Percentage of Retail sector in Indian GDP is 22%.
Not Bad.
But this mostly because of the unorganized retail sector in India.
Organised sector has less percentage ie few players but all BIG..!
As like as Future Group, TATA, Reliance, Vishal, Subhiksha etc.
So what this step of FDI in Retail will have an impact at..?
Large, already established players
Or
Small Kirana shops which will always too be a need in your neighborhood.
Can the big international brands like Walmart, Tesco, Carrefour etc.meet the needs of Indian Consumers in the times of Inflation by eradicating middle men's role in supply chain and thus reduce prices.
Is it a step deliberately taken by the GOI in order to fight sky high inflation.
Or they would not be able to impress the Middle Class Indian Consumer who might not be very comfortable with experimenting with new foreign brands.
Lets see.
But as soon as this news was circulated Market mood was happy and there was a rise in the shares of these Indian Retail brands.
Reason..?
Particularly the idea of making the retail sector more organized would be favorable for them and for Government too in terms of revenue from them through taxes would be certainly better than what the unorganized sector pays..!
Not Bad.
But this mostly because of the unorganized retail sector in India.
Organised sector has less percentage ie few players but all BIG..!
As like as Future Group, TATA, Reliance, Vishal, Subhiksha etc.
So what this step of FDI in Retail will have an impact at..?
Large, already established players
Or
Small Kirana shops which will always too be a need in your neighborhood.
Can the big international brands like Walmart, Tesco, Carrefour etc.meet the needs of Indian Consumers in the times of Inflation by eradicating middle men's role in supply chain and thus reduce prices.
Is it a step deliberately taken by the GOI in order to fight sky high inflation.
Or they would not be able to impress the Middle Class Indian Consumer who might not be very comfortable with experimenting with new foreign brands.
Lets see.
But as soon as this news was circulated Market mood was happy and there was a rise in the shares of these Indian Retail brands.
Reason..?
Particularly the idea of making the retail sector more organized would be favorable for them and for Government too in terms of revenue from them through taxes would be certainly better than what the unorganized sector pays..!
No comments:
Post a Comment