Unorganized Retail Sector Research Articles

Role of Modern Technology in Unorganized Retail Sector

Role of Modern Technology in Unorganized Retail Sector

A RESEARCH STUDY ON IMPACT OF FASTGROWING HYPERMARKETS ON THE SMALL SCALE BUSINESS

The rapid growth of modern organized retail in India contrasts starkly with the persistently dominant unorganized retail sector, which constitutes around 80% of the countrys retail trade. This study investigates the effects of this dynamic on small retailers, shedding light on the changes, challenges, and strategies faced by such businesses. Focusing on Mangalore, a rapidly developing city in Karnataka, the research examines how organized retail, specifically supermarkets, impacts local unorganized small businesses. Employing a Random Sampling Method, various retail formats are studied, employing a SWOT analysis framework via a structured questionnaire. The studys findings underscore that supermarkets in the targeted region indeed exert detrimental effects on various types of unorganized retail businesses, resulting in job losses. Furthermore, the study uncovers the driving factors behind supermarket expansion from the vantage point of small businesses. Methodology: Through Random Sampling, diverse retail formats are included. A structured questionnaire underpins the SWOT analysis framework, providing a comprehensive understanding of both sectors strategies and business plans. The goal is to facilitate the survival of small businesses by offering valuable insights and techniques, bolstered by rigorous statistical analytics and research. Findings: The research establishes that supermarkets growth in the selected Indian suburban region negatively impacts unorganized retail businesses across the spectrum. Additionally, the expansion of supermarkets directly contributes to job losses in small retail enterprises. Small businesses perspectives shed light on the principal driver propelling the supermarket boom. The study unveils the strategies and plans employed by supermarkets, which in turn informs suggestions to enhance strategies for small businesses. It also offers a systematic approach to customer engagement, emphasizing product quality. Originality: This research tackles contemporary market challenges faced by small businesses with a robust foundation of data and empirical evidence. By employing statistical analytics and a comprehensive research approach, the study provides unique insights into the coexistence of organized and unorganized retail sectors, contributing to the ongoing discourse on retail market dynamics.

Impact of Organized Retail Sector on Unorganized Retail Sector in India

Impact of Organized Retail Sector on Unorganized Retail Sector in India

A Study of Employment in Organized and Unorganized Retail Sector of Maharashtra

This Research explores the basic features of retail employment and the effects of variables like work environment, employer-employee relationship, training and development, rewards and promotions. These interrelated factors have strong relationship with the overall satisfaction of workers employed in organized and unorganized retail sector. The analysis is carried out only for the total sample of organized and unorganized retail workers. Work environment includes work time and working hours, job insecurity flexibility of arriving and leave workplace, workload Work environment factors like work timings, working hours, frequency of double work / overtime breaks, flexibility to arrive and leave workplace ,setting arrangement, drinking water facilities, supervisor control and job security were studied.

Comparative Study Between User and Non-user Behavior Towards Unified Payment Interface (UPI) & QR Payments in an Unorganized Retail Sector in India

This study is conducted with the objective to check the adaptation behavior toward Unified Payment Interface (UPI) & QR payments in the unorganized retail sector in India. Data was collected through structured questionnaires and schedules with help of 330 retailers of which 165 retailers were using Unified Payment Interface (UPI) & QR payments and 165 Non-Users. Data analysis was done through ANOVA, with help of 330 samples in the sector. The study has undertaken cross-tabulation to compare the relationship between users and non-users. The findings and implications are discussed.

Impact of COVID-19 on unorganized Indian retail markets

As informal workers struggle to survive the current crisis, there is reason to believe that more strain would also be exerted on the already fragile sector in the post-crisis era. The implications of the COVID-19 outbreak for the informal economy will continue. Faced with a long crisis, the global economy would likely shrink demand for informal goods and services. The primary goal of this paper is to study consumer behavior during the pandemic, investigate government-implemented Standard Operating Procedures (SOPs) for the unorganized retail sector, and determine if consumers prefer to have goods delivered to their homes rather than visit retail stores. This paper collected information from a number of Indian customers who made unorganized retail transactions in New Delhi and NCR Region. The sample was taken from 700 citizens of New Delhi, India. The study found that product variety, digital payment, scheduling, free delivery and lower speed have a significant effect on customer behavior. In addition, SOPs do not influence consumer behavior. The main reasons for choosing a specific channel are simple availability, security, less hassle, and compliance with all laws. The pandemic led to a renewed trust in the local Kirana shop, with new clients visiting metro and non-metro shops locally. The system in Kirana has changed from physical sales to digital aviation because of the pandemic.

