Indian Talent, Global Content
|
Indian Talent, Global Content |
|
March 2010: What's in the breeze |
News Update from the Retail Scene in India
The retail industry could see a sea change with the Government of India considering Foreign Direct Investment. With this in view, Chillibreeze plans to bring you periodical updates on the retail scene in India.Shalini Bahadur, a Chillibreeze Writer with interest and experience in the Retail industry, will be populating this page with the updates.
Retail News 16th July - 22nd July 2006 For other weekly updates click: Weekly Retail Update
Retail News 16th July – 22nd July 20061. Monday, July 17, 2006 India’s largest exporter of home furnishings fabric, Seasons’ Furnishings has tied up with several international brands for exclusive sale in India. The company will be introducing US based Fabricut, Paris based Jero and UK based Warwick. All the brands will be sold at international prices at Seasons’ exclusive outlets called Club Class. According to IS Wadhwa, chairman for Seasons’ Furnishings, the brands will be positioned at a premium level and priced between Rs. 5,000 and Rs. 50,000 per metre. Club Class outlets will be opened in end of July 2006. Source: Economic Times 2. Tuesday, July 18, 2006 Polyester company Indo Rama will be entering the retail sector and has signed a franchise agreement with US company Office 1 Superstore International to retail office supplies in India. A new company, Indo Rama Retail Holding Pvt. Ltd. (IRRHPL), has been formed and work on two stores in Delhi and the NCR region has already begun. The company plans to open 8-10 stores in the country by end 2006 and will be using franchise partners to expand. The Office 1 brand will be exclusive to IRRHPL which will source products from the company’s central warehouse in China. Office 1 stores will sell stationery, office supplies including computers. Source: The Hindu Business Line 3. Tuesday, July 18, 2006 One of India’s leading private equity firms, UTI Ventures, has invested Rs. 27 crore in menswear brand Koutons Retail India Ltd. At present, Koutons is established more in the north and east sectors and plans to increase its presence across India. Koutons has 284 stores currently and has experience strong growth rate in the past three years. Source: The Hindu Business Line 4. Tuesday, July 18, 2006 Pantaloon’s value retailing arm, Big Bazaar opened its new store in Ambala Cantonment, making it the company’s 30th retail store in the country. The company plans to open 45 Big Bazaar’s over the next 10 months. The Ambala store covers 35,000 sq ft and sells 160,000 products, all below the printed MRP. Source: Business Standard 5. Wednesday, July 19, 2006 Leading equity research firm, CLSA Asia-Pacific Markets report estimates that Reliance Retail will be a $20 billion (Rs. 90,000 crore) company in the next 6-7 years. While Reliance itself is targeting to reach this figure in four years, CLSA has used a more conservative 7 year model. Source: Economic Times 6. Wednesday, July 19, 2006 The Aditya Birla Group is readying plans to enter the Indian retail sector in the branded garments sector. Details of a JV with a global retail chain are being worked out at present. The Birla Group is India’s largest branded wear garment company and is also one of the country’s oldest business families. The company is estimated to be worth Rs. 380 billion (£ 4.6 billion) and is the supplier to many of the world’s leading companies such as, Marks & Spencer’s, Tommy Hilfiger, Polo and Ralph Lauren. Its brand Madura Garments has the license for the Louis Philippe, Van Heusen, Allen Solly and Peter England brands. Source: Kamcity News 7. Wednesday, July 19, 2006 The Oswal Group, a north Indian based textile company, announced its retail division, Oswal Retail Pvt. Ltd., plans to expand with an investment of Rs. 50 crore. The company had entered the retail sector with Sensa, a lingerie store in December 2004. Recently, the company reworked the brand and named the store Straps, which currently has 11 stores in India. The company plans to have 25 stores open by the end of the financial year. While the north and west accounts for 65% of its stores, the company plans to focus on Bangalore and Hyderabad in the future. Source: The Hindu Business Line 8. Thursday, July 20, 2006 Wal-Mart is considering appointing DLF as its franchisee for the country to operate its stores in either DLF’s malls or as stand-alone stores. DLF recently announced that it plans to develop more than 100 malls in 60 cities over the net 4-5 years. According to DLF, the retail stores would be owned by DLF, Wal-Mart would take care of back-end distributions and logistics. As per the rules set by the Indian government, foreign investment is permitted up to 51% only in single-brand retail. The only options to set up shop here are to either operate as a cash and carry wholesale format as Metro does or to have a Indian franchise partner. The retail market was estimated to be worth $205 billion in 2004, of which only 3% was organized. By 2010 this is likely to rise to 9%. Source: Rediff.money.com 9. Friday, July 21, 2006 Several modern format retailers such as Big Bazaar, Haiko, D’Mart and Foodland have formed partnerships with kirana stores to maximize neighborhood sales. With these partnerships, kirana’s will increase profit margins due to efficient supply chains and reduced wastage, and modern format stores extend their reach deeper into neighborhoods. At present, kirana stores are more popular than modern format stores due to their close proximity to customers. Indian shoppers still prefer to shop in local neighborhood stores that offer additional services such as credit and free home delivery rather than travel greater distances to shop at modern format stores. Source: Economic Times 10. Friday, July 21, 2006 In just over 2 months, RIL’s tie up with state owned Sahakari Bhandar stores to handle its supply chain, has resulted in trebling sales. RIL and Sahakari stores signed an agreement for RIL to manage its supply chain for its 19 stores in Mumbai in April 2006. Reliance has managed to deal with frequent problems such as stock replenishment and irregular payments to suppliers. Three of the stores already have a new look and work on seven others is going on currently. Another notable change is the new working hours of 9am to 9pm as opposed to 10am to 6pm when working professionals were not able to shop. Source: Business Standard 11. Saturday, July 22, 2006 According to industry sources, Wal-Mart is keen on forming a partnership with RIL in logistics, sourcing products such as fresh fruits and vegetables and transportation of the products across the country. Wal-Mart had earlier appointed McKinsey to scout for a suitable partner for its operations in India. Besides RIL, the company is in talks with several other companies such as Mahindra & Mahindra, Bharti Group and DLF. Source: Daily News & Analysis 12. Saturday, July 22, 2006 Pantaloon Retail has tied up with Fun Foods, Chaudhary Group and Ruchi Soya to sell their products in Big Bazaar and Food Bazaar stores. Further details are not available currently. Source: Economic Times
>> Read more articles written by Chillibreeze writers:1. Articles related to Content and Outsourcing
|
Services Content Editing Content Development FAQ Writing and Communication Skills e-Publishing NEW! Products
|
Copyright 2004 - 2010 Chillibreeze Solutions Pvt. Ltd. |
.gif)
Writing 
