A Project on Store Operation of Big Bazaar

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Table of Contents

1. Executive Summery…………………………………………………………..……..3

2. India Retail Scenario……………………………………………………….………..5

3. Company Profile …………………………………………………………………...14

4. Future Group Manifesto …………………………………………………………...16

5. Hierarchy of Pantaloon (Future Group)…………………………………………….18

6. Findings………………………………………………………………..……………19

7. Retail Scenario of Kolkata………...………………………………………………..20

Executive Summary

Retailing is emerging as a sunrise industry in India and is presently the largest employer after agriculture. In the year 2004, the size of Indian organized retail industry was Rs 28,000 Crores, which was only 3% of the total retailing market. Retailing in its present form started in the latter half of 20th Century in USA and Europe and today constitutes 20% of US GDP. It is the 3rd largest employer segment in USA. Organized retailing in India is projected to grow at the rate of 25%-30% p.a. and is estimated to reach an astounding Rs 1,00,000 Crores by 2010. The contribution of organized retail is expected to rise from 3% to 9% by the end of the decade. The projection for the current year ie 2005 is Rs 35,000 Crores. In India, it has been found out that the top 6 cities contribute for 66% of total organized retailing. With the metros already been exploited, the focus has now been shifted towards the tier-II cities**. The 'retail boom', 85% of which has so far been concentrated in the metros is beginning to percolate down to these smaller cities and towns. The contribution of these tier-II cities to total organized retailing sales is expected to grow to 20-25%. In the year 2004, Rs 28,000 Crores organized retail industry had Clothing, Textiles & fashion accessories as the highest contributor (39%), where as health & beauty had a contribution of 2%. Food & Grocery contributed to 18% whereas Pharma Retail had a contribution of 2%. Pantaloon Retail (India) Limited, is India’s leading retailer that operates multiple retail formats, the company operates over 5 million square feet of retail space, has over 450 stores across 40 cities in India and employs over 18,000 people. INDIAN RETAIL SCENARIO

OVERALL INDIA VIEW
Area(`000 sq km) =3,300
Population(million) =1,095
Medium Age =25 years
Government Type =Federal Republic

◊ Economic Overview : Indian is currently undergoing an economic revolution which is generating fast-paced changes and development. There is stable 8 % annual growth,
Rising foreign exchange reserves of close to USD 140 billion, •Consistent and flowing Foreign Direct Investment(FDI) of close to UDS 8 billion, •Export surge in excess of 20%.
This altogether enable the Indian economy to expand in coming years. ◊ Investment eccentric : With a rapidly expanding consumer base (private consumption currently account for 61% of India’s GDP) and stabilized consumer price index rate 4.2%. India is now preferred investment destination and has surpassed the U.S to become the second most favourable destination for FDI, in the world after China. GDP and CPI

2002200320042005
GDP Growth(%)3.68.38.58.5
CPI(%)4.33.83.84.2
Source : EIU, July 2006

FOREIGN DIRECT INVESTMENTS:
Foreign direct investment is opened to single brand retailers. Steady increase in FDI
2002200320042005
FDI (INR m)273530.2201379.6248062.4295293.4
FDI (FDI bn)5.64.35.56.7
Source : EIU, July 2006

DEMOGRAPHICS AND CONSUMER BEHAVIOUR
• A growing population, a youthful workforce and soaring consumer confidence are solid argument for long term growth. •A growing population, a youthful workforce and soaring consumer confidence are solid argument for long term growth. •India’s population in 2005, is estimated to 1095mn. By 2016, India will have second highest population in world after China. 2002200320042005

Population (mn)1049.71065.11080.31095.2

More than 50% of the India’s Population is less than 25 years of age compared to...
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