SUMMER TRAINING PROJECT REPORT

ON

“EFFECTIVENESS OF RETAILING MIX IN

BIGBAZAAR ”

Submitted To :
Ms. SHWETA CHANDRA
LECTURER
SMS,VARANASI
Submitted By:
Vishal Singh
RM/01/54

In partial fulfillment of the requirement of POST GRADUATE

DIPLOMA IN RETAIL MANAGEMENT course

Session :2007-09

School of Management Sciences

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 DECLARATION

I hereby declare that the information presented here is

true to the best of my knowledge. Also, the report has
not been published any where else.

VISHAL SINGH

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 PREFACE
PGDM is the one of the most reputed professional coures
in the field of Retail Management.It include theory as well as
its practical application.Summer Training is an integral part of
PGDM-retail programme, for sucessful completion of this
programme require two months summer training in retail
organisation.
So after completion of second semester each student at
School of Management Sciences,Varanasi need to under go
two months training in an organisation.

This training serves the purposes of acquainting the

student with environment of an organisation in which student
have to work hard in future .Only theoretical knowledge is not
enough but its practical application is
also required to be learned.

I was fortunate enough to have an opportunity of doing summer

training at BIGBAZAAR,MEERUT. Every trainee was required
to prepare a report of his working in the organisation. I was
assigned a project on
“EFFECTIVENESS OF RETAILING MIX IN BIGBAZAAR.”

In this report,all the important findings of the project are

included ,over and above an overall profile of the
company(PANTALOON) is also given.It is hoped that this
report will make the readers familiar with the store and also give
the idea about the product and services offered by the
company.

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 Acknowledgement

The project of this magnitude would not have been

completed singly. Firstly I want to give my hearty thanks
to all mighty who made the world and me also.
There are many other people without whom the
completion of the project would not have been possible.
Some have contributed towards this directly while other
have provided indirectly.
It gives me immense pleasure to thank
Mr. Rakesh Sharma(Store Manager) for providing
me summer training in his reputed organization and
giving me a chance to have the experience of actual retail
operations.
I am indebted to
Mr.RajShekherSaxena(MarketingExecutive)of BIG
BAZAAR for his guidance and cooperation in completing
this project.
Last but not the least I would like to convey my heartiest
gratitude to all Members of BIG BAZAAR who
helped a lot during my summer training.

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v

TABLE OF CONTENTS

COMPANY PROFILE

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S.NO. Contents
1 Location
2 Organization Structure
3 Management style
4 Department and Products
5 Competitors
6 Strategy
7 Group vision, mission and values
8 SWOT Analysis

SUMMER TRAINING PROJECT

9 Introduction
10 Research Objective
11 Research methodology
12 Analysis and Interpretation
13 Findings
14 Recommendations
15 Limitations
16 Bibliography
17 Questionnaire

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Company profile

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Pantaloon Retail (India) Limited, is India’s leading retailer that operates
multiple retail formats in both the value and lifestyle segment of the Indian
consumer market. Headquartered in Mumbai (Bombay), the company operates
over 10 million square feet of retail space, has over 1000 stores across 61 cities
in India and employs over 30,000 people.

The company’s leading formats include Pantaloons, a chain of fashion outlets,

Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket
chain, blends the look, touch and feel of Indian bazaars with aspects of modern
retail like choice, convenience and quality and Central, a chain of seamless
destination malls. Some of its other formats include, Depot, Shoe Factory,
Brand Factory, Blue Sky, Fashion Station, aLL, Top 10, mBazaar and Star and
Sitara. The company also operates an online portal, futurebazaar.com. A
subsidiary company, Home Solutions Retail (India) Limited, operates Home
Town, a large-format home solutions store, Collection i, selling home furniture
products and E-Zone focused on catering to the consumer electronics segment.

Pantaloon Retail was recently awarded the International Retailer of the Year
2007 by the US-based National Retail Federation (NRF) and the Emerging
Market Retailer of the Year 2007 at the World Retail Congress held in
Barcelona.

Pantaloon Retail is the flagship company of Future Group, a business group

catering to the entire Indian consumption space. Pantaloon is not just an
organization - it is an institution, a centre of learning & development. We

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believe that knowledge is the only weapon at our disposal and our quest for it is
focused, systematic and unwavering.

At Pantaloon, we take pride in challenging conventions and thinking out of the

box, in travelling on the road less traveled. Our corporate doctrine ‘Rewrite
Rules, Retain Values’ is derived from this spirit.

Over the years, the company has accelerated growth through its ability to lead
change. A number of its pioneering concepts have now emerged as industry
standards. For instance, the company integrated backwards into garment
manufacturing even as it expanded its retail presence at the front end, well
before any other Indian retail company attempted this. It was the first to
introduce the concept of the retail departmental store for the entire family
through Pantaloons in 1997. The company was the first to launch a
hypermarket in India with Big Bazaar, a large discount store that it
commissioned in Kolkata in October 2001. And the company introduced the
country to the Food Bazaar, a unique 'bazaar' within a hypermarket, which was
launched in July 2002 in Mumbai. Embracing our leadership value, the
company launched aLL in July 2005 in Mumbai, making us the first retailer in
India to open a fashion store for plus size men and women.

