Scope of the Indian Retail Market

The scope of the Indian retail market is immense for this sector is poised for the highest growth in the next 5 years. The India retail industry contributes 10% of the countries GDP and its current growth rate is 8.5%. In the Indian retail market the scope for growth can be seen from the fact that it is expected to rise to US$ 608.9 billion in 2009 from US$ 394 billion in 2005.

The organized retailing sector in India is only 3% and is expected to rise to 25- 30% by the year 2010. There are under construction at present around 325 departmental stores, 300 new malls, and 1500 supermarkets. This proves that there is a tremendous scope for growth in the Indian retail market.

The growth of scope in the Indian retail market is mainly due to the change in the consumers behavior. For the new generation have preference towards luxury commodities which have been due to the strong increase in income, changing lifestyle, and demographic patterns which are favorable.

The scope of the Indian retail market have been seen by many retail giants and thats the reason that many new players are entering the India retail industry. The major Indian retailers are:

• Pantaloons Retail India Ltd
• Shoppers Stop
• Bata India Ltd
• Music World Entertainment Ltd

Judging the scope for growth in the India retail industry many global retail giants are also entering the Indian retail market. They are :

• Tesco
• Metro AG
• Wal- Mart

The scope for growth in the Indian retail market is seen mainly in the following cities:

• Mumbai
• Delhi
• Pune
• Ahmedabad
• Bangalore
• Hyderabad
• Kolkata
• Chennai

The scope of the Indian retail market is very vast. And for it to reach its full potential the government and the Indian retailers will have to make a determined effort.