WITHDRAWN: Computational analysis for service quality determinants in retail sectors using SERVQUAL model

Abstract Grocery stores play an instrumental role in the lives of people and it is primordial for firms to know what consumers expect and perceive from these stores. Service quality is mainly focused on meeting the customer’s needs and also how good the service offered meets the customer’s expectation of it. In grocery stores, it is very difficult to evaluate intangibility because their activities are centered on the physical products. The marketplace is becoming increasingly challenging for companies because of more intense competition among the retail sectors organized and unorganized and more demanding customers. Considering the competitive environment, there is a need for a retailing strategy that differentiates one retail store from another. This can be achieved through the delivery of high service quality. Therefore it is very important to analyze the service quality of both organized and unorganized retail sector to know the gap what the consumers expect and what the retailers serve. In this research, the consumer’s expectation as what consumers think, should be offered by the ideal grocery stores and consumer’s perception will be defined as what they experienced in the grocery stores and this is assessed after the performance. It is difficult according to previous studies to measure service quality because of its intangible nature and as it deals with expectations and perceptions of consumers. Also this is justify to determine due to the complexity of human behaviour. This research governs and suggests the service providers to determine the level of intangibility of services and try to include tangible elements that could aid understanding of expectation from the consumer’s perspective. This research may provide detailed information about Customer perceptions of services provided by the organized and unorganized retail sectors, service performance levels as expected by customers, customer opinions and suggestions to fill the gaps of customers’ expectations and satisfaction.

Determining the Influence of Private Labels on Sales of National Brands: A Qualitative Approach

Private-label brands (PLBs) are spreading their operations in all product categories and have marked their presence in almost all types of retail formats. They are posing stringent competition to national brands (NBs), be it offline (organized and unorganized) retail or online retail. Besides being favourites of value-conscious Indian consumers, PLBs are becoming a key focus of channel partners as well. In this context, the present research article is aimed at providing insights about how PLBs are able to garner the profit-centric interests of channel partners and how they are affecting the distribution of NBs in the unorganized retail sector. The study is based on information collected through semi-structured interviews with distributors and retailers from Haryana and Punjab. A thematic analysis was performed to draw meaningful inferences from the responses collected through the semi-structured interviews. The results reveal that channel partners’ interest in the high margins of private labels and their interest in maintaining long-term relationships with the latter make NBs vulnerable on parameters such as sales effort investment, in-store visibility, ordering quantity and frequency and numeric distribution. This study provides bases for understanding private label operations in the unorganized retail sector in India.

A Study on Effectiveness of FDI on Unorganised Retail Sector of India

Foreign Direct Investment (FDI) plays a very vital role in economic development for any developing and under-developing nation, the largest democracy, and the second-largest populated country in the world is facing a tremendous challenge to fight against inflation and unemployment. FDI can provide the life-blood to the Indian economy. Though late the UPA-II Government, headed by Dr. Manmohan Singh, has decided the d on November-2012, in respect of proposals involving FDI beyond 52 percent, it is mandatory to source 30 percent of the value of the goods purchased from India, preferably MSMEs. Making India is the most open economy in the world, Modi Government announced its second major reform in FDI soon after its deep-seated changes. The Government, since the beginning, has been taken steps to boost FDI in the country to create a different climate so that foreign investors feel confident in investing. Putting an end to the long-standing discussion on the Processing of e-commerce in India, Government permitted 100 percent FDI in the market place format e-commerce retailing and also come up with the definition of a marketplace and inventoryled models of e-commerce. All these factors are dwindling purchasing from unorganized retail shops. This research paper will try to find out the impact of FDI on the unorganized retail sector in India as well as the effectiveness of FDI on Agro Products.

Foreign Direct Investment in Retail Industry in India

The Government of India was initially very apprehensive of the introduction of the Foreign Direct Investment in the Retail Sector in India. The unorganized retail sector as has been mentioned earlier occupies 98% of the retail sector and the rest 2% is contributed by the organized sector. The unorganized retail sector contributes about 14% to the GDP and absorbs about 7% of our labor force. Retail is the sale of goods to end users, not for resale, but for use and consumption by the purchaser. The retail transaction is at the end of the supply chain. Manufacturers sell large quantities of products to retailers, and retailers sell small quantities of those products to consumers. This study has been undertaken foreign direct investment has affected the Indian retail industry. The inflow of foreign direct investment has boosted growth in the retail industry and increased the gross domestic product of India. Government policy and other determinants have been discussed to study and analyze the impact. The Indian retail market is a developing market and has potential for investments. There had been a restriction in the inflow of foreign direct investment till 2006. But since 2006, there has been a positive change in the government policy thereby allowing foreign companies to invest in India and become an owner. The paper elucidates the growth between different sectors of Indian retail industry, the tax incentives and determinants for inflow of foreign direct investment. This study focuses on foreign direct investment inflows in selected retail sectors

