PROJECT REPORT ON

“TO STUDY THE CONSUMER BUYING BAHAVIOUR IN ORGANISED

RETAIL OUTLETS AT LUDHIANA CITY”

Submitted to:

PUNJAB TECHNICAL UNIVERSITY, JALANDHAR

In partial fulfillment of the requirement for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION

Project Guide: Submitted by:

Mr. R.K.Maheshwary Shikha Gupta

Roll no.94782237719

ACKNOWLEDGEMET
Working on this project has been both challenging and an interesting job for me.

The hurdles met during this study were made into challenges to be met by those

who guides my way through.

I am also privileged to express my regards and affection to other persons and

cooperation in passing the needy information for the development of this project

was a never ending source of encouragement.

I am highly thankful to Dr. VIJAY ASHDIR DIRECTOR OF KHALSA INSTITUTE OF

MANAGEMENT AND TECHNOLOGY) for his complete support.

I wish to express my deep gratitude to MR.R.K MAHESHWARI for acting as a guide and

providing me with continuous support and guidance. This report could not have been completed

without the inputs and the words of advice from him for which I shall always remain grateful to

him.

Last but not least I am deeply indebted to my presents for their belied and pride in

me that have met me what I am today.

ABSRACT
In order to make the students competent, all students are required to make a real

time project work. This exposure to real life situation given an insight to the

students about what problem he/she can expect to face during his carrier.

The Project aims to consumer buying behaviour in organized retail outlets. The

consumer survey revealed that working and official men in Ludhiana market.

In this project a sample size of 50 respondents were selected for knowing their

buying behaviour in organized retail outlets. A broad finding of consumer survey

revealed that the consumers now days are shifting their preferences towards

interest in all segment

SHIKHA GUPTA

CONTENTS
TOPICS PAGE NO.

• Introduction 1.
• Organized Retail in India 3.
• FMCG retail in India 5.
• Organized Retail outlets in Ludhiana 6.
• Objective of the study 13.
• Research Methodology 15.
• Analysis & Interpretation 18.
• Findings & Conclusion 49.
• Crux of the Study 52.
• Limitation of the study 54.
• Annexure 56.
• Bibliography 62.
 Introduction

The sea of change can pull customers in many directions. It is our responsibility to light the way
and take care of them… before the competition does.
RETAILING Means “Re-tailing” to the customers so that they comeback.
Retailing consists of all activities involved in selling goods and services to consumers for their
personal, family, or household use. It covers sales of goods ranging from automobiles to apparel
and food products, and services ranging from hair cutting to air travel and computer education.
Sales of goods to intermediaries who resell to retailers or sales to manufacturers are not
considered a retail activity.
The Indian retail story couldn't have been more different. India has approx 12 million retail
stores, more than rest of the world put together. But the per capita square feet area under retail is
just 2 sq.ft or 0.2 sq. meters with fragmented kirana stores being the predominant players.

Retailing in India has remained in the unorganized sector and largely untouched by corporate.
The first decade of modern retail in India has been characterized by a shift from traditional
channels to new formats including department stores, hypermarkets, supermarkets and specialty
stores across a range of categories.
Modern retail formats have mushroomed in metros and mini-metros, in the last few years
modern retail has also established its presence in the second rung cities. Thus, exposing the
residents of these cities to shopping options, they have never experienced before. It has been
forecasted that the share of modern retail will increase from 2 per cent currently, to about 15-20
per cent over the next decade. To begin with, retailers today will have to support the large retail
infrastructure in terms of Malls and Superstores that are being created. The challenge for leading
retailers shall therefore shift from diverting demand to creating demand.
With all the modern stores offering convenience in terms of an assortment of products,
ambience, service and innovative products, the paradigm shall shift from competing with the
kirana stores to an in-house demand creation. Relevant experiences from consumer goods
companies, which have successfully crafted an explosion in demand in their sectors, through
innovation, consumer driven strategies, will be head runner. Times are changing. With the GDP
at an all time high and income levels shooting through the roof, the average Indian consumer has
never had it so good. The propensity to consume has reached peaks that had never been scaled
before. Credit cards are flashed with disdain and shopping baskets are getting bigger all the time.
Here are some factors that indicate the potential of retail in India:
• At 271 million, one of the largest consuming base in the world, forming 27% of the total
population.
• A high spending community below 45 years comprises 81 percent of the population.
• A young population with 54% population below 25 years
• Increased literacy from 44% in 1965 to 70% in 2003
• Increase in working women from 1.3 million in 1961 to 4.8 million in 1998.
The first decade of modern retail in India has been characterized by a shift from traditional
kirana shops to new formats including department stores, hypermarkets, supermarkets and
specialty stores across a range of categories. Modern retail formats have mushroomed in metros
and minimetros.
In the last few years, modern retail has also established its presence in the second-rung cities,
exposing residents to shopping options like never before. However, even as modern retailers
garner share from traditional channels, there is a larger role they would be required to play in
boosting consumption levels.Figures suggest that the total turnover of the sector is around Rs 10
lakh crores, of which 4 percent is contributed by the organised sector.

The retail sector in India is highly fragmented with organized retail contributing to only 2% of
total retail sales. The retail sector in developed countries was also highly fragmented at the
beginning of the last century but emergence of large chains like easyday,reliance fresh led to
rapid growth of organized retail and growing consolidation of the retail industry in the developed
countries .
The government is still in process of studying the effect of organized retail on ‘mom-n-pop’
stores and the economy as a whole. There is huge pressure on government from foreign
multinationals to allow FDI in retail. Of course local giants are keen to put their plans in place
before foreign players are allowed to move in. The bleak chances of FDI in retail have forced
foreign retail giants to look for local partners. Bharti has joined hands with Wal-Mart after failed
talks with UK giant Tesco. Shopper’s stop has inked a deal with UK’s Home Retail group to
develop Argos retail stores. Bombay Dyeing has tied up with France’s Auchen.Local retailers
who already have a huge presence in India include Future Group (former Pantaloons),
Subhiksha, Shopper’s Stop, RPG group. While Reliance retail, Tata, Bharti and Aditya Birla
group are soon to start rolling out their retail plans.

The most bullish of them all is Reliance with plans to invest Rs. 25,000 crore in its retail venture.
With Mukesh Ambani in driving seat there’s little doubt that reliance will change how Indians
shop. His plans include selling everything from vegetables to cars under one roof and even
deploying cargo planes to make sure that you get fruits and vegetables ‘farm-fresh’. Reliance has
already opened 50 ‘Reliance Fresh’ stores with the very first in Hyderabad. Reliance plans to
launch 1000 stores by this year end. Reliance Retail will launch its hypermarket, supermarket
and specialty formats in April-June quarter this year. Reliance and Bharti also have plans to set
up Micro Finance Institutions along with their retail chains. While Bharti will also offer telecom
services in its retail stores.

