Foregin Direct Invstment in Indian Retail Market
www.sciedu.ca/jbar
Journal of Business Administration Research
Vol. 1, No. 1; 2012
FDI and Indian Retail Sector: An Analysis
Dr. Namita Rajput, Associate Professor Department of Commerce Sri Aurobindo College, Malviya Nagar, Delhi-110017 University of Delhi, India Tel: 91-93-1218-0054, 91-82-8588-8860 E-mail: namitarajput27@gmail.com
Dr. Subodh Kesharwani Assistance Professor (Senior grade) School of Management Studies Ground Floor, Academic Block-C, Room No. 18, Delhi-68, IGNOU, India Tel: 91-93-5002-6685 E-mail: subodhkesharwani@gmail.com
Akanksha Khanna (Corresponding author) Research Scholar IGNOU, Delhi, India Tel: 91-97-8038-9975 Received: May 22, 2012 doi:10.5430/jbar.v1n1p53 Abstract In the post-liberalisation period, changes in the consumer purchase behaviour are seen with growing liberalisation, rise in per capita income, GDP and explosion of brands. This rise in large base of consumers has been an attraction for big global retailers and major domestic corporate sector to invest in modern retail sector in India. This unprecedented rise in multiple brands has given Indian consumers a wider choice of products and ample opportunities to take advantage of in the present scenario. The retail industry is expected to grow at a rate of 14% by 2013. The first step towards allowing Foreign Direct Investment in Retail was taken in the year 2006. Subsequently the government of India has allowed 100% FDI in single brand retail to give consumers greater access to foreign brands, with the ongoing debate whether it should be allowed in multi-brand retail or not. With emergence of new ways like E-retailing, Indian retail sector is growing at a faster rate along with the employment potential. The retail landscape is showing a marked change, along with changes in the strategies of retailers towards the suppliers so as to get the best advantage. With the rapidly changing retail scene, India is soon going to be one of the fastest growing regions having great
Journal of Business Administration Research
Vol. 1, No. 1; 2012
FDI and Indian Retail Sector: An Analysis
Dr. Namita Rajput, Associate Professor Department of Commerce Sri Aurobindo College, Malviya Nagar, Delhi-110017 University of Delhi, India Tel: 91-93-1218-0054, 91-82-8588-8860 E-mail: namitarajput27@gmail.com
Dr. Subodh Kesharwani Assistance Professor (Senior grade) School of Management Studies Ground Floor, Academic Block-C, Room No. 18, Delhi-68, IGNOU, India Tel: 91-93-5002-6685 E-mail: subodhkesharwani@gmail.com
Akanksha Khanna (Corresponding author) Research Scholar IGNOU, Delhi, India Tel: 91-97-8038-9975 Received: May 22, 2012 doi:10.5430/jbar.v1n1p53 Abstract In the post-liberalisation period, changes in the consumer purchase behaviour are seen with growing liberalisation, rise in per capita income, GDP and explosion of brands. This rise in large base of consumers has been an attraction for big global retailers and major domestic corporate sector to invest in modern retail sector in India. This unprecedented rise in multiple brands has given Indian consumers a wider choice of products and ample opportunities to take advantage of in the present scenario. The retail industry is expected to grow at a rate of 14% by 2013. The first step towards allowing Foreign Direct Investment in Retail was taken in the year 2006. Subsequently the government of India has allowed 100% FDI in single brand retail to give consumers greater access to foreign brands, with the ongoing debate whether it should be allowed in multi-brand retail or not. With emergence of new ways like E-retailing, Indian retail sector is growing at a faster rate along with the employment potential. The retail landscape is showing a marked change, along with changes in the strategies of retailers towards the suppliers so as to get the best advantage. With the rapidly changing retail scene, India is soon going to be one of the fastest growing regions having great