Reasons for Channel Conflict among the Small Retailers in Tamil Nadu

Retail sector in India is at the crossroads today. A shift between organized and unorganized retail sector is apparent, especially in the vegetable, fruits and groceries retailing zone. The channel conflict arises when the channel partners such as manufacturers, wholesalers, distributors, retailers, etc compete against each other for the common sale with the same brand. The small retailers are affected by this conflict. The study was undertaken in Coimbatore district of Tamil Nadu with aim to assess channel conflicts from various interactions with the small store retailers. The Factor analysis is used to analyze interrelationship among a large number of variable and to variables regarding their common underlying dimensions. The result showed that, six variables under factor coercive source of power explained 67.17 per cent of total variance. Therefore six factors, using factor analysis were identified as main reasons for conflict between small retailers-vendors and small retailers-customers..

Impact of Organized Retail on Unorganized Retail Sector

Retail is currently the flourishing sector of the Indian economy. This trend is expected to continue for at least the next two-three decades, and it is attracting huge attention from all entrepreneurs, business heads, investors as well as real estate owners and builders. Availability of quality, retail space, wider availability of products and brand communication are the some important factors that are driving the retail in India. Retail sector is also supporting to create huge employment while a new form of organized retail sector has emerged within the retail industry and it gave speedy phase to Indian retail sector. The rationale of the study is twofold: First, to examine the nature of changes in the retail sector taking place due to organized form of retailing and implications of shift to this new form of retailing. Secondly, this area has remained largely an unexplored part of research till date especially in the Indian context. The broad objective of the study is to understand consumer behavior towards organized and unorganized retail stores and to find out the consumers satisfaction level from organized retail stores as well as unorganized retail stores. The perception of the traditional retailers about the modern retailing. The study uses primary data collected through in depth qualitative analysis to represent organized and unorganized retail sectors respectively. The present study focuses on Kanyakumari, Tirunelveli, Tuticorin, Madurai and Viruthunagar Districts of Tamil Nadu.

Policy of foreign direct investment liberalisation in India: implications for retail sector

This study has analysed the impact of liberalisation of Indian economy and FDI policy on the retail sector since its implementation in the 1990s. It also further analyses sub-categories by investigating its impact on the unorganised retail sector and the flow of FDI in single-brand retail and multi-brand retail sectors. A comprehensive and critical review of the existing evidence on the subject was carried out, and descriptive statistical analysis of data from 1991 to 2013 was performed which leads to conclude that the policy of FDI liberalisation has proved to provide diversification and sustainable development to the Indian economy and specifically retail sector which is considered to be one of the significant pillars of economy. Furthermore, for continuous growth of the economy, it seems vital to encourage more investment in other sectors by liberalising the restrictive policies.

An Exploration of the Emergence of Coordinated Domestic Supply Chain for Exotic Vegetables in India: A Case Study of Baby corn

This study based upon primary data had been carried out to explore the domestic supply chain for baby corn as well as to examine the investment and sales pattern of baby corn of the market agents. The study indicated that the entry of corporate sector in the non-traditional agricultural sector has paved a way for a small segment of the market agents at each level along the commodity specific entire supply chain for an upward mobility. Production thereby of the sales of baby corn was relatively concentrated during the months of October and November. Its average monthly sales from the primary wholesalers were about 14% higher to the secondary wholesalers in Punjab when compared to West Bengal. Its average monthly sales to the organized sector compared to the traditional retail sector stood 7.51% higher in the primary wholesale market whereas 33.01% higher in the secondary wholesale market of Ludhiana city. However, traditional i.e. unorganized retail sector like the sales of seasonal fruits and vegetables also predominates in the sales of this exotic vegetable item. It seems that the sales of this exotic item from the organized retail sector might have been concentrated from particular stores/localities.JEL classification: Q11, Q13

Impact of gst on e- commerce industry in india

The success of the e-commerce sector is largely dependent on the increasingnumber of retail entrepreneurs, who fall in the unorganised retail sector category. TheGovernment has included such players in the ambit of GST with an intention of broadeningthe tax base and has introduced specific provisions for the e-commerce companies. Thepresent study identifying the impact of GST in ecommerce industry and advantages anddisadvantages of GST for e-commerce.

