India is ranked as the fifth
largest retail industry in the world. Over the last few years, the Indian
retail industry has been one of the fastest growing industries. Initially, the
retail industry was mostly unorganized but with the changesin taste and personal
preference of consumers, the industry is getting more organized. With thedemand
in the market growing steadily, the industry is also expected to grow at a
steady pace annually.
The origins for retail industry in India can be traced to the emergence of small
general stores. These stores used to cater to the local people. The government then
gradually started supporting many indigenous franchise stores that came up with
the help of the Khadi and Village Industries Commission. The textile sector was
one of the few sectors to come up with retail chains.Some examples are Bombay
Dyeing, Raymonds, etc. Later,companies like Titanlaunched theirretail showrooms
in the organized sector as well. As the years passed, new companiespoured into
the picture as they moved from manufacturing to retailing.
Retail is India's largest
industry and accounts for over 10% of the GDP and 8% of employment. It is one
of India's fastest growing sectors with a 5% annual growth rate. Because of the
huge middle class that India possesses, its untapped retail industry is one of the key attractions for global retail giants to enter newer
markets. Due to changing lifestyles, growth of income amongst the middle class
population and favourable demographic patterns, the Indian retail sector is
expected to grow annually and the expected retail business could be worth 200
billion dollars by the year 2016.
Today, the concept and idea of
shopping has undergone a major change in terms of consumer behaviourdue to the retail
business. This hasbrought a new revolution in shopping in the country.
Modern retailing has entered the
country and this can be seen in the form of busy shopping centres,
multi-storied malls and the huge complexes that provide shopping, entertainment
and food under one roof.
The food andmobile phone retail industry
dominates the shopping basket in India and is already a billion dollar business.
The future of the retail industry looks very promising with the growing market
and with government policies becoming more favourable.
The growth pattern in retailing
and food consumption by the Indian population is following a steep rise and
therefore will helpnewer businessmen to enter the Indian retail industry.