As a result of hyper growth plans and rushed hiring, most retail ventures are struggling to keep
pace. A massive churn is already taking place in retail space while real estate prices in prime
locations are going over the roof. Most retail ventures are going in for mixed strategy when
acquiring retail space. Some are just buying the land and then building their stores while others
are buying finished commercial space or just renting it.
When there is a huge competition in market it’s always a win-win for consumers. They can
expect better services from ‘mom-n-pop’ stores and great bargains at their local mall. After all,
it’s all about the customers. To keep the prices low the retailers are doing everything from
buying cargo planes to sourcing fruits and vegetables directly from farmers. Also the retail stores
promise to give the consumers more choices and a better shopping experience.

With the economy growing at 10%, nobody is complaining about the money being put in behind
these retail ventures. Though, initially there will be a few surprises and a few new lessons learnt
the long term story looks promising.

Shopping in India has witnessed a revolution with the change in the consumer buying behavior
and the whole format of shopping also altering. Industry of retail in India which have become
modern can be seen from the fact that there are multi- stored malls, huge shopping centers, and
sprawling complexes which offer food, shopping, and entertainment all under the same roof.
India retail industry is expanding itself most aggressively, as a result a great demand for real
estate is being created.

RETAIL IN INDIA

India represents an economic opportunity on a massive scale, both as a global base and as a
domestic market. Indian Retail sector consists of small family-owned stores, located in
residential areas, with a shop floor of less than 500 square feet. At present the organized sector
accounts for only 2 to 4% of the total market although this is expected to rise by 20 to 25% on
YOY basis
Retail growth in the coming five years is expected to be stronger than GDP growth, driven by
changing lifestyles and by strong income growth, which in turn will be supported by favorable
demographic patterns and the extent to which organized retailers succeed in reaching lower
down the income scale to reach potential consumers towards the bottom of the consumer
pyramid. Growing consumer credit will also help in boosting consumer demand.

The structure of retailing will also develop rapidly. Retail outlets are becoming increasingly
common in large cities, and announced development plans project at least 150 new organized
retail outlets by 2008. The number of department stores is growing much faster than overall
retail, at an annual 24%. Supermarkets have been taking an increasing share of general food and
grocery trade over the last 2 decades.

However, Distribution continues to improve, but it still remains a major inefficiency. Poor
quality of infrastructure, coupled with poor quality of the distribution sector, results in logistics
costs that are very high as a proportion of GDP, and inventories, which have to be maintained at
an unusually high level. Distribution and marketing is a huge cost in Indian consumer markets.
It’s a lot easier to cut manufacturing costs than it is to cut distribution and marketing costs.

Also, government has relaxed regulatory controls on foreign direct investment (FDI)
 considerably in recent years, while retailing currently remains closed to FDI. However, the
Indian government has indicated in 2005 that liberalization of direct investment in retailing is
under active consideration. It has allowed 51% FDI in “single brand” retail

The next cycle of change in Indian consumer markets will be the arrival of foreign players in
consumer retailing. Although FDI remains highly restricted in retailing, most companies believe
that will not be for long. Indian companies know Indian markets better, but foreign players will
come in and challenge the locals by sheer cash power, the power to drive down prices. That will
be the coming struggle.

Types of Retailing

1. Stores Retailing

2. Non Store Retailing

3. Retail Organizations

1. Stores retailing: consume today con shop for goods and service in the wide variety
of store. These are different type of store are.

 Specialty Stores—These establishments typically concentrate their efforts on selling a single

type or very limited range of merchandise. Clothing stores, musical instrument stores, sewing
shops, and party supply stores all fall within this category.

 Department Stores—These establishments are comprised of a series of departments, each of

which specializes in selling a particular grouping of products. Under this compartmentalized
arrangement, consumers go to one area of the store to purchase table-ware and another area to
acquire bedding, for example.

 Supermarkets—These retail establishments, which are primarily involved in providing food

to consumers but have increasingly ventured into other product areas in recent years, account for
the vast majority of total food-store sales in America.
  Discount Stores—These retail outlets offer consumers a trade-off: lower prices (typically on
a broad range of products) in exchange for lower levels of service. Indeed, many discount stores
operate under a basic "self-service" philosophy.

•  Mail-Order Businesses and other Nonstore Retailing Establishments—Mail-order sales have

become an increasingly ubiquitous part of the American retail landscape; indeed, some retail
establishments subsist entirely on mail order, forsaking traditional stores entirely, while other
companies maintain operations on both levels. In addition, this category includes sales made to
end consumers through telemarketing, vending machines, the World Wide Web, and other
nonstore avenues

NON STORE RETAILING

It is sold through Stores non Stores retailing has been growing much faster the Stores retailing
amounting to more then 12%of all consumer purchase . These are of four major categories.

Direct Selling:

Direct selling is also defined as personal contact between a sales person and a consumer away
from a retail store. This type of retailing has also been called in home selling. Annual volume of
direct selling in India is growing fast from the beginning of the 21st century.

Like other forms of non-store retailing, direct selling is utilized in most countries. It is
particularly widespread in Japan, which accounts for about 35% of the worldwide volume of
direct selling. The U.S. represents almost 30% of the total and all other countries the rest

Telemarketing:

Sometimes called telephone selling, telemarketing refers to a sales person initiating contact with
a shopper and closing a sale over the telephone. Telemarketing many entail cold canvassing from
the phone directory. Many products that can be bought without being seen are sold over the
telephone. Examples are pest control devices, magazine subscriptions, credit cards and cub
memberships.

Telemarketing is not a problem free retailing. Often encountering hostile people on the other end
of the line and experiencing many more rejections than closed sales, few telephone sales
representatives last very long in the job. Further some telemarketers rely on questionable or
unethical practices. For instance firms may place calls at almost any hour of the day or night.
This tactic is criticized as violating consumers' right to privacy. To prevent this, some states have
enacted rules to constrain telemarketers' activities.

Despite these problems, telemarketing sales have increased in recent years. Fundamentally, some
people appreciate the convenience of making a purchase by phone. Costs have been reduced by
computers that automatically dial telephone number, even deliver a taped message and record
information the buyer gives to complete the sale. The future of telemarketing is sure to be
affected by the degree to which the problems above can be addressed and by the surge of online
retailing

Online Retailing:
When a firm uses its website to offer products for sale and then individuals or organizations use
their computers to make purchases from this company, the parties have engaged in electronic
transactions (also called on line selling or internet marketing).
Automatic Vending:
The sale of products through a machine with no personal contact between buyer and seller is
called automatic vending.
The appeal of automatic vending is convenient purchase. Products sold by automatic vending are
usually well-known presold brands with a high rate of turnover. The large majority of automatic
vending sales comes from the "4 C's" : cold drinks, coffee, candy and cigarettes.
Automatic vending is a unique area in non-store merchandising because the variety of
merchandise offered through automatic vending machines continues to grow. Initially, impulse
goods with high convenience value such as cigarettes, soft drinks, candy, newspapers, and hot
beverages were offered. However, a wide array of products such as hosiery, cosmetics, food
snacks, postage stamps, paperback books, record albums, camera film, and even fishing worms
are becoming available through machines.
Direct Marketing:
There are no consumers on the exact nature of direct marketing. In effect, it comprises all types
of non-store retailing other than direct selling, telemarketing, automatic vending and online
retailing. In the context of retailing, it has been defined as direct marketing as using print or
broadcast advertising to contact consumers who in turn, buy products without visiting a retail
store.