Today we are the fastest growing retail company in India. The number of stores
is going to increase many folds year on year along with the new formats
coming up. The way we work is distinctly "Pantaloon". Our courage to dream
and to turn our dreams into reality – that change people’s lives, is our biggest
advantage. Pantaloon is an invitation to join a place where there are no
boundaries to what you can achieve. It means never having to stop asking
questions; it means never having to stop raising the bar. It is an opportunity to

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take risks, and it is this passion that makes our dreams a reality.Come enter a
world where we promise you good days and bad days, but never a dull
moment!

Future Group

Future Group is one of the country’s leading business groups present in retail,
asset management, consumer finance, insurance, retail media, retail spaces and
logistics. The group’s flagship company, Pantaloon Retail (India) Limited
operates over 10 million square feet of retail space, has over 1,000 stores and
employs over 30,000 people. Future Group is present in 61 cities and 65 rural
locations in India. Some of its leading retail formats include, Pantaloons, Big
Bazaar, Central, Food Bazaar, Home Town, eZone, Depot, Future Money and
online retail format, futurebazaar.com.

Future Group companies includes, Future Capital Holdings, Future Generali

India Indus League Clothing and Galaxy Entertainment that manages Sports
Bar, Brew Bar and Bowling Co. Future Capital Holdings, the group’s financial
arm, focuses on asset management and consumer credit. It manages assets worth
over $1 billion that are being invested in developing retail real estate and
consumer-related brands and hotels.

The group’s joint venture partners include Italian insurance major, Generali,
French retailer ETAM group, US-based stationary products retailer, Staples Inc
and UK-based Lee Cooper and India-based Talwalkar’s, Blue Foods and Liberty
Shoes.Future Group’s vision is to, “deliver Everything, Everywhere, Every time
to Every Indian Consumer in the most profitable manner.” The group considers
‘Indian-ness’ as a core value and its corporate credo is- Rewrite rules, Retain
values.

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 Mr. Kishore Biyani

Managing Director (FUTURE GROUP)

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Major Milestones

1987
Comp Launch of BARE, the Indian jeans brand.
any
incor
porat
ed as
Manz
Wear
Privat
e
Limit
ed.
Launc
h of
Panta
loons
trous
er,
India’
s first
forma
l
trous
er
brand
.199
1
1992 Initial public offer (IPO) was made in the month of May.
1994 The Pantaloon Shoppe – exclusive menswear store in franchisee
format launched across the nation. The company starts the
distribution of branded garments through multi-brand retail
outlets across the nation.
1995 John Miller – Formal shirt brand launched.
1997 Pantaloons – India’s family store launched in Kolkata.
2001 Big Bazaar, ‘Is se sasta aur accha kahi nahin’ - India’s first
hypermarket chain launched.
2002 Food Bazaar, the supermarket chain is launched.
2004 Central – ‘Shop, Eat, Celebrate In The Heart Of Our City’ -

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 India’s first seamless mall is launched in Bangalore.
2005 Fashion Station - the popular fashion chain is launched

aLL – ‘a little larger’ - exclusive stores for plus-size individuals

is launched

2006 Future Capital Holdings, the company’s financial arm launches

real estate funds Kshitij and Horizon and private equity fund
Indivision. Plans forays into insurance and consumer credit.

Multiple retail formats including Collection i, Furniture Bazaar,

Shoe Factory, EZone, Depot and futurebazaar.com are launched
across the nation.

Group enters into joint venture agreements with ETAM Group

and Generali.

Our culture

At Pantaloon, Empowerment is what you acquire and Freedom at Work is what

you get. We believe our most valuable assets are our People. Young in spirit,
adventurous in action, with an average age of 27 years, our skilled & qualified
professionals work in an environment where change is the only constant.

Powered by the desire to create path-breaking practices and held together by

values, work in this people intensive industry is driven by softer issues. In our
world, making a difference to Customers’ lives is a Passion and performance is
the key that makes it possible. Out of the Box thinking has become a way of life
at Pantaloon and living with the change, a habit.

Leadership is a value that is followed by one and all at Pantaloon. Leadership is

the quality that motivates us to never stop learning, stretching to reach the next
challenge, knowing that we will be rewarded along the way. In the quest of

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creating an Indian model of retailing, Pantaloon has taken initiatives to launch
many retail formats that have come headed for serve as a benchmark in the
industry. Believing in leadership has given us the optimism to change and be
successful at it. We do not predict the future, but create it.

At Pantaloon you will get an opportunity to handle multiple responsibilities, and

therein, the grooming to play a larger role in the future. Work is a unique mix of
preserving our core Indian values and yet providing customers with a service, on
par with international standards.

