fdi in retail (positive impacts)

Submitted by: Kirtan Pandya Submitted by: Kirtan Pandya

Overview

Positive impact of FDI in retail on:

1. Technology

2. Employment

3. Economy

4. Consumer

5. Other add-ons

Conclusion

Indian retailing:

Largest employer after agriculture

Highest outlet density in world

Around 12 mn outlets

Still evolving as an industry

Long way to go

1. Modern Format retailers:

Supermarkets (Foodworld)

Hypermarkets (Big Bazaar)

Department Stores (S Stop)

Specialty Chains (Ikea)

2. Traditional Format Retailers:

Kirana: Traditional Mom and Pop Stores

Street Markets

Exclusive /Multiple Brand Outlets

Efficient logistics, production, distribution channels

& warehousing technologies.

Digital records.

Boost in supply chain expertise.

Wastage and Storage problems will be resolved.

Jobs & investment in rural areas.

Sourcing from MSEs & SSEs.

10 million jobs in industries such as agro-processing and

logistics.

Improvement in the quality of employment.

Reduced wastage and costs, thus lowering prices.

Helpful to small industries and boost incomes.

Huge amount of capital inflow in country

Large amount of money in terms of taxes.

Tackle inflation.

Growth of infrastructure.

High safety & quality standard .

Improvement in overall shopping experience of consumers.

Upgradation of lifestyle & fashion of people.

Easy access to international brands.

Curse to local traders & consumers will be benefited.

Help farmers secure remunerative prices by

eliminating middlemen.

Appreciation of rupee.

Thus it can be said that FDI in retail could change the face

of Indian retail by offering quality goods at lower prices to

the consumers.

In addition to this, the presence of global retailers in Indian

retail industry will further enhance exports from India as

they would also source Indian goods for their international

outlets in a big way leading to a remarkable increase in

Indian exports.

THANK YOU!