Foreign Direct Investment In Retail Essay

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ABSTRACT
Retailing is one of the very important industries in the economy which includes all the activities involved in selling of goods and services to the final consumers for their personal and non-business uses. The Indian retail industry is the fifth largest sector and second largest consumer market in the world. Indian retail sector contributed 10 percent to the country’s GDP and 8 percent of employment opportunity; 8 percent of Indian retail sector was constituted by organized retail sector and remaining 92 percent by unorganized retailing in 2012-13. A major development in the recent times has been the emergence of different retail formats across the world such as supermarkets, hypermarkets, category killers, catalog showrooms and discount stores etc. The product categories marketed in retail formats are Food & Grocery, Apparel, Jewellery, Consumer durables, Pharmacy, Furniture & Furnishing, Foot wear and others. Food and …show more content…

In 2006, 51 percent of investment in a single brand retail outlet was permitted. Since then, retailing through franchisee route been explored by several global brands. In 2013, the Indian retail sector has received about US$ 428 billion by the changes in policy decision to allow Foreign Direct Investment (FDI) up to 51 percent in multi-brand retail and up to 100 percent in single brand retail.
The change in the FDI provision towards the organized retail sector is attracting global retailers to invest in the country and they are concentrating specially in metros (tier I) and tier II cities. Mysore district comes under tier II cites and has many organized food retail outlets such as Big Bazaar, More, Loyal World, Reliance fresh, Easy Day etc. are present. In this background the study has attempted to examine the changing trends in Indian organized retail sector and the impact of organized food retailing on unorganized food retailing in Mysore

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