Term Paper
Content
TERM PAPER OF RETAIL MANAGEMENT
TOPIC:-
SUBMMITED BY:HARISH KUMAR The rock you know
Page 1 of 11
ACKNOWLEGMENT
It has been a great challenge but a plenty of learning and opportunities to gain huge knowledge on the way preparing this term paper. I would not succeed without my teacher Mr. , who seemed to be with me always; and prepared to give me feedback and guidelines whenever I needed it. Thank You Sir! I also would like to thank all my friends. I hope you will find my working as interesting and knowledge earning. And it will be useful for others wanting to learn about apparel industry and retailers’ policies and strategies about planning.
CONTEXT
Page 2 of 11
1. OBJECTIVE……………………………………………...
2. INTRODUCTION………………………………………..
3.
RESEARCH METHOLOGY…………………………..
4.
PROJECT WORK……………………………………….
5. CONCLUTION…………………………………………
6. BIBLIOGRAPHY…………………………………………
1. OBJECTIVE
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• To understand the relevance of industry and competitive analysis to the market planning process.
• To describe the role of marketing research in determining marketing strategy • for the marketing plan.
• To illustrate an effective and feasible procedure for the entrepreneur to follow in engaging in a market research study.
• To define the steps in preparing the marketing plan.
• To explain the marketing systems and its key components.
• To illustrate different creative strategies that may be used to differentiate or position the new ventures products or services.
2. INTRODUCTION
Page 4 of 11
RETAIL
It’s a human tendency to have a comfort, luxurious life and have all facilities to him. And as there is a golden period going on now; anybody can enjoy these benefits. And retailing concept is also from one of these facilities. Retailing is simply provides the end product to customer. So retailers are directly in touch with customers. Retailing in India is witnessing a huge revamping exercise. India is rated the fifth most attractive emerging retail market: a potential goldmine. The India Retail Industry is the largest among all the industries, accounting for over 10 per cent of the country’s GDP and around 8 per cent of the employment. The Retail Industry in India has come forth as one of the most dynamic and fast paced industries with several players entering the market. But all of them have not yet tasted success because of the heavy initial investments that are required to break even with other companies and compete with them. The India Retail Industry is gradually inching its way towards becoming the next boom industry. Retail sector in India has come to be known as the sunrise sector of the country with the promising opportunities that it has opened up. The sector is expanding at a rapid speed. It suffered a temporary blow with the global economic downturn but the tide is back to normal now and retail sector is looking up again. With the growth, the job opportunities n the sector also rose and so did the demand for retail management courses. To become a retail executive or retail manager, there were not many specialized courses earlier. However, now the scenario has changed for good and many retail courses have been launched by colleges in India and the private institutes too. There are degrees; diploma as well as certificate course in retail that one can opt for.
RETAIL MARKET STRATEGY
Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a
Page 5 of 11
sustainable competitive advantage. A marketing strategy should be centered around the key concept that customer satisfaction is the main goal. Marketing starts with market research, in which needs and attitudes and competitors' products are assessed, and continues through into advertising, promotion, distribution, and, where applicable, customer servicing and repair, packaging, and sales and distribution. Marketing strategy is a method of focusing an organization's energies and resources on a course of action which can lead to increased sales and dominance of a targeted market niche. A marketing strategy combines product development, promotion, distribution, pricing, relationship management and other elements; identifies the firm's marketing goals, and explains how they will be achieved, ideally within a stated timeframe. Marketing strategy determines the choice of target market segments, positioning, marketing mix, and allocation of resources. It is most effective when it is an integral component of overall firm strategy, defining how the organization will successfully engage customers, prospects, and competitors in the market arena. Corporate strategies, corporate missions, and corporate goals. As the customer constitutes the source of a company's revenue, marketing strategy is closely linked with sales. A key component of marketing strategy is often to keep marketing in line with a company's overarching mission statement.
3. RESEARCH METHOLOGY
For this term paper one has to know each and every aspect of the concept thoroughly. And then for pricing planning one has to get update with the latest trends and all factors which are continuously affecting these decisions. So acquiring the data regarding this I gone through by several things like:
Page 6 of 11
• • • •
Books; Magazines; Journals; Web site.