Direct marketers contact consumers through one or more of the following media: radio, TV,
newspapers, magazines, catalogs and mailing (direct mail
E-Retailing:
Internet Retailing or e-retailing as is usually referred to as covers retailing using a variety of
different technologies or media. It may be broadly be a combination of two elements. Combining
new technologies with elements of traditional stores and direct mail models using new
technologies to replace elements of stores or direct mail retails. Internet retail also has some
elements in common with direct mail retailing. For example, e-mail messages can replace mail
messages and the telephone, that are used in the direct mail model as means of providing
information, communication and transactions while on-line catalogues can replace printed
catalogues.

Retailing organization: Although many retail Stores are independently owns an increase number
are falling under some form of corporate retailing.

Corporate chains

Two or more outlets that have common ownership and control, centralized buying and
merchandising operations, and similar lines of merchandise are considered corporate chain
stores. Corporate chain stores appear to be strongest in the food, drug, shoe, variety, and
women’s clothing industries. Managed chain stores have a number of advantages over
independently managed stores. Because managed chains buy large volumes of products,
suppliers are willing to offer cost advantages that are not usually available to other stores. These
savings can be passed on to consumers in the form of lower prices and better sales

Voluntary chains and retailer cooperatives.

These are associations of independent retailers, unlike corporate chains. Wholesaler-sponsored

voluntary chains of retailers who engage in bulk buying and collective merchandising are
prevalent in many countries. True Value hardware stores represent this type of arrangement in
the United States. In western Europe in the 1980s there were several large wholesaler-sponsored
chains of retailers, each including more than 15,000 stores

Consumer cooperatives

Consumer cooperatives, or co-ops, are retail outlets that are owned and operated by consumers
for their mutual benefit. The first consumer cooperative store was established in Rochdale, Eng.,
in 1844, and most co-ops are modeled after the same, original principles. They are based on open
consumer membership, equal voting among members, limited customer services, and shared
profits among members in the form of rebates generally related to the amounts of their
purchases. Consumer cooperatives have gained widespread popularity throughout western and
northern Europe, particularly in Denmark, Finland, Iceland, Norway, Sweden, and Great Britain.
Co-ops typically emerge because community residents believe that local retailers’ prices are too
high or service is substandard.

Franchise organizations

Franchise arrangements are characterized by a contractual relationship between a franchiser (a

manufacturer, wholesaler, or service organization) and franchisees (independent entrepreneurs
who purchase the right to own and operate any number of units in the franchise systems).
 Literature Review:

Mathew Joseph and Manisha Gupta_September 2008: The Indian retail sector is booming
and modernizing rapidly in line with India’s economic growth. In this review the author talked
about the impact of organized retailing on traditional retailing. With the increase in number of
various formats for shopping like malls, departmental stores, hypermarkets etc the Indian
consumer’s preferences are changing towards and that’s the reason foreign investors like the
king of retail Wal-Mart also came into the Indian retail ground in collaboration with Bharti.
There is a huge untapped market is present in India right now which contains a number of
opportunities for retailers.

Sen-2000: Store Image and Consumer Shopping Habits: Indian Context: In India, some
empirical studies provide important information about consumer behavior and its responses to
the development of organized retail. Economical and social changes are major contributors for a
growing fragmentation of consumers into multiple segments with different values and buying
priorities. Consumers have become more pragmatic, educated and demanding, learning how to
manage money and time more efficiently. The focus on low prices was gradually replaced by a
value for money perspective. The study developed by ETIG (Economic Times Intelligence
Group, 2002) confirms these tendencies. Concerning food, the most important attribute
mentioned was quality, followed by price. Indian consumer has different reasons for preferring
different store formats, either modern or traditional; Sen (2000) confirms this in the study
undertaken in Indian context. He confirms that in the case of hypermarkets, the main motives for
preferences, in decreasing order are low prices, the possibility of buying everything in the same
place and the general appearance of the store. Several investigations emphasize the possible
coexistence of different store formats (Chandrasekhar, 2001) and others point out the
relationship between the type of store and the type of products. These studies show that, while
specialized and traditional stores are preferred for fresh products, hypermarkets are preferred for
shopping in general, and also for frozen food, groceries and beverages. The purchase of
perishables in hypermarkets is reduced.
Radhakrishnan, 2003: Traditional consumer buying behaviour in retail
Outlets.
As already mentioned, organized retail has deeply changed the Indian commercial structure.
However, it is not exclusively responsible, as other changes (economical, social and cultural
ones) have occurred simultaneously. Concerning the more direct effects of organized retail on
different types of commerce, it is possible to verify that the major impact is felt on traditional
retail and, in particular, on the food sector. The impact of organized retail is also significant on
other types of retail, namely toys, stationery goods and household appliances; moreover, it is
probable that competition gets more intense in other sectors, such as clothing and furniture.

Pioneering work in the area of international

involvement of firms was done in the late 1960s when
Perlmutter (1969) introduced the typology of a firm's and
its managers' attitudes toward foreign markets and
marketing systems, i.e., ethnocentrism, polycentrism and
geocentrism, frequently referred to as the EPG model.
This model suggests that firms gradually move from their
initial ethnocentric orientation toward polycentrism as
they gain more experience. The second stream of
literature within the IP theory is the Nordic model
proposed by Johanson and Vahle (1977; 1990). These
authors developed a dynamic model, the basic premise of
which is that the general and experiential market
knowledge and resource commitment of firms affect
commitment decisions and current business activities.
The latter, in turn, increase the market knowledge and
stimulate further resource commitment to foreign markets
in the subsequent cycle. The aim of this Nordic model is
to explain the pattern of international involvement in
terms of a firm's host market selection and the mode of
establishing operations in international markets. The
export stages literature views the IP as a step-by-step
process, whereby the higher level stage represents more
commitment and a higher level of international
involvement than the lower level stage (Cavusgil, 1980;
Czinkota and Tesar, 1982; Wiedersheim-Paul et al.,
 1978). Contrary to Perlmutter's (1969) framework,
where attitudes are used as a criterion, the authors of the
stages models refer to characteristics of management,
firms and to strategic decisions to delineate the stages.
The main differences among the various "stages models"
pertain to the number of stages or phases, the specific
cognitive criteria employed for the description of stages,
and the mechanisms that initiate the process.
Common to all three research streams is the
focus on internal organizational and managerial
characteristics. Underlying assumptions are that
international activities involve high risk, that international

