Logistics Movement of materials in the food supply chain is an important element for the success. Several international logistics companies such as have expertise in this area. This is an area for active consideration. This is also highly asset intensive. Temperature controlled warehouses, warehouse management systems (WMS) and Transport management systems (TMS), Refrigerated trucks, Hygiene […]
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Retail There is a huge opportunity in this space. However, 100 percent FDI is not allowed for foreign companies. The foreign company needs a joint venture partner. Cold storage is a joint partner with Food World. Here again there are issues that need to be considered. The first one is the products on the shelf:
Mall Construction Retail boom in India is going to result in mall construction of Rs 112 billion over the next five years (2005-10). Current explosion in investments in retail by Indian power houses will result in additional mall space of 110 mn sqft by 2010. Mall construction in the country is expected to grow at
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Product Development: Need Gaps India has a large repository of traditional foods which have a health benefit. There is a huge opportunity for developing and commercializing innovative forms of traditional Indian healthy foods with long shelf life for exports. e.g. herbal products, ethnic drinks and functional drinks. Given the increasing demand for global food products
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Formats for Entry into India Direct participation in Indian retail business is still not permitted under India’s regime of FDI controls. A few international retailers in India have adopted different strategies for operating in India. These strategies and models include the following: 1. Franchise agreements: Franchising is the most widely used entry route by international
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Rural Retailing The higher income group in rural India is growing at a phenomenal rate, and the concept of brands and quality are very much prevalent. These current consumption trends provide compelling opportunities for marketers to capitalize on the increasing mass market in India for almost all product categories. Both corporations and entrepreneurs are exploring
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Foreign Direct Investment in Retailing Foreign direct investment (FDI) in retailing still remains a widely debated and a heated issue on India’s economic and political scene. The government stance of protecting local retailers and prohibiting 100 percent foreign direct investment in retailing continued in 2005, restraining international retailers’ entry. However, there was gradual economic reform,
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The Distribution Challenge The large geographical area of India and its relatively weak infrastructure are the most important constraints on distribution. India is a land locked country for internal distribution. High proportion of retail business takes place in the ‘unorganized’ sector and in rural areas that may be many miles from paved roads – which
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