At Pantaloon you will work with some of the brightest people from different
spheres of industry. We believe it’s a place where you can live your dreams and
pursue a career that reflects your skills and passions.

Department and products of Big Bazaar

Total stores all India ~ 85…………………………North zone - 18

Food Bazaar
HCPC -Home care & Personal care includes-Detergents ,Soaps,Cosmetic,Non Food Home needs

farm fresh - fruits & vegetables

Hungry kiya -packed food such as - Biscuits,Noodles,jam,Sauce, Pickles,Namkeen,Chocolate

Chilli zone- Cold storage products such as cold drinks,juice,butter, frozen food

staples - Dal , Chawal, sugar, cooking oil, Spices, Ghee

Big Bazaar
Depot - Books,Stationary items,Cd's

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 Mobile Bazaar- all kind of mobile pones, Accessiories,Recharges, Connections

Home lenin- Bed Sheets, Towels,pillows, Carpets, Doormats

Gift items- Photo frames , Decorative items

Starsitar/cosmetic(SIS) - Revelon, Lakme

Toys- Board games, Spot toys

Navras - Gold, Silver, Diomond jwellery items

Footweare - All kind of shoes, slippers,casual as well as formal footweare

Apprels Mens, Ladies, Kids - full range of clothing as well as accessories

Plastic, Utensiles, crockery - entire range such as loose utensiles, cookers GasStoves, Dinner sets,
plastic Containers

Electronics - T.V. ,Refridgerator Washing Machine, Microwave ,Mixer Grinder , Iron

Range & variety of 1,60,000 products

Discount up to 60%

New discoveries in retail

In the financial year 2006-07, the company’s retail businesses discovered new
categories across formats, new sets of consumers and fresher and contemporary
merchandise. We have been able to offer more in the established businesses and
gain favourable acceptance with new concepts. In addition, concerted expansion
plans saw retail space increase to over 5.2 million square feet at the end of
2006-07. This expansion mode was characterized by a twopronged approach.
By dominating the cities the company was already present in and by bringing
the benefits of modern retail to towns and cities like Mangalore, Palakkad,
Surat, Indore, Kanpur, Haldia, Agra, Coimbatore, Jaipur and Panipat. The
company has also undertaken significant private label initiatives in food, in

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general merchandise and in the consumer durables and electronics categories.
Strategic alliances have also been forged with established domestic and
international brands. However, the most significant development was the
internal realignment the company undertook within each of its retail businesses.
To embark on a more detailed approach towards value creation and increasing
efficiency, the company reviewed its business operations and adopted a more
focused approach by creating an integrated support unit or Line of Business.

Augmenting the retail front-end team, Line of Business (LoB) units have been
created in the three most critical businesses – food, fashion and general
merchandise. Formed during the second half of 2006-07 these business units
focus on introducing optimum operational efficiencies.
Thus, these units ensure that back - end measures are appropriately
taken care of and the right kind of merchandise reaches the stores in
the best possible time, at the right price. These teams focus on product
consolidation and suitability, margin improvement, and vendor rationalization,
thereby ensuring that the sourcing benefits are made available to the front - end
team.
The company’s efforts over the next couple of years would entail a combination
of expansion and process upgradation and implementation.
The emphasis will be on the next discoveries to be made in the retail space that
will lead to expansion. At the same time, there will be an increased focus on
micro detailing aspects including process, product and operational efficiencies
thereby contributing positively to the company’s bottomline.

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discovering fresh fashion

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It was the first Pantaloons store in Kolkata that set off a chain of discoveries that
have led us to where we are today. Ten years later, we have launched our largest
Pantaloons store in Kankurgachi in Kolkata. Spread across 85,000 square feet,
the store is the first among a series of large format stores that will be launched
across the nation. After consolidating its Fresh Fashion positioning, Pantaloons
embarked on a major expansion during the year 2006-07. In 8 cities,11
Pantaloons stores were opened with 7 of them opening in the single month of
March 2007. The total count of Pantaloons stores as on 30th June 2007 stood at
31 with the total area under retail close to 1 million square feet.
In order to maintain the top of the mind association with fashion in India,
Pantaloons continued to be the title sponsor for the Femina Miss India 2007
pageant. In addition, Bipasha Basu and Zayed Khan were roped in as brand
ambassadors in the month of August 2006. The success of this
initiative was

evident in the increased sales for the ‘Haldi Gulal’ range as well as the ‘Svayam
Utsav’ summer collection that were endorsed by Bipasha and Zayed.
The private label apparel share during the year was in excess of 70 percent. The
year also witnessed categories like Winter-wear and Ethnic Ladies-wear
strengthening their presence in the stores. The increasing success of the store
brand is evident from the fact that the store’s loyalty programme, Green Card,
added 200,000 new members.