4. PROJECT WORK FINANCIAL RETAIL DATA
The growth of the retail trade in India is associated with the growth in the Indian economy. Gross domestic product (GDP) grew by an annual rate of 6.6 per cent during 1994-00 but the growth slackened to 4.7 per cent per annum during the next three years before the growth remarkably rose to 8.7 per cent per annum in the last four years. This meant a substantial rise in disposable income of Indian households since the mid-1990s. Based on the Market Information Survey of Households (MISH)
Page 7 of 11
of the National Council of Applied Economic Research (NCAER), the number of people in the income groups of “aspirers” and the middle class with annual income ranging from Rs. 90,000 to one million, more than doubled from 157 million to 327 million during the last decade 1995-96 to 2005-06. Retail Sector is the most booming sector in the Indian economy. Some of the biggest players of the world are going to enter the industry soon. It is on the threshold of bringing the next big revolution after the IT sector. Although organized retail market is not as strong as of now, it is expected to grow manifolds by the year 2010. The sector contributes 10% of the GDP, and is estimated to show 20% annual growth rate by the end of the decade as against the current growth rate of 8.5%. A CRISIL report says that the Indian retail market is the most fragmented in the world and that only 2% of the entire retailing business is in the organized sector. This suggests that the potential for growth is immense. There are about 300 new malls, 1500 supermarkets and 325 departmental stores currently being built in the cities across India.
5. SUMMARY
From all findings collected by researcher, he reached to the conclusion that in this quick-moving environment, now retailers also have realized that they need to work strategically for their survival. That’s why now they are taking seriously and spending their time and efforts for it. And it is vital for them to consider it also before doing any business. It is not only for apparel industry but now for every business segment it is necessary. Today’s scenario has totally changed from past. Now market is totally customer-centric and highly competitive. So if any company wants to alive here and wants to a long-term business then they have to fulfill all demands of customers and follow all required patterns either it is a big giant or a small business unit.
Page 8 of 11
Retailers are very much aware about these things and they are doing their business according to it. And here also customer can get all those qualities and varieties which before some years they were only thinking in dreams or watching in TVs, Movies. Now all branded items available here only because of emerging market situations and customer-friendly market. This high retailing scenario affects traditional unorganized outlets business too and now they are also giving a high competition to these organized retailers. So for keep their presence with a great margin of profits also, all organized and unorganized retailers are facing a high cut-throat competition with each other. Here same famous Darwin’s Law (on Evaluation Theory) is applicable on retailers also, “the most powerful and quick updating creature, according to the circumstances will remain alive and others who couldn’t adopt themselves according to the changing environment, will be finished.” But ultimately these all things are going in favor of customers and customer will be benefited at last.
7.CONCLUTION
In today’s competitive scenario where more and more players are coming into the picture, there is a need to look into the customer or client behavior to know your client well. And also there is a need to spread their business like this in which one can choose the best for them. Till now here in India most of people prefer unbranded clothing and they buy clothing from traditional apparel stores but after entrance of big giants in this segment, today’s emerging retailing environment, people’s income level and spending power, increasing preference for fashion & new trends; hence there is a wide scope in India for apparel industry and till now it is at the flourish stage. The variety and assortment of merchandise offered by a store play a major role in attracting customers. Merchandise comes in a variety of sizes, colors, makes and models. So any retailer, big or small, take many decisions regarding what to purchase and what to made the goods available to customers. This is called systematic merchandise planning. So basically merchandise decisions are related to what type of product they are going to offer and assortment planning is related to the varieties of product and goods offered by them in their outlets.
Page 9 of 11
Because of high cut-throat competition, when all market players are fighting with each-other for attracting and retaining customers. But today customers are also very smart and they know the value of their money; and a lot of choices are available in the market for them. Especially in apparel industry, a lot of brands and a wide range of fashion are available so it’s too difficult for customers to taking the purchase decision. So it’s necessary for every retailer to provide the best and biggest possible range of product to customers. And researcher studied these all in preparing this thesis and found that these decisions and planning are continuously adopting by every big and small retailer; because it is the demand of current time.
8. BIBLOGARAPHY
List of books and articles• • • • Retail Management, ICFAI University Press, Business Research Methods, ICFAI University Press, Case studies in Retail Management (Volume-2), ICFAI University Press Retail Management Review, ICFAI University Press
List of websites articles • • • • • • • www.google.com www.wikipedia.com www.customerresearch.com www.researchindia.org www.answers.com www.managementjuice.com www.businesscases.com
Page 10 of 11
www.prenticehall.com • http://www.indiainbusiness.nic.
