A long wait for MNC like Wall Mart and Carrefour may be over very shortly. India may take one of the long pending decisions on Retail Industry very soon. The 100% FDI in Wholesale and 51% FDI in single Brand retail which is presently allowed by Indian Government is not helping to leverage the expertise of big retail chain. The Indian Multi Brand retail chain like Big Bazaar etc who were opposing the entry of Global giant earlier has started supporting it due to reason known to them. Indian retail chain is growing slowly and steadily but they need huge Fund for further growth from here onwards. The Indian consumer desperaly looking for Wall mart with the belief that they will get value for money on most products and also at cheaper rate .If FDI is allowed in retail it is sure that market dynamic will change in a big way. But what will happen after 5~10 years no one knows. The so called self proclaimed protectionist group is talking on behalf of the small store but the logic is not so strong. Small store are also adopting unfair trade practices and most of the time take consumer as granted. You go to any big size local Kirana store they all charge on MRP and people are so busy that no one bothers to verify the price. They do not provide ample space for consumer to select product, they behave arrogantly some time, they do not have customer support mechanism, they also sale spurious and adulterated foods, they evade taxes due to lack of proper Billing system etc. They are easily approachable does not mean they are doing justice to the small consumer. Most of the above points are taken care in a Modern trade format store. It is high time Indian consumer must get the option to choose where he want to buy his preferred goods. There should be no politics this time. The cabinet of India is expected to take a final decision on this matter on 24th November
sir,
ReplyDeleteits good that FDI in retail is to done and government is taking the initiative but before that the government has to think about those small shopkeepers who have this business as their livelihood these small shopkeepers doesnt have much bargaining power with the suppliers so at last they will not face the competition and will get out of the market, its good that we costumers will be getting benefited but also thinking for those people also
Sir,
ReplyDeleteyaa it's good & it will create a competitive market in retail. As we all know today India is facing high inflation rate as well as FII's also moving out & FDI's are not coming with the great investment so it will help in inflow of dollars. employment & infrastructure are value added advantage of FDI investment. Due to unorganized retail sector black marketing, piracy and milwati products are enjoying their bank balance so it will help to stop corruption in retail. common man will get fresh things on a cheap rate so my point of view is thums up for FDI's in retail.