Pantaloons will see a significant expansion during the coming year with an
increase of nearly 0.50 million square feet of retail space and an addition of
about 15 stores. Pantaloons will look at dominating cities where it has a first

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entrant advantage and will scale up sizeably with larger stores, additional
categories and retail formats. The year 2007-08 will witness considerable focus
in the North and East regions. Delhi and the NCR area along with Punjab,
Chandigarh and Ludhiana will see the next stage of expansion. Cities like
Ranchi, Guwahati and Siliguri in the East will also discover Fresh Fashion.

discovering more value

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In 2006-2007, more Indians discovered the value of shopping in Big Bazaar.
And with the launch of each store, we discovered more value in terms of
operational efficiency. Big Baazaar launched 27 new stores in 22 cities,
covering over 1.40 million square feet. As of June 2007, there were 56 Big
Bazaar stores across 43 cities. While Big Bazaar continued to expand in the
large cities, it also tapped consumption potential in smaller cities like Agra,
Allahabad, Coimbatore, Surat, Panipat, Palakkad, Kanpur and olhapur.
The year under review also witnessed realigning of business teams with shared
experience in category management, sourcing, front-end operations and
business planning. In addition, separate teams have been formed to look into all
aspects of new store launches and to manage mature stores. This provides more
flexibility and focus in expansion plans.

The increase in SKUs in existing categories and the introduction of new

categories encouraged the opening of larger stores or Super Centres, measuring
100,000 square feet or more. There are now 5 Big Bazaar Super Centres.
Considering this scale of expansion, technology plays a significant facilitating
role. The introduction of SAP in 2005-06 and its roll out during the year,
positively impacted the business.

Big Bazaar has initiated the process of Auto Replenishments Systems, thus
improving operational efficiencies and productivity. The company has also
rationalized nearly 250 vendors through better vendor management in terms of
potential to expand, and for inclusion and upgradation to the online B2B
platform. The company plans to open over 60 stores across India in FY 2008,

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and the opening of the 100th Big Bazaar store will mark the fastestever
expansion by a hypermarket format.

discovering the new consumer

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Based on the company’s in-house consumer data and research, and in
cognizance with observations on customer movements and the shopping
convenience factor, Food Bazaar has initiated certain refurbishments and layout
design across all stores. The intention is to continuously change with the times
and demands of the evolving Indian consumer.

Food Bazaar also witnessed healthy expansion during the year 2006-07, making
its presence felt in nearly 26 cities and adding 40 stores during the year under
review. The total count of Food Bazaars as on 30th June 2007 stood at 86 stores.
The year under review witnessed the company’s private label programme
gaining significant traction. The brands have been very competitive vis-à-vis the
established brands in quality and price terms, and have in fact scored better than
national or international players in certain categories.
The share of private labels as a percentage of total Food Bazaar
revenues has increased significantly and comprise nearly 50
merchandise categories.
While Fresh & Pure brand entered categories like cheese slices, frozen peas,
honey, packaged drinking water and packaged tea, the Tasty Treat brand
received a very favorable response in new categories like namkeens and wafers.
In the home care category, Caremate launched aluminum foil and baby diapers
while Cleanmate launched detergent bars and scrubbers.

A new format ‘BB Wholesale Club’ was launched and 4 such stores have been
opened so far. To be managed by Food Bazaar from the ensuing financial year,

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this format sells only multi-packs and bulk packs of a select range of fast
moving categories and caters to price sensitive customers and smaller retailers.
The company has also forged tie-ups with established companies like ITC,
Adanis, DCM Group, USAID and other farm groups in Maharashtra and
Madhya Pradesh to source directly from them. These alliances are expected to
drive efficiencies as well as bring better products to consumers.
By the end of FY 07-08, the total number of Food Bazaar stores is expected to
be 200.

Future ideas
Discovering new opportunities

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Future Ideas is the Innovation, Design & Incubation cell within Pantaloon Retail
that stems from the core proposition - ‘Protecting and preserving the soul of a
small business or enterprise within a large organisation.’ Future Ideas deals with
the whole aspect of idea creation, scenario planning activities, alternate
approaches to an issue, providing varied outcomes and solutions to a problem
and handholding the activity till its success parameters are satisfied.
A unique initiative in corporate India, Future Ideas rests on a tripod that can
be classified as Innovation driven, Design Management approach and an
Incubation chamber, each with its own uniqueness, yet with common objectives.
The Design Management team looks at each observation made by the
Innovation team, and brainstorms by using a collaborative and holistic
approach. The resultant ideas are then nurtured within the Incubation cell. The
Incubation team comprises of business teams, mentored by the Innovation and
Design teams. They are people who are released from their original businesses
or concepts and made part of the entire ideation process at Future Ideas. They
remain at Future Ideas till project completion stage when the success
parameters for running the business are met.

Future Ideas draws inspiration for most of its activities and projects, keeping in
mind the new genre of aspirational Indians. At any point of time Future Ideas
would work on about 20 varied projects within the Future Group.
Some of the formats that are now being incubated by this team include Top10,
Depot, Star & Sitara and Talwalkars’ Fit & Active. The team is also working on
ideas around small format no-frills stores, rural retailing, fashion for the masses
and on projects involving women and self-help groups.