•
Page 11 of 11
TOPIC:-
SUBMMITED BY:HARISH KUMAR The rock you know
Page 1 of 11
ACKNOWLEGMENT
It has been a great challenge but a plenty of learning and opportunities to gain huge knowledge on the way preparing this term paper. I would not succeed without my teacher Mr. , who seemed to be with me always; and prepared to give me feedback and guidelines whenever I needed it. Thank You Sir! I also would like to thank all my friends. I hope you will find my working as interesting and knowledge earning. And it will be useful for others wanting to learn about apparel industry and retailers’ policies and strategies about planning.
CONTEXT
Page 2 of 11
1. OBJECTIVE……………………………………………...
2. INTRODUCTION………………………………………..
3.
RESEARCH METHOLOGY…………………………..
4.
PROJECT WORK……………………………………….
5. CONCLUTION…………………………………………
6. BIBLIOGRAPHY…………………………………………
1. OBJECTIVE
Page 3 of 11
• To understand the relevance of industry and competitive analysis to the market planning process.
• To describe the role of marketing research in determining marketing strategy • for the marketing plan.
• To illustrate an effective and feasible procedure for the entrepreneur to follow in engaging in a market research study.
• To define the steps in preparing the marketing plan.
• To explain the marketing systems and its key components.
• To illustrate different creative strategies that may be used to differentiate or position the new ventures products or services.
2. INTRODUCTION
Page 4 of 11
RETAIL
It’s a human tendency to have a comfort, luxurious life and have all facilities to him. And as there is a golden period going on now; anybody can enjoy these benefits. And retailing concept is also from one of these facilities. Retailing is simply provides the end product to customer. So retailers are directly in touch with customers. Retailing in India is witnessing a huge revamping exercise. India is rated the fifth most attractive emerging retail market: a potential goldmine. The India Retail Industry is the largest among all the industries, accounting for over 10 per cent of the country’s GDP and around 8 per cent of the employment. The Retail Industry in India has come forth as one of the most dynamic and fast paced industries with several players entering the market. But all of them have not yet tasted success because of the heavy initial investments that are required to break even with other companies and compete with them. The India Retail Industry is gradually inching its way towards becoming the next boom industry. Retail sector in India has come to be known as the sunrise sector of the country with the promising opportunities that it has opened up. The sector is expanding at a rapid speed. It suffered a temporary blow with the global economic downturn but the tide is back to normal now and retail sector is looking up again. With the growth, the job opportunities n the sector also rose and so did the demand for retail management courses. To become a retail executive or retail manager, there were not many specialized courses earlier. However, now the scenario has changed for good and many retail courses have been launched by colleges in India and the private institutes too. There are degrees; diploma as well as certificate course in retail that one can opt for.
RETAIL MARKET STRATEGY
Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a
Page 5 of 11
sustainable competitive advantage. A marketing strategy should be centered around the key concept that customer satisfaction is the main goal. Marketing starts with market research, in which needs and attitudes and competitors' products are assessed, and continues through into advertising, promotion, distribution, and, where applicable, customer servicing and repair, packaging, and sales and distribution. Marketing strategy is a method of focusing an organization's energies and resources on a course of action which can lead to increased sales and dominance of a targeted market niche. A marketing strategy combines product development, promotion, distribution, pricing, relationship management and other elements; identifies the firm's marketing goals, and explains how they will be achieved, ideally within a stated timeframe. Marketing strategy determines the choice of target market segments, positioning, marketing mix, and allocation of resources. It is most effective when it is an integral component of overall firm strategy, defining how the organization will successfully engage customers, prospects, and competitors in the market arena. Corporate strategies, corporate missions, and corporate goals. As the customer constitutes the source of a company's revenue, marketing strategy is closely linked with sales. A key component of marketing strategy is often to keep marketing in line with a company's overarching mission statement.
3. RESEARCH METHOLOGY
For this term paper one has to know each and every aspect of the concept thoroughly. And then for pricing planning one has to get update with the latest trends and all factors which are continuously affecting these decisions. So acquiring the data regarding this I gone through by several things like:
Page 6 of 11
• • • •
Books; Magazines; Journals; Web site.