Traditional retailing is typically small family business (D’Adrea et al., 2006;

Sim, 1999;
Bianchi, 2004) linked with local culture (Goldman, 1999) and non-organised
distribution.
A very recent article by Runyan et al. (2008) summarises research on
small, independent
retail. At the most developed markets, open air market places and halls for
vegetables and
fresh food can be counted as remnants of traditional retail. Wet and
vegetable markets are
one specific issue especially in South East Asia (Cadilhon et al., 2006;
Goldman, 1999). Goldman (1974) has studied ethnic issues, cultural
aspects and retail formats. Self-service
was in 50’s the most innovative form of retailing making enable larger
assortment, lower
prices and mass-merchandising. Reduced costs and higher volumes for
retailer along with
consumer satisfaction for well-designed store layouts with freedom to
select products
made the solid base for further development. (Regan, 1959; 1960).
Regan’s (1964) model of stages where development leads from simple to
institutionally more complex format was continuum prior articles.
Hollander’s (1960)
model of the wheel of retail was the earliest model on gradual change,
modernising of
retail trade. Hollander’s model was rational and based on constant
efficiency and profit
seeking idea which worked at the most developed countries. Later the
wheel was
redefined and criticised by Kaynak (1979; 1982) and Savitt (1984) who
were interested in
the development of the least developed countries (LDC). The criticism was
on the
original idea of rational efficiency and profit seeking which didn’t fit to
developing
markets. Both Kaynak and Savitt presented evolutionary models, which
took into
consideration local conditions and development of retailing. Developing
countries were
in focus in 1970s and 1980s, but in 1990s the focus turned into emerging
counties in
Latin America, East Asia and Central and Eastern Europe.
Internationalisation is an own field with literature from internationalization
process starting from Johansson and Vahlne (1977). Internationalization
process of
retailing has got attention during past decade (e.g. Alexander et al., 2000;
Akehurst et al.,
1995; Burt et al., 1995; Myers et al., 1996) but there is some articles since
late 70’s when
interest was on trends, dimension, motives and general issues of
internationalization.
During the past 15 years modern retailing has been described in case
studies concerning markets in South East Asia (Alexander et al., 1999;
Davies, 1993), Latin America
(Wrigley et al., 2003; D’Adrea et al., 2006), and Southern Europe
(Bennison et al., 1995;
Flavian et al., 1998). Retailing on socialist command economy markets has
got only some
focus: the earliest article of Goldman (1959) is an interesting description on
Soviet
Retailing and the first self-service outlets in mid-50’s. Cervino’s et al. (2005)
on Cuban
transition and dual system gives a practical crosscut on emerging chain
retailing. At
academic level was found only one recent article on trends of the modern
retail market
system (Panfilov et al., 2007). Some recent articles on competitive
advantage at field of
retailing give fruitful perspective for internationalisation and modernisation
of retailing:
Metro Group has changed contexts in a socially beneficial way to adapt
locally (Khanna
et al., 2005, p. 74). Retailers have lost in some countries their firm-specific
advantage,
like Wal-Mart in Germany (Cuervo-Cazurra et al., 2007)
Not much literature seems to be available on
individual reasons of the growth and development of
the retail sector.Reardon et al. (2003), (Hu et al. 2004),
(Mutebi, 2007),(Reardon and Hopkins, 2006; Reardon
and Berdegue, 2007) have done the research
individually and (CAIT 2007), Global Retail Development
Index (2005, 2006, and 2007), (Deloitte- Stores Report,
2007), (ICICI Property Services-Technopak Advisers
Pvt. Ltd., 2007). (NRFSTE, 2008), (outlook2008). and
(KPMG2009).are the research organizations that
examine the retail sector.
(CAIT 2007), (Deloitte- Stores Report, 2007),
(Reardon and Hopkins, 2006; Reardon and Berdegue,
2007) examine the internationalization of retail sector.
Global Retail Development Index (2005, 2006, and
2007) studied the ranking of the countries in retail
business. (Mutebi, 2007) evaluates the retail sector in
Southeast Asia (Malaysia, Indonesia, and Thailand).
(ICICI Property Services-Technopak Advisers Pvt. Ltd.,
2007) reports shows the growth of retail in the Indian
context.(Hu et al. 2004) examine the Chinese retail
sector. Reardon et al. (2003) studied the demand side
factors as well the policies impact on retail. (NRFSTE,
2008) report deals with the Indian small retail sectors.
(KPMG2009) report studies the growth of indian retail
sector. (outlook2008) report shows the impact of multi
brand retailing India. (CAIT 2007) report reveals the
impact of big giants of retail on the small retailers.
(Deloitte- Stores Report, 2007). Reports reveals
that there has been a creeping internationalization of
retailing over the recent period. As home markets have
become crowded and with opportunities in emerging
markets rising, modern retailers from developed
countries have been turning to new markets. On an
average each of the top 250 retailers in the world hav
perated on an average in 5.9 countries in 2005-06
(July-June) against five countries in 2000-01. (Reardon
and Hopkins, 2006; Reardon and Berdegue, 2007)
evaluates that the arrival of modern retail in developing
countries occurred in three successive waves The first
wave took place in the early to mid-1990s in South
America (e.g., Argentina, Brazil, and Chile), East Asia
outside China (South Korea, Malaysia, Philippines,
Thailand, and Taiwan), North-Central Europe (e.g.,
Poland, Hungary, and Czech Republic) and South
Africa. The second wave happened during the mid to
late 1990s in Mexico, Central America (e.g., Ecuador,
Colombia, and Guatemala), Southeast Asian countries
(e.g., Indonesia), Southern-Central Europe (e.g.,
Bulgaria). The third wave has just begun in the late
1990s and early 2000s in parts of Africa (e.g., Kenya),
some countries in Central and South America (e.g.,
Nicaragua, Peru, and Bolivia), Southeast Asia (e.g.,
Vietnam), China, India, and Russia. The international
consulting firm, A.T. Kearney, annually ranks emerging
market economies based on more than 25
macroeconomic and retail-specific variables through
their Global Retail Development Index (GRDI). For the
last three years (2005, 2006, and 2007) India has been
ranked as number one indicating that the country is the
most attractive market for global retailers to enter. The
high economic growth during the last few years raising
disposable incomes rapidly, favourable demographics
placing incomes on younger population with less
dependency, and urbanization are some of the major
factors fueling the Indian retail market. (Mutebi, 2007).
Examine that countries in Southeast Asia (Malaysia,
Indonesia, and Thailand) imposed a number of
restrictions on the growth of large retail companie
particularly the transnational companies in contrast to a
fairly liberal approach to the retail sector followed until
the late 1990s. These restrictions involve the use of a
combination of competition laws, FDI regulation, land
use restrictions (zoning laws), and limits on operating
hours. (ICICI Property Services-Technopak Advisers
Pvt. Ltd., 2007) report conclude that the growth in
organized retailing in recent years can also be gauged
by the rise of shopping malls as well as the rising
number of modern retail formats. In 1999, India had just
three shopping malls measuring less than one million
sq. ft. By the end of 2006, the country had 137
shopping malls equivalent to 28 million sq. ft. The pace
of construction of shopping malls is progressing rapidly
and the number of malls is expected to be about 479 by
the end of 2008 with a capacity of 126 million sq. ft.
(Hu et al. 2004). Find that China ranked fourth, fifth,
and third in the AT Kearney Global Retail Development
Index in 2005, 2006, and 2007, respectively, and is a
fascinating case of extremely rapid supermarket
diffusion. Modern retail in China comprises roughly 10
per cent of the national retail and 30 per cent of urban
food markets. Reardon et al. (2003),track that model

