, at this juncture, retailing is still faced with one major challenge: systematic mall management. Currently, there are very few designated mall management companies in India. However, big retail chains such as Future Group and some large developers have set up their own mall management divisions that operate as their subsidiary companies. Some developers such as DLF have also recently entered into contractual arrangements with international property consultancy firms to manage their malls. Historically, developers were managing their malls in-house, which are expected to change going forward. Earlier in the decade, mall developers were more inclined towards exiting the project early by selling retail mall units to investors at the pre-completion and post-completion stages and booked profits. As the ownership of individual retail spaces were with different entities, there was no central authority managing the malls. There was no control over the various facets of mall management mentioned earlier in the paper. Even though there have been some examples of professionally managed malls in recent years, organised retail in Indian malls have a long way to go to achieve optimum mall management. Mall
Organised retailing in India witnessed a gross turnover of USD 320 billion in 2006. Although this figure is low compared with other developed economies, industry experts expect the growth rate of this sector at 35% until 2010. At present, about 100 malls are operational at a Pan-India level with a total area of 19 million sq...
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