Union Cabinet - today - approved 51% FDI in multi-brand retail sector.
Way back in 2008, the government had put a hold on FDI in multi-brand retail, after there were wide spread protests against the large scale organized players entering the retail sector. The retail sector in India is currently dominated by the many small shops that can be seen in every neighborhood.
Way back in the 70s and 80s, the government under the stewardship of the then Prime Minister Indira Gandhi had given a lot of emphasis to self-employment and encouraged the Indian masses to setup their own enterprises. As a result, a large number of small shops that are now referred to as the mom-n-pop stores came up.
The advent of the large-scale players in the form of organized retail made these small entrepreneurs insecure, leading to large scale protests against them.
But now, the government has cleared the way for setting up large scale multi-brand retail outlets by allowing 51% FDI.
Let us see what happens, now.
Showing posts with label organized retail. Show all posts
Showing posts with label organized retail. Show all posts
Thursday, November 24, 2011
Wednesday, October 10, 2007
Retail onslaught - my comments
When I started this blog sometime back, I just wanted to document some of my experiences based on my interaction with the members of the marketing and trading community in our town.
Little did I know that I would end up documenting protests against the retail onslaught at a national level.
Never did I imagine in my wildest thoughts that there would be such large scale protests in the country against the big players as a result of which a giant of the size and stature of Reliance would have to shut down its outlefts and consider withdrawal from some of the states.
We are at a stage where government intervention is desirable so that all parties involved survive and thrive.
Little did I know that I would end up documenting protests against the retail onslaught at a national level.
Never did I imagine in my wildest thoughts that there would be such large scale protests in the country against the big players as a result of which a giant of the size and stature of Reliance would have to shut down its outlefts and consider withdrawal from some of the states.
We are at a stage where government intervention is desirable so that all parties involved survive and thrive.
Thursday, September 27, 2007
Organized Retail and Uttar Pradesh
Organized retail in Uttar Pradesh witnessed a setback as Reliance has to close its Fresh outlets in Lucknow, Ghaziabad and Noida.
The retailing giant - Reliance Retail - has announced the termination of services of about 850 odd employees and has hinted at winding up operations in the state.
One of its top executives was quoted to have said something to the effect that there was no sense in staying invested if they are not allowed to open the stores.
One strange phenomenon that I have witnessed in the entire episode is that a major chunk of the protests against the organized retail has been targetted at Reliance Retail and its outlets.
The retailing giant - Reliance Retail - has announced the termination of services of about 850 odd employees and has hinted at winding up operations in the state.
One of its top executives was quoted to have said something to the effect that there was no sense in staying invested if they are not allowed to open the stores.
One strange phenomenon that I have witnessed in the entire episode is that a major chunk of the protests against the organized retail has been targetted at Reliance Retail and its outlets.
Tuesday, September 18, 2007
Rough Weather for Organized Retail continues
The latest salvo at the organized retail has come from the fire-brand leader Uma Bharti of MP.
She led hundreds of supporters in protest against the proliferation of retail chains promoted by corporates in the country. The immediate target of their attack was the Reliance Fresh store at Indore. They forced the outleft of Reliance Retail to shutdown.
The company representatives had already closed the shop before the rally reached its doorsteps. Uma Bharti still put a lock on its entrance to formalize the shutting of the shop.
The leader of the Bhartiya Janshakti Party - Uma Bharti - has set a 2 week deadline for Reliance Retail to close all its retail outlets in Bhopal and Indore threatening the organization with dire consequenses. She has also warned Walmart to refrain from advancing its plans of opening a chain of retail stores.
After UP, West Bengal, Kerala - a political leader in MP has stood up against the corporate and multinational organized retail players.
The voices from the small traders - owners of the stores in the unorganized retail arena of the country - have started getting support from some political leaders.
She led hundreds of supporters in protest against the proliferation of retail chains promoted by corporates in the country. The immediate target of their attack was the Reliance Fresh store at Indore. They forced the outleft of Reliance Retail to shutdown.
The company representatives had already closed the shop before the rally reached its doorsteps. Uma Bharti still put a lock on its entrance to formalize the shutting of the shop.
The leader of the Bhartiya Janshakti Party - Uma Bharti - has set a 2 week deadline for Reliance Retail to close all its retail outlets in Bhopal and Indore threatening the organization with dire consequenses. She has also warned Walmart to refrain from advancing its plans of opening a chain of retail stores.
After UP, West Bengal, Kerala - a political leader in MP has stood up against the corporate and multinational organized retail players.
The voices from the small traders - owners of the stores in the unorganized retail arena of the country - have started getting support from some political leaders.
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