Organized Retail outlet

VISHAL MEGA MART

What started as a humble one store enterprise in 1986 in Kolkata(erstwhile, Calcutta) is today a
conglomerate encompassing 91 showrooms in 62 cities / 20 states. India’s first hyper-market has
also been opened for the Indian consumer by Vishal. Situated in the national capital Delhi this
store boasts of the singe largest collection of goods and commodities sold under one roof in
India.
The group had a turnover of Rs. 1463.12 million for fiscal 2005, under the dynamic leadership of
Mr.Ram Chandra Aggarwal . The group had of turnover Rs 2884.43 million for fiscal 2006 and
Rs. 6026.53 million for fiscal 2007

The group’s prime focus is on retailing. The Vishal stores offer affordable family fashion at
prices to suit every pocket.

The group’s philosophy is integration and towards this end has initiated backward integration in
the field of high fashion by setting up a state of the art manufacturing facility to support its retail
endeavors.

Vishal is one of fastest growing retailing groups in India. Its outlets cater to almost all price
ranges. The showrooms have over 70,000 products range which fulfills all your household needs,
and can be catered to under one roof. It is covering about 1996592 lac sq. ft. in 18 state across
India. Each store gives you international quality goods and prices hard to match. The cost
benefits that is derived from the large central purchase of goods and services is passed on to the
consumer.

MORE

“MORE’s mission is to change the way people shop”.

Aditya Birla Retail Limited re-brands its Fabmall grocery supermarkets to more. a name
reflective of its commitment to offering consumers a more fulfilling retail experience. The re-
branding follows the acquisition of the Trinethra Super Retail that includes the retail brands
Fabmall, Trinethra and FabCity by Aditya Birla Retail in January 2007. As a result of the
integration process, 68 Fabmall stores in Karnataka will be re-branded under the umbrella of
more., the retail brand from the Aditya Birla Group.
With the underlying objective to enhance the shopping experience for consumers, the new stores
will continue to be built around the proposition of quality, affordability and convenience with
new in-store merchandise and a whole new retail experience. The more. stores will offer a wide
range of product categories including fruits and vegetables, staples, personal care, home care,
household general merchandise and dairy products.

The acquisition of Trinethra Super Retail has provided Aditya Birla Retail with a strong retail
footprint in South India extending to 275 stores and over more than half a million square feet in
Andhra Pradesh, Karnataka, Tamil Nadu and Kerala, where it is the leading food and grocery
retailer. Currently Aditya Birla Retail has 60 stores in Bangalore, eight stores in Mysore and 10
stores in Mangalore.

All Fabmall stores were re-branded to more in January 2007.

The more. chain of supermarkets is spread over convenient locations and with layouts that allow
ease of navigation. The project display is well-orgranised and facilitates ease of choice. The
stores have been designed by Fitch, the leading international retail design firm. Demographic
movements in India over the last two decades have made organised retail a necessity. The rapid
growth of this industry is confirmation that the idea of orgranised retailing has taken root in
India. The industry is today valued at around US$ 320 billion. Within the organised retail sector,
food and groceries account for around 14 per cent of the total market with potential to garner an
even bigger share of the market.

About Aditya Birla Retail Ltd.: Aditya Birla Retail Ltd is the retail arm of the Aditya Birla
Group, a US$ 24 billion corporation with a market capital of US$ 31.5 billion and in the league
of Fortune 500 companies. In May 2007, Aditya Birla Retail Ltd launched its first store,more. in
Pune and currently has 100 stores across the country. With the acquisition of Trinethra Super
Retail, the company will increase its retail foothold to 300 plus stores with re-branding of
Trinethra and Fabmall stores in South India.
Reliance Fresh

Reliance Fresh is the retail chain division of Reliance Industries of India which is headed by
Mukesh Ambani. Reliance has entered into this segment by openingnew retail stores into almost
every metropolitan and regional area of India. Reliance plans to invest Rs 25000 crores in the
next 4 years in their retail division and plans to begin retail stores in 784 cities across the
country. The Reliance Fresh supermarket chain is RIL’s Rs 25,000 crore venture and it plans to
add more stores across different g, and eventually have a pan-India footprint by year 2011. The
super marts will sell fresh fruits and vegetables, staples, groceries, fresh juice bars and dairy
products and also will sport a separate enclosure and supply-chain for non-vegetarian products.
Besides, the stores would provide direct employment to 5 lakh young Indians and indirect job
opportunities to a million people, according to the company. The company also has plans to train
students and housewives in customer care and quality services for part-time jobs.

Reliance Fresh recently (24th Jan, 2007) opened several "Fresh" outlets in Chennai, New Delhi,
Hyderabad,Jaipur, Mumbai, Chandigarh, Ludhiana increasing its total store count to 40. Reliance
is still testing its retail concepts by controlled entry beginning in the southern states

The company is planning on opening new stores with store-size varying from 1,500 sq ft to 3,000
sq ft, which will stock fresh fruits and vegetables, staples, FMCG products and dairy products.
Each store is said to be within a radius of 1-2 km of each other, in relation to the concept of a
neighbour store. However, this is only the entry roll-out that the company has planned.
Bangalore is said to have 40 stores in all by the end of the year.

In a dramatic change due circumstances prevaling in UP, West Bengal and Orissa, It was
mentioned recently in News Dailies that, Reliance Retail is moving out stocking. Reliance Retail
has decided to minimise its exposure in the fruit and vegetable business and position Reliance
Fresh as a pure play super market focusing on categories like food, FMCG, home, consumer
durables, IT, wellness and auto accessories, with food accounting for the bulk of the business.
The company may not stock fruit and vegetables in some states, Orissa being one of them.
Though Reliance Fresh is not exiting the fruit and vegetable business altogether, it has decided
not to compete with local vendors partly due to political reasons, and partly due to its inability to
create a robust supply chain.

This is quite different from what the firm had originally planned. When the first Reliance Fresh
store opened in Hyderabad last October, not only did the company said the store’s main focus
would be fresh produce like fruits and vegetables at a much lower price, but also spoke at length
about its “farm-to-fork’’ theory. The idea the company spoke about was to source from farmers
and sell directly to the consumer removing middlemen out of the way. Reliance may exit some
businesses If the business does not increases by March 2008.

