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Q.1 a. Give a note on the evolution of retail sector. (7 marks) b. What do you mean by retail strategic planning?

(3 marks)

(A)Evolution of the Retail Sector The origins of retailing in India can be traced back to the emergence of Kirana stores and momand-pop stores. These stores used to cater to the local people. Eventually the government supported the rural retail and many indigenous franchise stores came up with the help of Khadi & Village Industries Commission. The economy began to open up in the 1980s resulting in the change of retailing as India began to open up economy.. The first few companies to come up with retail chains were in textile sector, for example, Bombay Dyeing, S Kumars, Raymonds, etc. Later Titan launched retail showrooms in the organized retail sector. With the passage of time new entrants moved on from manufacturing to pure retailing. The latter half of the 1990s saw a fresh wave of entrants with a shift from Manufactures to Pure Retailers. Retail outlets such as Foodworld in FMCG, Planet M and Musicworld in Music, Crossword in books entered the market before 1995. Shopping malls emerged in the urban areas giving a world-class experience to the customers with facilities like car parking targeted to provide a complete destination experience for all segments of society. Eventually hypermarkets and supermarkets emerged with to provide customer with 3 Vs i:e Value, Variety and Volume The evolution of the sector includes the continuous improvement in the supply chain management, distribution channels, technology, back-end operations, etc. this would finally lead to more of consolidation, mergers and acquisitions and huge investments. It also resulted in expanding target consumer segment: The Sachet revolution example of reaching to the bottom of the pyramid witness the tremendous growth of retail sector through variety and assortment. At year end of 2000 the size of the Indian organized retail industry was Rs. 13,000 crore. Phases in the evolution of retail sector

(B) Retail Strategic Planning

A retail strategy is the overall plan or framework of action that guides a retailer. Ideally, it will be at least one year long and outline the retailers mission, goals, consumer market, overall and specific activities and control mechanisms. Without a defined and well-integrated strategy, a firm may be unable to cope with the marketplace: Despite the critical importance of a business plan, many entrepreneurs drag their feet when it comes to preparing one. They argue that their marketplace changes too fast for a plan to be useful or that they just dont have enough time. But just as a builder wont begin construction without a blueprint, eager business owners shouldnt rush into new ventures without a business plan. The process of strategic retail planning has several attractive features: It provides a thorough analysis of the requirements for doing business for different types of retailers. It outlines retailer goals. A firm determines how to differentiate itself from competitors and develop an offering that appeals to a group of customers. The legal, economic, and competitive environment is studied. A firms total efforts and coordinated. Crises are anticipated and often avoided. Strategic planning can be done by the owner of a firm, professional management, or a combination of the two. Even among family businesses, the majority of high-growth companies have strategies plans. The steps in planning and enacting a retail strategy are interdependent; a firm often starts with a general plan that gets more specific as options and payoffs become clearer.

Q.2 a. Outline the role of different types of retailers. (8 marks) b. What is sales forecasting? (2 marks)

Q.3 How will you advice a retailer regarding different aspects considered in store layout and store design? Do you think store layout and store design will help in gaining more customers? (10 marks)

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