Discovering new segments

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Depot, in many cities, is the first modern retailer in books and music and the
response has been overwhelming. The core differentiators of Depot are its
young, colorful and vibrant stores, strong regional range, affordability and a
private label publishing program - Depot Exclusives. In its first year of
operation, Depot has launched 6 stand-alone stores and 50 cut-ins. Along with
its expansion in major cities, Depot debuted in smaller towns like Rajkot,
Vadodara, Haldia, Thrissur, Palakkad and Tiruvanantharam.
The Depot Exclusives (released solely inDepot) catalogue expanded rapidly
with over 100 titles across genres like children’s books, cookery,
regional literature etc. Reputed authors/ imprints like Nita Mehta and
Sanjeev Kapoor in cookery, Disney in children’s books etc., have been
associated with the company. Depot has also tied-up with the UK based
publisher of
children’s books, Small World, to co-publish a series of toddlers’ interactive
books. In FY 2007-08, the total Depot footprint should cross over 100 stores.
The Health, Beauty & Wellness business opened 35 new outlets in the beauty
products, services and holistic health care formats Multiple formats operate in
this segment, including Tulsi, the pharmacy chain and Star & Sitara, the beauty
products cut-ins and Star & Sitara Salons. The largest format, Beauty Free
offers unique combination of products, services and holistic health offerings.

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To capture the increasing consumption spend on wellness and preventive health
care, the joint venture between Pantaloon Retail (I) Limited and Talwalkar
Better Value Fitness opened its first ‘Talwalkars Fit & Active’ health centre at
Orchid City Centre, Mumbai in April 2007. Spread over 5,200 square feet, it is
the country’s first health centre to offer health, fitness and gym services within a
modern retail and consumption environment.
The venture is also looking at innovative value added offerings in the fitness
space as well as developing a Spa model for the Fit & Active brand across the
country, by increasing its presence to nearly 50 such centers in the near future.

Human Resources
Discovering talent diversity

The company strongly believes that its sustainable competitive advantage lies in
the values that it cherishes, the culture that it imbibes and spirit of enterprise that
resides within the organization. Talent management therefore continues to be
the core focus for the company. Considering the multiple businesses and rapid
expansion expected across the business, the company saw merit in taking a fresh

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guard to the way in which business would run in order to meet the next leg of
expansions.
During the year 2006-07, the company conducted an extensive review of in-
house talent management, which involved mapping every managerial position in
the organization for their skill sets, competence and attitudinal aspects as well as
taking an inventory check of the existing talent base and addressing their
development needs. Development Centres were created with in-house assessors,
which further aided in identifying potential resources and helped chalk out post
assessment development plans.
Continuing with its policy of strategic alliances, the company is collaborating on
joint degree programs with 15 management schools, design institutes and
institutes of higher learning in areas like food business, supply chain
management, design experience management etc. This ‘Seekho’ programme for
external and internal candidates has ensured a steady stream of mid level, well
trained retail professionals every year.
The company’s ‘Gurukool’ programme provides the front-end employees an
opportunity to imbibe the company’s values and a sense of ownership to the
company. The company has also created an Employee Growth Trust
Fund that was launched during the last financial year for the senior
management.

Equal Opportunity

The company believes that in order to build a sustainable business environment,

the composition of its talent base needs to reflect the diversity that exists in our
country and among its customers. Therefore the company ensures that the

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proportional representation of different communities in the Indian population is
mirrored in its employee profile. The majority of employees in the company
come from socially and economically marginalized sections of the society.
Close to 46% of the employees in the organization are women and the average
age within the organization is 27 years.
The effectiveness of its talent management initiatives is reflected in the fact that
the annual rate of attrition is 8.12%, much below industry levels. The company
plans to strengthen its employee platform to about 30,000 people by FY 08,
from nearly 18,000 people as on FY 07.

Human Resource Initiatives

Pantaloon Retail believes that one of its sustainable competitive advantages will
continue to be the people who are part of the organization. Being in service
industry, the Company places a lot of focus is placed on attracting, training,
incentivising and retaining talent. The vision is "To provide an environment that
creates happy people who have a meaningful life and add value to business and

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society." With over 18000 employees at an average age of 27 years, the
Company prides itself on being a young and energetic organization, driven
through the 'The Pantaloon People Management System'. This is
built on 5 pillars of people based growth, namely - Culture Building,
Performance Management through Balanced Scorecard, People Processes,
Management Processes and Leadership Brilliance. Training A competent
Learning & Development Team is responsible for training employees at all the
levels across the countr y, focusing on primary and secondary research into
various aspects of retail and assessment of training needs across Knowledge,
Skills & Attitude areas. The emphasis is on creating product and process
knowledge through well defined programs like Praarambh and Parikrama.
For the critical front line staff, the Company's unique outbound residential
training program Gurukool focuses on integrating the mind, body and soul and
brings about measurable attitudinal and behavioral changes.

The program has covered nearly 4,500 employees. The SMILE initiative for
training of new Store Manager's has been created and disseminated to over 100
store managers by this team.