4. PROJECT WORK FINANCIAL RETAIL DATA
The growth of the retail trade in India is associated with the growth in the Indian economy. Gross domestic product (GDP) grew by an annual rate of 6.6 per cent during 1994-00 but the growth slackened to 4.7 per cent per annum during the next three years before the growth remarkably rose to 8.7 per cent per annum in the last four years. This meant a substantial rise in disposable income of Indian households since the mid-1990s. Based on the Market Information Survey of Households (MISH)
Page 7 of 11
of the National Council of Applied Economic Research (NCAER), the number of people in the income groups of “aspirers” and the middle class with annual income ranging from Rs. 90,000 to one million, more than doubled from 157 million to 327 million during the last decade 1995-96 to 2005-06. Retail Sector is the most booming sector in the Indian economy. Some of the biggest players of the world are going to enter the industry soon. It is on the threshold of bringing the next big revolution after the IT sector. Although organized retail market is not as strong as of now, it is expected to grow manifolds by the year 2010. The sector contributes 10% of the GDP, and is estimated to show 20% annual growth rate by the end of the decade as against the current growth rate of 8.5%. A CRISIL report says that the Indian retail market is the most fragmented in the world and that only 2% of the entire retailing business is in the organized sector. This suggests that the potential for growth is immense. There are about 300 new malls, 1500 supermarkets and 325 departmental stores currently being built in the cities across India.
5. SUMMARY
From all findings collected by researcher, he reached to the conclusion that in this quick-moving environment, now retailers also have realized that they need to work strategically for their survival. That’s why now they are taking seriously and spending their time and efforts for it. And it is vital for them to consider it also before doing any business. It is not only for apparel industry but now for every business segment it is necessary. Today’s scenario has totally changed from past. Now market is totally customer-centric and highly competitive. So if any company wants to alive here and wants to a long-term business then they have to fulfill all demands of customers and follow all required patterns either it is a big giant or a small business unit.
Page 8 of 11
Retailers are very much aware about these things and they are doing their business according to it. And here also customer can get all those qualities and varieties which before some years they were only thinking in dreams or watching in TVs, Movies. Now all branded items available here only because of emerging market situations and customer-friendly market. This high retailing scenario affects traditional unorganized outlets business too and now they are also giving a high competition to these organized retailers. So for keep their presence with a great margin of profits also, all organized and unorganized retailers are facing a high cut-throat competition with each other. Here same famous Darwin’s Law (on Evaluation Theory) is applicable on retailers also, “the most powerful and quick updating creature, according to the circumstances will remain alive and others who couldn’t adopt themselves according to the changing environment, will be finished.” But ultimately these all things are going in favor of customers and customer will be benefited at last.
7.CONCLUTION
In today’s competitive scenario where more and more players are coming into the picture, there is a need to look into the customer or client behavior to know your client well. And also there is a need to spread their business like this in which one can choose the best for them. Till now here in India most of people prefer unbranded clothing and they buy clothing from traditional apparel stores but after entrance of big giants in this segment, today’s emerging retailing environment, people’s income level and spending power, increasing preference for fashion & new trends; hence there is a wide scope in India for apparel industry and till now it is at the flourish stage. The variety and assortment of merchandise offered by a store play a major role in attracting customers. Merchandise comes in a variety of sizes, colors, makes and models. So any retailer, big or small, take many decisions regarding what to purchase and what to made the goods available to customers. This is called systematic merchandise planning. So basically merchandise decisions are related to what type of product they are going to offer and assortment planning is related to the varieties of product and goods offered by them in their outlets.
Page 9 of 11
Because of high cut-throat competition, when all market players are fighting with each-other for attracting and retaining customers. But today customers are also very smart and they know the value of their money; and a lot of choices are available in the market for them. Especially in apparel industry, a lot of brands and a wide range of fashion are available so it’s too difficult for customers to taking the purchase decision. So it’s necessary for every retailer to provide the best and biggest possible range of product to customers. And researcher studied these all in preparing this thesis and found that these decisions and planning are continuously adopting by every big and small retailer; because it is the demand of current time.
8. BIBLOGARAPHY
List of books and articles• • • • Retail Management, ICFAI University Press, Business Research Methods, ICFAI University Press, Case studies in Retail Management (Volume-2), ICFAI University Press Retail Management Review, ICFAI University Press
List of websites articles • • • • • • • www.google.com www.wikipedia.com www.customerresearch.com www.researchindia.org www.answers.com www.managementjuice.com www.businesscases.com
Page 10 of 11
www.prenticehall.com • http://www.indiainbusiness.nic.
•
Page 11 of 11
