Monday, June 25, 2007
Tuesday, May 29, 2007
Monday, May 21, 2007
Retailing in India - Entry of Wal Mart
Indian Telecom giant Bharti and World’s retail gaint Wal Mart are eyeing the $400Bn Indian retail sector. Only 5% of the sector is with the organized players. Whopping 95% is still unorganized.
So, they are eyeing a market of 380 billion dollars. They have appointed Technopak Consultancy as their advisors.
But there is a catch here. Already a lot of problem are being faced by the already existing players. The margins have really shrunk for them. Some of them are on the verge of extinction. Subhiksha, a well established player, is in dire financial situation.
Following are the challenges before the new joint venture between the 2 players.
1. Vastness of the Supply sources. – Food grains from Punjab and Spices from south India covering a distance of 3000 kms. Remember just 10 years back India was importing some 20 percent of its wheat requirements not because it produced less but because it found it cheap to import the same from Australia than moving it from Punjab and Haryana.
2. Resistance (Mentally ) to a foreign Player. :- Just remember what happened the KFC in south India when the launched their chain there. There was a lot of ill word and hatred spread against it in both the print and electronic media.
3. ROI- well the biggest question yet to be answered in the big projects are those related to the ROI. How they will be able to justify the ROI among such a tough competition from already established players. Location is very important in this business and its very important to have locations of high footfalls, which are unfortunately already occupied. Also it’s very uneconomical to have crowding of a particular place.
4. Competition from the unorganized sector: - People from unorganized sector is bound to be there. Currently they are operating on very high profit margins. But with increased competition they are bound to reduce their margins and put up a great with new players.
Now what should be their strategy.
India specific strategy.
1. Focus on select few markets and select few products instead of putting up a broad front of products.
2. Dynamic Supply Chain :- India is a dynamic and growing economy and hence rigid supply chains will falter soon. See how fast Pune has grown as a manufacturing hub and gugaon as service hub.
3. Recruitment :- Focus on training more than giving perks.
4. Buy / Produce decision :- Very critical and depends on location to location.
So, they are eyeing a market of 380 billion dollars. They have appointed Technopak Consultancy as their advisors.
But there is a catch here. Already a lot of problem are being faced by the already existing players. The margins have really shrunk for them. Some of them are on the verge of extinction. Subhiksha, a well established player, is in dire financial situation.
Following are the challenges before the new joint venture between the 2 players.
1. Vastness of the Supply sources. – Food grains from Punjab and Spices from south India covering a distance of 3000 kms. Remember just 10 years back India was importing some 20 percent of its wheat requirements not because it produced less but because it found it cheap to import the same from Australia than moving it from Punjab and Haryana.
2. Resistance (Mentally ) to a foreign Player. :- Just remember what happened the KFC in south India when the launched their chain there. There was a lot of ill word and hatred spread against it in both the print and electronic media.
3. ROI- well the biggest question yet to be answered in the big projects are those related to the ROI. How they will be able to justify the ROI among such a tough competition from already established players. Location is very important in this business and its very important to have locations of high footfalls, which are unfortunately already occupied. Also it’s very uneconomical to have crowding of a particular place.
4. Competition from the unorganized sector: - People from unorganized sector is bound to be there. Currently they are operating on very high profit margins. But with increased competition they are bound to reduce their margins and put up a great with new players.
Now what should be their strategy.
India specific strategy.
1. Focus on select few markets and select few products instead of putting up a broad front of products.
2. Dynamic Supply Chain :- India is a dynamic and growing economy and hence rigid supply chains will falter soon. See how fast Pune has grown as a manufacturing hub and gugaon as service hub.
3. Recruitment :- Focus on training more than giving perks.
4. Buy / Produce decision :- Very critical and depends on location to location.
Saturday, February 10, 2007
Monday, February 05, 2007
Sunday, January 21, 2007
Monday, January 15, 2007
Wednesday, December 27, 2006
Saturday, December 09, 2006
Sunday, November 05, 2006
Sunday, October 29, 2006
Story of a wannabe corporate honco
Hi and many thankx 2 every bdy who had paid visit to my blog.....
Well the motive behind this blog is to undertand and address the issues faced by the people faced in the middle of their careers.
This paricular breed of people constitute the majority of work force in any economic setup. This is valid for not only basic economic identies like bussiness but for all intangible arenas as extreme as politics.
Ok let lamme get straight to the point .
As one takes step out of child hood and gets into adoloscence , something very permanent mindset starts building up in the child ( in exceptional cases it can start building up in childhood itself ).
This mindset is regarding his future , his apirations , his desires and yes his agony and fears regarding futures .Yes it is very correct that the very first thoght about the future erupts into the child mind is due to his fears and apprehensions . The same had been proved by many pschologists and researchers.
At most of the times this is the very stage at which the inputs from his surounding and parents and peers start crepting into his mind.
Well the motive behind this blog is to undertand and address the issues faced by the people faced in the middle of their careers.
This paricular breed of people constitute the majority of work force in any economic setup. This is valid for not only basic economic identies like bussiness but for all intangible arenas as extreme as politics.
Ok let lamme get straight to the point .
As one takes step out of child hood and gets into adoloscence , something very permanent mindset starts building up in the child ( in exceptional cases it can start building up in childhood itself ).
This mindset is regarding his future , his apirations , his desires and yes his agony and fears regarding futures .Yes it is very correct that the very first thoght about the future erupts into the child mind is due to his fears and apprehensions . The same had been proved by many pschologists and researchers.
At most of the times this is the very stage at which the inputs from his surounding and parents and peers start crepting into his mind.
Story of a wannabe corporate honco
Hi and many thankx 2 every bdy who had paid visit to my blog.....
Well the motive behind this blog is to undertand and address the issues faced by the people faced in the middle of their careers.
This paricular breed of people constitute the majority of work force in any economic setup. This is valid for not only basic economic identies like bussiness but for all intangible arenas as extreme as politics.
Ok let lamme get straight to the point .
As one takes step out of child hood and gets into adoloscence , something very permanent mindset starts building up in the child ( in exceptional cases it can start building up in childhood itself ).
This mindset is regarding his future , his apirations , his desires and yes his agony and fears regarding futures .Yes it is very correct that the very first thoght about the future erupts into the child mind is due to his fears and apprehensions . The same had been proved by many pschologists and researchers.
At most of the times this is the very stage at which the inputs from his surounding and parents and peers start crepting into his mind.
Well the motive behind this blog is to undertand and address the issues faced by the people faced in the middle of their careers.
This paricular breed of people constitute the majority of work force in any economic setup. This is valid for not only basic economic identies like bussiness but for all intangible arenas as extreme as politics.
Ok let lamme get straight to the point .
As one takes step out of child hood and gets into adoloscence , something very permanent mindset starts building up in the child ( in exceptional cases it can start building up in childhood itself ).
This mindset is regarding his future , his apirations , his desires and yes his agony and fears regarding futures .Yes it is very correct that the very first thoght about the future erupts into the child mind is due to his fears and apprehensions . The same had been proved by many pschologists and researchers.
At most of the times this is the very stage at which the inputs from his surounding and parents and peers start crepting into his mind.
Friday, October 27, 2006
Targets Anti Adulteration Drive
Surender Kumar - Waluj DAhegaon Gangapur - Wastage of Company Investments
Friday, October 20, 2006
Monday, October 16, 2006
Wednesday, September 27, 2006
Saturday, September 23, 2006
Monday, September 18, 2006
Sunday, September 17, 2006
Monday, September 11, 2006
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