Review of Financial Performance of the

Company for the period under review
Sales
The Company's turnover has increased from Rs. 1758.50 crores to Rs. 3031.44
crores, an increase of 72.39 % over the previous year. The Company has also
recorded same store growth of 16.88% during the year.

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Operating Profit
Operating profit of the Company for the year 2006- 2007 stood at Rs.218.74
crores as compared to Rs. 149.64 crores in the previous year, an increase of
46.18% over the previous year. The operating margin has come down to 6.76%
in the current year as compared to 8.01% in the previous year. The reported
figure is exclusive of extraordinary gain of Rs. 88.88 crores.
The fall in margin is the result of change in sales mix with an increasing share
of low margin products as well as due to marginal increase in personnel cost.
Net Profit
Net profit of the Company for the year under review stood at Rs. 119.99 crores
as compared to Rs. 64.16 crores in the previous year, an increase of Rs. 55.83
crores and 87.01% over the previous year.
Capital Employed
The capital employed in the business increased by Rs.1291.39 crores in 2006-
07. This is reflected in the liabilities side of the balance sheet through an
increase in borrowings by Rs. 698.19 crores and an increase in equity by Rs.
565.28 crores. Return on capital employed has been declined from 18.30% to
17.48% on account of significant investment in subsidiaries and joint
ventures and lease rental deposits given for stores.
SWOT ANALYSIS
Opportunities, Risks and Threats

A strong economic environment, changing consumer tastes and preferences, a

young demographic profile provide a strong backdrop for the Company's

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expansion plan. The Company is pursuing higher growth path to capture the
mind and market share in fast evolving industry. While faster growth means
higher risks as well, the Company has well spread its risk by having retail
outlets in both the value and life style segment, in multiple categories, across the
country. The Company's business model is well balanced to capture the
consumption of the customer at the same time managing the risk being well
spread. The Company faces the risk from new players entering into the retail
sector as well as from the existing player in unorganized sector.

The organized retail market has very small share in the total retail market and
penetration is still very low. The entry of more players at this stage will help to
grow the market faster. The Company may face competition from new entrants
who may go for higher promotion and markdown to capture the customers.
However Company is well positioned to take this challenge with its brand
position, scale of economy and national reach. The competition still will be in
pockets of market and location-based since any new entrant has to rollout their

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outlet one by one.

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Group Vision

Future Group shall deliver Everything, Everywhere, Every time for Every
Indian Consumer in the most profitable manner.

Group Mission

• We share the vision and belief that our customers and stakeholders shall
be served only by creating and executing future scenarios in the
consumption space leading to economic development.
• We will be the trendsetters in evolving delivery formats, creating retail
realty, making consumption affordable for all customer segments – for
classes and for masses.
• We shall infuse Indian brands with confidence and renewed ambition.
• We shall be efficient, cost- conscious and committed to quality in
whatever we do. We shall ensure that our positive attitude, sincerity,
humility and united determination shall be the driving force to make us
successful.

41
Core Values

Indianness:
Confidence in ourselves.
Leadership:
To be a leader, both in thought and business.
Respect & Humility:
To respect every individual and be humble in our conduct.
Introspection:
Leading to purposeful thinking.
Openness:
To be open and receptive to new ideas, knowledge and information.
Valuing and Nurturing Relationships:
To build long term relationships.
Simplicity & Positivity:
Simplicity and positivity in our thought, business and action.
Adaptability:
To be flexible and adaptable, to meet challenges.
Flow:
To respect and understand the universal laws of nature.

42
V

43
 INTRODUCTION

A retailer or retail store is any business enterprise whose sales volume comes

primarily from retailing. Retail organizations exhibit great variety and new

forms keep emerging. There are store retailers, non store retailers, and retail

organizations. Consumers today can shop for goods and services in a wide

variety of stores. The best-known type of retailer is the department store.

Japanese department stores such as Takashimaya and Mitsukoshi attract

millions of shoppers each year. These stores feature art galleries, cooking

classes, and children’s playgrounds.

A retailer is at the end of the distributive channel. He provides goods and

service to the ultimate consumers. This he does through his small organization,

with the help of a few personnel. In an individual retail store there is not much

scope for organization except in the sense that the shopkeeper has to organize

apportions his time and resources. The need for organization becomes essential

as soon as he hires people o enters into partnership or takes the help of members

of his family in running his store. A retailer deals in an assortment of goods to

cater to the needs of consumers. His objective is to make maximum profit out of

his enterprise. With that end

44
 in view he has to pursue a policy to achieve his objective. This policy is

called retailing mix. A retailing mix is the package of goods and services that

store offers to the customers for sale. It is the combination of all efforts planned

by the retailer and embodies the adjustment of the retail store to the market

environment. Retailing mix, a communication mix and a distribution mix. The

maximum satisfaction to the customers is achieved by a proper blend of all

three.