Reliance Fresh, Reliance Mart, Reliance Digital, Reliance Trendz, Reliance Footprint, Reliance
Wellness, Reliance Jewels, Reliance Timeout and Reliance Super are various formats that
Reliance has rolled out.

In addition, Reliance Retail has entered into an alliance with Apple for setting up a chain of
Apple Specialty Stores branded as iStore, starting with Bangalore.

BIG BAZAAR

Big Bazaar is a chain of hypermarket in India, which caters to every family’s needs and
requirements. This retail store is a subsidiary of Future group, Pantaloons Retail India Ltd. and is
an answer to the United States’ Wal-Mart. Big Bazaar has released the doors for the fashion
world, general merchandise like sports goods, cutlery, crockery, utensils, and home furnishings
etc. at best economical prices.
Big Bazaar group offers more than 100 stores all over the country with an amalgamation of
Indian bazaars’ feel and touch with a convenience and choice of the modern retail facilities. The
retail format of the Big Bazaar group includes Aadhar, Rural & Home-Town retail chain, Ezone
home-improvement chain, sportswear retailer, depot and music chain is few among others.

History of Big Bazaar

The worldwide country chain, Big Bazaar, is formed by CEO of Future Group, Mr. Kishore
Biyani. The group do not promises more than what it delivers. Their basic attraction associated
with reasonable prices is their Unique Selling Price.

Though, the products Big Bazaar stores stocks might not be advanced, but the customers are
assured to avail the worth of the money spent by them. In 2001, the group opened its first store
on the VIP Road, Calcutta, which was the primary departmental store offering regulated services
of parking, steel vessels, apparel, electronics etc under the one roof at the competitive prices. Big
Bazaar has become a massive hit with lower middle-class and middle class people as a major
client base.

At present, the Future Group comprises various formats and brands like Pantaloons, F123,
Copper Chimney, Etam, Staples, One Mobile, Urbana, Brand Factory, LootMart, HomeTown
and Central. The Big Bazaar has several stores located all over the India, among that Chennai,
Hyderabad, Ahmedabad, Bangalore, Kolkata, Pune, Mumbai and Delhi is those metro cities
where the stores of Big Bazaars are located.

Facilities offered by Big Bazaar

• Online shopping: Big Bazaar has an official website, FutureBazaar.com, which is one of
the most favorite sites among people of India for online shopping. FutureBazaar is an
online business venture of Future Group, which sells an assortment of products such as
fashion, which includes merchandise for men and women, mobile accessories, mobile
handsets and electronics like home theatres, video cameras, digital camera, LCD TVs,
kitchen appliances and many more.
 • Discounts: “Hfte ka sabse sasta din was introduced by the Big Bazaar, wherein extra and
special discounts were offered on Wednesday every week, to attract the potential buyers
into their store.

• Security check: At each exit of Big Bazaar, they use alarm systems or Electronic Article
Surveillance system, which detects the products that has attached tags or no

STRENGTHS

 LOW PRICE/Different discount scheme: The Big Bazaar Outlets sold a variety of products
at prices which is lower than the market price. Almost everything has some kind of discount. There
are huge synergies in terms of bulk purchasing, central warehousing and transportation. Big Bazaar
provides discounts ranging from 6-8%to the market and offers special discounts and offers up to
60% of 1,60,000 products 365 days a year. Price is the basic value propositions at Big Bazaar.
 HUGE DISPLAY AREA, avg 30,000sq/ft: Big Bazaar displays all their grocery and all
other product that customer can touch and feel the quality. They offer self service.
 PRODUCT DIVERSITY: Big Bazaar offers the maximum variety for each category of
product and this is cited by the customers as one of the main reasons . They have a huge carpet area
in an average of 30,000 square feet.
 Huge promotional activities undertaken to ensure enough footfall
 Infrastructure
 Ambience of the Big Bazaar is not like the hypermarket in West, which follows liner layout.
It is not only providing good parking ,AC ambience to create a “ no hassle “shopping experience
but also designed in a way that it provides a traditional bazaar like environment, where the most
Indian feel comfortable.

 The customers trust retail chains with quality of the product. They feel food products of Big
Bazaar will have no adulteration. This quality is not assured in a kirana store.

 High Brand Equity

WEAKNESSES:
 Store unable to meet the growing consumer demand. General Perception of consumer.
 Depend on distribution channel of Brands for products like FMCG.
 Lack of strong supply chain like other big player
 Perception among consumers

OPPURTUNITIES:
 Early Entry in Indian Retail
 Organized retail
 Evolving consumer preferences
 Targeting area more prone to developments
 Global Expansion
 In-Store Experience improvements

THREATS:
 Government policies like complex sales and excise policies.
 Unorganized retail.
 Large Foreign Competitors like Wal-Mart, Metro and Domestic player like Reliance.
 Burgeoning real estate prices which leads to high rentals.
 Economic Conditions
 Lowering Margins

EASYDAY

Gurgaon, Haryana, February 24, 2010 /India PRwire/ -- Bharti Retail, a wholly owned subsidiary
of Bharti Enterprises, today launched its first compact-hypermarket store 'easyday Market' in the
National Capital Region. Located at Mahgun Metro Mall, Vaishali, Ghaziabad, the new store
offers customers a great shopping experience, high in-stock levels and a wide range of quality
products at the best prices under one roof.

The easyday Market in Ghaziabad is a 50,000 sq. ft. store offering over 12,500 quality products,
including trendy fashion wear such as George (international brand) and Astitva (Indian Ethnic
Wear), home ware, a range of electronics & electrical appliances, mobile phones, toys, books,
food & grocery and fresh fruits & vegetables. Other categories include hygienic meat and fish &
chicken all at unbelievably low prices.

A unique feature of this easyday Market is the 'Youth Zone' dedicated to youth-oriented products
like music, books, movies, apparels, cosmetics among others. This section has been designed
keeping in mind the lifestyle of our young customers and has both 'pocket-friendly' as well as
high-end products.
easyday Market has provided quality employment opportunities to the people of National Capital
Region that include housewives, differently-abled people, meat cutters, fruits and vegetable
sellers, school and college dropouts.

Since its launch in April 2008, easyday has successfully offered products at lowest prices every
day, so that the customers can save money. easyday stores are a one stop shop, catering to every
family's daily and monthly needs. They bring together relevant and a wide range of quality
products along with great in-store experience and service, at lowest prices.
 OBJECTIVES OF THE STUDY

1. To study the perception of consumers towards various aspects of organized

Retail outlets in Ludhiana city.

2. To study various determinants that play a major role in buying decision at

Organized retail outlets.

3. To study satisfaction level of customers about Organized Retail outlets being

provided by Reliance Fresh, More, Visual Mega Mart, Easyday and Big Bazaar.
 RESEARCH
METHODOLOG
Y
 Research Methodology

This study is based on survey and fact-findings inquiries with the customers purchasing from
organized retail outlets in Ludhiana. It is aimed to collecting all the relevant data and its optimal
usage keeping in mind objectives of the research.