Gst impact on the e-commerce sector: an overview

The success of the e-commerce sector is largely dependent on the increasingnumber of retail entrepreneurs, who fall in the unorganized retail sector category. Thegovernment has included such players in the ambit of GST with an intention of broadeningthe tax base and has introduced specific provisions for the e-commerce companies. This isone of the major taxation reforms in Indian taxation system.GST is to set to integrate all stateeconomies and increase the overall growth of the country.GST will create unified market andboost the Indian economy. The Goods and Service Tax (GST) is a value added tax to beimplemented in India.. There are 3 kinds of taxes under GST: 1) SGST 2) CGST 3) IGST.The GST tax rates are divided into 5 categories which are 0%, 5%, 12%, 18%, 20%.Implementation of GST is one of the best decision taken by the Indian Government. Thesuccess of the e-commerce sector is largely dependent on the increasing number of retailentrepreneurs, who fall in the unorganized retail sector category. The government hasintroduced such players in the ambit of GST with the intension of broadening the tax baseand has introduced specific provisions for the e-commerce companies. This paper focuses onthe concept of GST and their impact on E-Commerce

Decoding the Mantra of Succession Planning for the Unorganized Retail Stores in Central India

Purpose : The paper intended to study the unorganised retail sector in Central India related to their preparedness towards succession planning. Also, the paper tried to explore the family dynamics shared between the family members of a business. Design/Methodology/Approach : Literature was studied to analyze the various aspects related to succession planning. Bhopal being one of the growing markets having great potential has been the centre of the study. Empirical data were gathered from 138 family businesses of Bhopal using the questionnaire method. Findings : Evidences were found justifying the gap existing in the succession planning in the family owned businesses in Central India. Research Limitations/Implications : The study being conducted by taking 138 family-owned businesses limits the possibility of generalizability of the data. Practical Implications : The insights can be used by the family-owned unorganized retail stores in Bhopal to work out a systematic way of succession planning and avoid all the pitfalls to a successful venture. Originality/Value : The paper is one of its kinds as the empirical data being collected represents family-owned businesses of Bhopal and elucidates the present scenario of succession planning among them.

Organized Retailing in India: A Short Review

Since last many years, there has been rapid growth of organized retailing in India and according to an estimate, it will be worth $170-$190 billion by 2020 as compare to $70-$80 billion currently. In contrast, the unorganized retail sector which employs 95% of the retailers is witnessing a downward trend in terms of industry share, thereby creating a fear of unemployment. So the big question is; is the growth of organized retail in India justified? The concern is what impact it will have on local kirana store, farmers, consumers, commission agents, traders and the economy. In this context, the present study focuses on Indian retail industry and concludes that while there is validity to these concerns, there would be net gain to the society from organized retailing. Further, the paper defines the move that the affected parties take as well as the policy actions the government can implement to resolve the issue amicably.

Non-uptake of a Low Cost Retail Management Solution by Small Businesses: An Empirical Analysis

Government of India, to help the small scale retailers especially to promote the growth of unorganized retail sector introduced a software called eGalla. This is a Retail Management System (RMS), with low installation charges and is aimed to help the local retail shops to face the challenges possessed by big players in the market. However, two years since its launch the product gained limited attraction and shopkeepers hardly use it. This study aims to understand the marketing strategies employed by other products in the same domain and also identifies the gaps in the existing software. Shopkeepers using different RMS were interviewed using a questionnaire. The study captured satisfaction level achieved for various attributes of the product and also for the promised benefits. The study also discuss the initial set up cost, training time, changes that the software brought in and the increment in sales that happened after the software installation. The study identified a few missing modules which were of high demand among the existing users of similar software and recommends solutions to overcome these challenges based on the users experience with other software.

FDI in retail: plight of women vegetable vendors

Foreign direct investment (FDI) in retail sector is being vehemently justified, claiming its positive impact on the farm sector. This argument is quite a distant dream and could be challenged on many grounds. Hitherto, the hypotheses were not tested with micro-level data. From the micro-study, it emerges that direct implications are confronted by the unorganised retail sector more so by the economically unprotected vendors. A large number of them are females as also heads of the households. They are therefore quite vulnerable not only on economic front but also on other facets of life. Today, their livelihood is defined on the pavements and by the pavements, largely by their consumers, suppliers and other exploiters. There are hardly any attempts to analyse their plight using micro-level data. This paper brings forth the challenges confronted by this ‘policy-bypassed masses’ and contextualises it in the current debate. If continually by-passed, it is likely to create a severe economic and social scar on women vendors.