The success of the retail stores, therefore, depends on customers’ reaction

to the retailing mix which influences the profits of the store, its volume of

turnover, its share of the market, its image and status and finally its survival.

45
46
 OBJECTIVE

PRIMARY OBJECTIVE :

To study the effectiveness of retailing mix in the store.

SECONDARY OBJECTIVE :

1. To identify the performance of store operations.

2. To understand the quality of services maintained in the store.

3. To determine the performance of sales persons in the store.

4. To understand the availability of products in the store.

5. To identify the effectiveness of atmospherics in the store.

47
48
 RESEARCH METHODOLOGY

• Type of research
Descriptive
• Type of data
Primary data
• Data collection method
Data is collected through structured
questionnaire.
• Sampling
Convenient sampling
• Sample size
250
• Data analysis technique
Quantitative
• Data analysis tool
Bar charts,pie charts.

49
50
Question 1. In a month how many times you visit
bigbazaar ?

a) Ones 24 9.6%
b) twice 53 21.2%
c) Thrice 167 66.8%
d) more than thrice 22 8.8%
e) Occasionally 14 5.6%

once
twice
thrice
>thrice
occasionally

INTERPRETATION:
66.8 % people visit the store three times in a month and
21.2 % are visited twice, over all 88 %

51
 of the people regularly visit big bazaar.

Question 2: Your shopping experience in bigbazaar is

always!
a) Very bad 0 0
b) bad 13 5.2 %
c) Not good 15 6 %
d) good 155 62 %
e) Excellent 67 26.8 %

70

60
50

40

30

20

10
0
v.bad bad notgood good excellent

INTERPRETATION:
Maximum numbers of people has a better experience
of shopping in big bazaar.

52
Question 3: Brands and products availability in
bigbazaar is !

a) Very bad 0 0
b) bad 10 4 %
c) Not good 42 16.8 %
d) good 103 41.2 %
e) Excellent 95 38 %

v.bad
bad
notgood
good
excellent

INTERPRETATION:
Over all 79.2 % of customers are satisfied by the
availability of brands and products in big bazaar
only 16.8 % are not satisfied.

53
 Question4: Air-conditioning and music inside the store
is!

a) Very bad 0 0
b) bad 10 4 %
c) Not good 62 24.8 %
d) good 140 56 %
e) Excellent 38 15.2 %

60

50

40

30

20

10

0
v.bad bad notgood good excellent

INTERPRETATION:
Air conditioning and music inside the store is better
according to the response of 71.2 % people in side the
store, rest 28.8 % are not satisfied.

54
Question 5: Discounts and offers served in bigbazaar
is!

a) Very bad 5 2 %
b) bad 17 6.8 %
c) Not good 12 4.8 %
d) good 182 72.8 %
e) Excellent 34 13.6 %

80
70
60
50
40
30
20
10
0
v.bad bad notgood good excellent

INTERPRETATION:
Maximum number of respondent i.e., 86.4 % are
satisfied by the discounts and offers served in big
bazaar rest 13.6 % are not satisfied.

55
 Question 6: Home delivery services of big bazaar is !
a) Very bad 72 24.8 %
b) bad 142 56.8 %
c) Not good 36 14.4 %
d) good 0 0
e) Excellent 0 0

60

50

40

30

20

10

0
v.bad bad notgood good excellent

INTERPRETATION:
100 % respondent are not satisfied by the home
delivery system of big bazaar.
Question 7: Toilet and drinking water facility at
bigbazaar is !

56
 a) Very bad 10 4 %
b) bad 22 8.8 %
c) Not good 203 81.2 %
d) good 15 6 %
e) Excellent 0 0 %

excellent

good

notgood

bad

v.bad

0 20 40 60 80 100

INTERPRETATION:
Maximum number of respondent (94 %) is not satisfied
with the toilet and drinking water facility in the
store.

Question 8: Product display and signage in the store is!

57
 a) Very bad 0 0
b) bad 0 0
c) Not good 56 22.4 %
d) good 112 44.8 %
e) Excellent 82 32.8 %

45
40
35
30
25
20
15
10
5
0
v.bad bad notgood good excellent

INTERPRETATION:
Product display and signage in the store is better
according to 77.6 % of the respondent, rest 22.4
% are not satisfied with it.
Question9: In offer days the shopping experience in the
store is!

58
a) Very bad 0 0
b) bad 0 0
c) Not good 25 10 %
d) good 133 53.2 %
e) Excellent 92 36.8 %

v.bad
bad
notgood
good
excellent

INTERPRETATION:
According to maximum number of respondent (90%) in
offer days the shopping experience at big bazaar is
better.

Question10: Is it easy to move with the trolley in the

store?

59
 a) Yes 215 86 %

b) No 35 14 %

90
80
70
60
50
40
30
20
10
0
Yes No

INTERPRETATION:
According to 86% of the respondents it is easy to move
in the store with trolley.

Question 11: How do you feel about sales persons and

promoters ?