1. To study the perception of consumers towards various aspects of organized

Retail outlets in Ludhiana city.

2. To study various determinants that play a major role in buying decision at

Organized retail outlets.

3. To study satisfaction level of customers about Organized Retail outlets being

provided by Reliance Fresh, More, Visual Mega Mart, Easyday and Big Bazaar.

Sample Size: -

Sample size of 50 respondents was taken.The survey was conducted in Ludhiana

only.

Sampling technique: -

All the respondents were selected on random basis. So far every surveyed entity, the
respondents are an essential prerequisite. For broader perspective the customers were contacted
directly and by there association.
Research Instrument: -

A standard questionnaire was prepared for the collection of data from the various
respondents. The questionnaire was designed to keep objectives of the study with the aim of
collecting important information for the study.

COLLECTION OF DATA: For this research project, data was collected both from the
Primary and Secondary sources.

1. Primary Data:

Students were personally contacted and the data was collected with the help of questionnaire.
The questionnaire was so designed so as to contain appropriate no. of questions and to satisfy all
the research objectives. The questionnaire contained both; close-ended and open-ended
questions. Special care was taken to ensure that questions were simple & sequential.

2. Secondary Data:

The secondary data was collected from catalogues, magazines, records and,
websites, related to organized retail outlets in the city.

Data Usage:

For analysis and interpretations only primary data is used. However for the conclusion
and recommendations both primary and the secondary data along with the verbal knowledge and
information although obtained from students, though they are outside the parameters of
questionnaire were also included. The data collected from these sources was analyzed using
various tools like percentage and weight age analysis method is applied throughout the study for
the formulation and analysis of tables

INTERPRETATION
&
 ANALYSES

1) Which organized Retail outlets are you aware about?

 Aware Not Aware
Easyday 43% 7%
More 5% 45%
Reliance Fresh 35% 15%
Big bazaar 11% 39%
Vishal mega mart 6% 44%
Others 0% 100%

This question was asked from the respondents to find out the individual awareness of the
organized retail outlets. In this it is found that all the respondents are aware about the Reliance
Fresh, Easyday , Big bazaar because these are older outlets in the city as compare to another
.Also most of the people were not aware about one of the bigger brand i.e. MORE, because it
launched recently in the city. The percentage of awareness of different organized brands is
shown in the above table.

2) Are you aware about the organized Retail Outlets in Ludhiana?

This is the second question which is asked from the respondents in order to check the awareness
of organized retail outlets. In this question I tried to find out how many respondents are aware
about organized retail outlets. In this survey as I include the educated professionals from
different backgrounds, so everyone is aware about organized Retail outlets. Hence 100%
respondents are aware about organized Retail. Outlets.

3) Out of these which you have visited?

Aware Not Aware

Easyday 43% 7%
More 5% 45%
Reliance Fresh 35% 15%
Big bazaar 11% 39%
Vishal mega mart 6% 44%
Others 0% 100%

This question was asked from the respondents to find out the individual awareness of the
organized retail outlets. In this it is found that all the respondents are aware about the Reliance
Fresh, Easyday , Big bazaar because these are older outlets in the city as compare to another
.Also most of the people were not aware about one of the bigger brand i.e. MORE, because it
launched recently in the city. The percentage of awareness of different organized brands is
shown in the above table.

4) Out of these organized Retail Outlets where do you generally purchase from?

PURCHASE Not PURCHSE

Easyday 43% 7%
More 5% 95%
Reliance fresh 35% 15%
Big Bazaar 11% 39%
Vishal mega mart 6% 44%
Others 0% 100%

In this question I tried to find out that how many respondents visited all the organized retail
outlets and which outlet is mostly visited by respondents. In this it was found that almost all the
respondents had visited Reliance Fresh, & Easyday. The percentage of respondents visited
different retail outlets is shown in the above table.

5) How many times do you visit these organized Retail Outlets?

This question was asked from the respondents to check that either they purchased from these
organized retail outlets or not. As the exit interview was conducted in the starting of the project
so all the respondents were the customers of these organized retail outlets.

6) How far you have to travel to go purchasing?

In this question it was asked from the respondents that from where they generally purchase. In
this it is found that most of the respondents purchased from Reliance Fresh, Easyday and and
they are travel less than 3km..

7) How frequently do you purchase from these organized retail outlets?

This question was asked to study past purchase behavior of the respondents. In this they were
asked that from where were they purchased before buying from these organized FMCG outlets.
In this 52% respondents told that initially they purchased from wholesale market,34%
respondents told that they purchased from nearer karyana store for their FMCG needs.

8) What is the main purpose to visit organized retail stores?

This question was asked from the respondents to find out the main purpose to visit organized
retail outlets. In this respondents 86% visited for purchasing the general products,8% children
demand,2% on purchase of special products and 0% for leisure time activity.

9) From where do you come to know above these stores?

This question was asked from the respondents know about the organized retail outlets from
friends. 74% get the information from friends ,8% from family ,8% from print media,12% from
radio&TVand 0%from others.

10) Where were you shopping before buying from these organized retail outlets?
This question was asked from the respondents to find out that out of their total budget in market
which is convenient how much they spent to purchase from the organized retail outlets. In this it
is found that 1% of the respondents spent on karyana store, while only 4%respondents spent
more than 74% to purchase market which is convenient from these organized retail outlets.

11) Do you think the market share of organized retail outlet will?
This question was asked from the respondents to find out that out that will the market share of
organized retail outlets 66% respondents say market share will increase.

12) How do you find staff’s behavior in organized retail outlet?

This question was asked from the respondents to find out that out the behaviour of staff in
organized retail outlets.56% respondents tell they only help,when they asked but
12%respondents tell they only rude.

13) According to you what are important factors for you when you go for shopping?
This question was asked from the respondents to find out that the important factor for
shopping .the respondents 38% prefer quality of a product than the location.

14) What is your average one time purchase at retail outlets?

This question was asked to the respondents in order to find out their average one time purchase
at the organized retail outlets. In this 2% of the respondents told that they purchase between
1000-1500 Rs. At one time.2% of the respondents told that they spent 1500-2000 at one time
purchase at organized retail outlets.0% said that they spent more than 2000 at one purchase,
while 96% said that they purchase below 1000 on an average purchase at organized retail outlets.

15) Do you find the pricing of organized retail outlets is less than other store?
In this question I tried to find out the pricing of organized retail outlets is less or more. The
78% Respondents tell that pricing is less than the other stores.

16) What are the problems you faced when you shop from these organized retail outlets?
In this question the respondents were asked the problem faced during shop in organized retail
outlets 74% respondents told vegetables and fruits not fresh and 22% range is not complete and
2% told there are long queues and need credit facility..
17) What are the reasons for purchasing from these organized retail outlets?

