The Indian Government takes notice of the retail onslaught. Prime Minister Manmohan Singh has ordered a full study on the impact of the retail chains on the existing small businesses and retailers.
Sonia Gandhi, the chairperson of the UPA government had voiced concerns over the impact of the "transnational supermarkets" on the local shopkeepers and the Prime Minister's Office (PMO) reacted promptly on the issue. It has gone one step ahead and included the retail chains being set up by the major Indian business houses like the Tata, Reliance, Bharti etc. into the scope of the study.
It must be noted that all the previous governments of the country have always promoted self employment and entrepreneurship specially at all levels and the entry of the large corporates in the retails sector directly impacts this stand.
It appears that the government is keen on making a comprehensive retail policy. In a letter to the Department of Industrial Policy and Promotion (DIPP), the department has been asked by PMO to complete the study in a reasonable timeframe so that it may be used as an input in the policy that is to be made in the near future.
This announcement will certainly make the transnational retail houses and big Indian business houses apply the brakes on their ambitious retail plans in the country.
Let us wait and what the study uncovers. Meanwhile the the small retailers and shopkeepers who were getting scared of the on-coming retail onslaught have got a breather.
Saturday, February 24, 2007
Saturday, February 17, 2007
Some retailers have struck gold
I am posting on this blog after a long time, it been almost a month.
My work as a software developer has kept me overworked for the last few days. I have started work on a new web-site that is being developed by my company for providing information about Bilaspur in Chhattisgarh, India.
Meanwhile, so much has happened and there is so much to discuss about the changing retail scenario in India.
Most of the shopkeepers in some of the frontrunner cities that are in the immediate horizon of the new large retail players may be a worried lot. But, some of the savvy and open-minded shopkeepers who were located in the prime localities have struck a jackpot.
They have managed to encash the competition amongst the new players for prime location. They have leased out or rented their own shops to the new players who are scouting for premises for their proposed chain of stores. In fact, this solution has made them more than happy. The deals that they have struck will pay them more than what they would otherwise have earned from their shops at the end of the year.
More so, they now have the time and resources to pursue and investigate other options, options that will, hopefully, keep them busy for the day and add to their kitty.
Let us see how things unfold.
My work as a software developer has kept me overworked for the last few days. I have started work on a new web-site that is being developed by my company for providing information about Bilaspur in Chhattisgarh, India.
Meanwhile, so much has happened and there is so much to discuss about the changing retail scenario in India.
Most of the shopkeepers in some of the frontrunner cities that are in the immediate horizon of the new large retail players may be a worried lot. But, some of the savvy and open-minded shopkeepers who were located in the prime localities have struck a jackpot.
They have managed to encash the competition amongst the new players for prime location. They have leased out or rented their own shops to the new players who are scouting for premises for their proposed chain of stores. In fact, this solution has made them more than happy. The deals that they have struck will pay them more than what they would otherwise have earned from their shops at the end of the year.
More so, they now have the time and resources to pursue and investigate other options, options that will, hopefully, keep them busy for the day and add to their kitty.
Let us see how things unfold.
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