Some Issues in Retail Management in India

Abstract

Though the Indian retailing enjoys many unique features, it is still done in a primitive way. Barring a few exceptions, the Indian retailers, particularly FMCG retailers, are not in a position to implement world class practices of supply chain management. The concepts of Quick Response of Efficient Consumer Response are unheard of in the Indian retailing. The two bases of modern retailing management, the Electronic Data Interface and a mutually respectable partnership among retailers and suppliers (the manufacturers) are missing to a great extent in the Indian context. Also, Indian marketing channel members are performing some unnecessary tasks that make the channel structure heavy and inefficient. Though these inefficiencies are observed in all retailing irrespective of industry, the symptoms are more evident in Indian FMCG retailing. Inefficiency in retailing leads to lower profitability of the retailers and lower service outputs for consumers. Some suggestions are made to improve retail management in the emerging business scenario.