When the respondents were asked to specify the reasons which influence them to purchase from
these organized retail outlets, then 4% of the respondents told that they purchased due to product
range.8% purchased due to reasonable price,14% due to good quality, 14% purchased from
organized retail outlets because it save time,16% liked the discounts & promotional schemes,
32% prefer the display of the products & remaining 12% liked the enviournment in organized
retail outlets.
18) What attracts you towards going for organized retail outlets?

In this question the respondents were asked attraction towards organized retail
outlets.52% respondents there were availability of products,24% gave offers on
products,18% there were less price than others and 6% there were good brands goods.
19A) On the basis of your experience, please rank players in organized retail in the city
on the following parameters (1 to 6 )

Parameters Reliance easyday more Big Vishal

Fresh bazaar Mega
Mart

Quality 42% 28% 3% 12% 15%

This question is asked from the respondents in order to find out the quality in organized retail
outlets 42% good quality in reliance fresh,28% in easyday,3% in more, 12% in big bazaar and
15% in vishal mega mart.
19B)0n the basis of service

Parameters Reliance easyday more Big Vishal

Fresh bazaar Mega
Mart
service 28% 32% 22% 12% 6%

19 C) On the basis of convenience

Parameters Reliance easyday more Big Vishal
Fresh bazaar Mega
Mart
convenience 32% 22% 24% 13% 9%

On the basis of price

Parameters Reliance easyday more Big Vishal
Fresh bazaar Mega
Mart
price 8% 11% 11% 41% 2 9%

19E) On the basis of product availability

Parameters Reliance easyday more Big Vishal
Fresh bazaar Mega
Mart
Product 39% 31% 11% 12% 7%
availability
CHAPTER-

FINDINGS
&
SUGGESTIONS
 FINDINGS

1. In this study it is found that the customers prefer to purchase from organized retail outlets
as compare to unorganized retail outlets.

2. During the study it come to know that customers spend 40%-50% of their monthly budget at
organized retail outlets.

3. In this study it is found that organized retail outlets provides

better quality, product range as compare to
unorganized retail outlets.

4. In this study it is observed that in future the market share

of unorganized retail will reduce, because customers
shifting from unorganized retail outlets to organized
retail outlets.

5. During study it is observed that these organized retail

outlets attracting the middle & upper class customers,
the lower class person still prefer to purchase from
the local karyana stores.

6. In this study it is also found that organized retail outlets

lacks in the segment of Green Grocery as compare
to unorganized sector(street hawkers).
 SUGGESTIONS

• The organized retail outlets should improve the quality of Vegetables & fruits they
provide to customers.

• The organized retail outlets should provide the free home delivery facility.

• The organized retail outlets should increase the no. of billing counters in their outlets.

• The organized retail outlets should also provide the credit facility to the lower class
customers so that they can increase their market share.
CRUX OF THE
STUDY
 CONCLUSION

The crux of the study is that most of the customers prefer to purchase from organized retail
outlets as compare to unorganized outlets. Also its found that most of the respondents are
satisfied with the quality, price and product range of the goods provided by organized retail
outlets. In this study it is found that customers want to spend more at organized retail outlets in
comparison to other local Karyana stores. During the study it’s also found that customers were
happy from the services provided by organized outlets.

This study also revealed that customer prefers the organized retailing over unorganized retailing,
due to which the organized retailing become a threat to the local karyana stores & street hawkers.
LIMITATIONS OF
THE STUDY
 LIMITATIONS OF THE STUDY

No study is complete by itself, however good it may be, and every study has some
limitations. The limitations of this study can be summarized below:

1. Due to the constraints of time, the study was confined to Ludhiana city.

2. The sample was taken on the basis of convenience; therefore the shortcomings of the
convenience sampling may also be present in this study.

3. The sample size chosen for the purpose was only indicative and not exhaustive owing to
time constraints.

4. There were some inherent limitations as far as collection of data is concerned. The
respondents replied may be biased in favour of their centers.
ANNEXURE
 QUESTIONNAIRE

Name: ………………………………………………………………………………………

Address: ……………………………………………………………………………………

Occupation: …………………………………Income: ……………………………………

Age: ……….………………………………………………………………………………

1) Which organized Retail outlets are you aware of ?

Easyday More
Reliance Fresh Big Bazaar
Vishal Mega Mart Others

2) Are you aware about the organized Retail Outlets in Ludhiana?

Yes No

3) Out of these which you have visited?

Eayday Reliance Fresh
Big Bazaar More
Vishal Mega Mart Others

4) Out of these organized Retail Outlets where do you generally purchase?

Easyday Reliance Fresh
Big bazaar More
Vishal Mega Mart Others

5)How many times do you visit these organized Retail Outlets in a month ?
Once 2-3 times
3-4 times More than 5 times

6) How far you have to travel to go purchasing?

Less than 3km 3km to 6km
 7km-10km More than 10 km

7) How frequently do you purchase from these organized retail outlets?

More than
Daily Weekly Fortnightly Monthly a month
Pershiable Goods
Grocery
Cosmetics
Beverages
Ready to eat food

8) What is the main purpose to visit organized retail stores?

Leisure time activity Children demand
Purchase of special products Purchase of general products

9) From where do you come to know above these stores?

Family Circle Print media
Friends Circle Radio&TV
Others

10) Where were you shopping before buying from these organized retail outlets?
Neighbourhood wholesaler
karyana store a store which as per convenience
Others

11) Do you think the market share of organized retail outlet will………..?
Definitely Increase Increase
Remain same Decrease
Definitely Decrease

12) How do you find staff’s behaviour in organized retail outlet?

Co-operative Rude
They only help, when they are asked

13) According to you “What are important factors for you to for shopping at organized retail
outlets”?
Location Customer service
 Pricing&Discounts Variety
Quality \

14) On the basis of your experience, please rank players in organized retail in the city
on the following parameters (1 to 6 )

Parameters Reliance Easyday More Big Vishal

Fresh bazaar Mega
Mart
Quality
Services
Convenience
Price
Product
availability

15) What is your average one time purchase at retail outlets?

Below Rs.1000 1000-1500
1500-2000 More than 2000

16)Do you find the pricing of organized retail outlets is better bargain than other store?
Yes No
Equal

17) What are the problems you faced when you shop from these organized retail
outlets?
Long Queues Vegetables/Fruits not always fresh
Need free Home delivery Need credit facility
Range is not complete

18) what are the reasons for purchasing from these organized retail outlets?
Reasonable price Better Quality
Product Range Good Enviorment
Time save up Display of products
 Discount &Promotional schemes

20) what attracts you towards going for organized retail outlets:
Price Offers
Availability Brand

BIBLIOGRAPHY

WEBSITES:

www.imagesretailing.com
www.reportbuyer.com
www.reportbuyers.com
www.thirdeyesite.in
www.easyday.org
www.google.com

BOOKS:

C R Kothari Research Methodology