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a population of mastadons

always ready for cannibalism

invading green pastures worldwide

healthier than ever

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Global 9 retailers belong to Fortune 100

1 - Wallmart

35 Careff. 38 Ahold 46 Home Depot 56 - Kroger 72 - Metro 83 - Sears 89 - Target 100 - Albertsons

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� International presence of top 20 retailers

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� Global retail industry is of sizeUSD 8 trillion

�

Fortune # 1 Walmart is aretailer.

� Over 50 of the fortune 500

companies are retailers

� 25 of the Asian top 200 companies,are retailers

8

1

50

25

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Indias increasingly affluent middle

class 300 million

Increasing population

Higher disposable income,83000 millionaires, Indiato be the fastest wealth creator by 2010

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Market Opportunities

Growing consumer aspirations together with verylow penetration of modern format retailing

Infrastructure Large amount of quality retail space being added

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Weekly MarketsVillage Fairs

Melas

PDS Outlet,Khadi Stores,Co-operatives

Conveniencestores,

Mom & Pop stores

Exclusive BrandOutlets,

Hyper/Super Mkt.,

Shopping Malls

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Over 12 million outlets in India

Organized retail is 3%

Set to grow to 8-10% by 2010

Organized retail expected to be aroundRs. 110000 crore by 2010

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Hyper marts

Large supermarkets, typically (3500-5000 sq.ft)

Mini supermarkets, typically (1000-2000 sq.ft)

Convenience stores, typically (750-1000 sq.ft)

Discount/Shopping list grocer

Traditional retailers trying to reinvent by introducingself service formats as well as value-added services suchas credit, free home delivery, etc.

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COMPANY INVESTOR AMOUNT

Pantaloon Retail ICICIVentures, Bennett &Coleman

Rs 750 million

Shopper Stop IIML, ICICIVentures &Zodiac Clothing

Rs 752 million

Subhiksha ICICIVentures Rs 350 million

Trinethra & FabmallG

W Capital Rs 450 million

Vishal Retail Bennett & Coleman NA

Crossword ICICIVentures NA

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� Franchise Nike, Pizza Hut, Hilfiger, Marks &Spencer, Mango

� Manufacturing Bata India

� Distribution Swarovski, Hugo Boss

� Wholesale Trading Metro Cash & Carry

� Food Outlets McDonalds, KFC, Pizza Hut,Dominos

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Automatic approval is not allowed for foreign investmentin detail

Regulation restricting real estate purchases, andcumbersome local laws

Taxation, which favors small retail businesses

Absence of developed supply chain and integrated IT

management

Lack of trained workforce

Low skill level for retailing management

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Grant full industry status to retail

Permit FDI in retail in phases

Invest in supply chain infrastructure

Ease distribution infrastructure creation, octroi

Ensure single window clearance for retail chains

Organize market for real estateEnsure proper rent laws

Enforce zoning laws & city development plansIncrease land supply

Ensure flexibility of labor laws

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Be ready!

Be realistic!

Be resilient!

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THANK-YOU