60
a) Very bad 0 0
b) bad 0 0
c) Not good 26 10.4 %
d) good 187 74.8 %
e) Excellent 37 14.8 %

v.bad
bad
notgood
good
excellent

INTERPRETATION:
89.6 % of the respondent are satisfied by the sales
persons and promoters in the store.

Question12: Are you satisfied with the billing facility

at the store ?

a) Yes 180 72 %

61
b) No 70 28 %

80
70
60
50
YES
40
NO
30
20
10
0

INTERPRETATION:
72% of the respondents are satisfied by the billing
facility in the store, rest 28 % are not satisfied.

Question13 : The quality of the product served by big

bazaar is !

a) Very bad 0 0

62
 b) bad 10 4 %
c) Not good 37 14.8 %
d) good 127 50.8 %
e) Excellent 76 30.4 %

60

50

40

30

20

10

0
v.bad bad notgood good excellent

INTERPRETATION:
81.2 % of the respondents are satisfied with the quality
of the products at big bazaar.

Question 14: The cleanliness and hygiene maintained

in the store is !

a) Very bad 0 0

63
 b) bad 0 0
c) Not good 18 7.2 %
d) good 189 75.6 %
e) Excellent 43 17.2 %

80
70
60
50
40
30
20
10
0
v.bad bad notgood good excellent

INTERPRETATION:
According to maximum number of respondent i.e.,
92.8 % feels that cleanliness and hygiene maintained in
the store is up to the mark.

Question 15 : Have you ever been cheated or Yes

misguided in the store ? No

a) Yes 16 6.4 %

64
b) No 234 93.6 %

INTERPRETATION:
Only 6.4 % of the respondents are cheated in the store.

FINDINGS

65
• Store performing well in attracting the
customers.
• Discounts and offers doing well in the
store
• Toilet and and drinking water facility is
not up to the mark
• In offer days the store management is
good.
• Air conditioning and hygiene is good .
• Home delivery services are not good.
• Product display and signage is good.
• Quality in products is good.

66
67
 RECOMMENDATIONS

• Manage home delivery services properly.

• There should be proper assortment of various
product categories.
• Proper signage should be there so that
customer can locate the products easily.
• Toilet and drinking water facility should be
maintained regularly.
• Proper training should be provided to sales
person so that they can deal with the
customer efficiently.
• Various schemes and offers can be provided
to them and attract new customers.
• No. of cash counter needs to be increased
keeping in view customer traffic intensity.

68
69
 Limitations of the study

Time limit is the major constraint.

Some respondents refuse to co-operate.

Some respondents replied half heartedly.

Some respondents gave incomplete

information.

Some respondents gave dishonest answer.

70
BIBLIOGRAPHY

71
BOOK REFERRED:

Research methodology (C.R. Kothari, C.B. Gupta )

Retailing Management (Swapna Pradhan)

WEB SITES:

www.wickepedia.com
www.google.com

www.pantaloon.com

72
PERSONAL INFORMATION

Dear sir/ Madam,

I Vishal singh student of School of management sciences, Varanasi conducting a
survey on “Effectiveness of retailing mix in Big Bazaar’’

73
 This survey is a part of my partial fulfillment of PGDM (RM) course. Please provide
relevant information by filling this questionnaire to make my survey more comprehensive. All details
from your part will be kept confidential.

Name:- …………………………………………………………..

Sex:-
a) Male b) Female

Contact no.:- …………………………………………………………

QUESTIONNAIRE

Q1. In a month how many times you visit bigbazaar ?

a) Ones b) twice

c) Thrice d) more than thrice

e) Occasionally

Q2. Your shopping experience in bigbazaar is always!

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q3. Brands and products availability in bigbazaar is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q4. Air-conditioning and music inside the store is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q5. Discounts and offers served in bigbazaar is !

a) Very bad b) bad

74
c) Not good d) good

e) Excellent

Q6. Home delivery services of big bazaar is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q7. Toilet and drinking water facility at bigbazaar is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q8. Product display and signage in the store is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q9. In offer days the shopping experience in the store is!

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q10. Is it easy to move with the trolley in the store?

a) Yes b) no

Q11. How do you feel about sales persons and promoters ?

a) Very bad b) bad

c) Not good d) good

75
e) Excellent

Q12. Are you satisfied with the billing facility at the store ?

a) Yes b) no

Q13. The quality of the product served by big bazaar is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q14. The cleanliness and hygiene maintained in the store is !

a) Very bad b) bad

c) Not good d) good

e) Excellent

Q15. Have you ever been cheated or misguided in the store ?

a) Yes b) no

• Thanking you for filling up this questionnaire

76
77
LOCATION

Meerut 0ffice :
Big Bazaar, PVS Mall, I-Block, Shastri Nagar,
Meerut (U.P.) -250004
Ph.+91-121-4012100-113

Zonal Office :
Panataloon Retail (India) Limited,
Plot No. 82, Sector-32,
Gurgaon 122001.India
Ph +0124-4641000 ,Fax + 0124-4641001
www.pantaloon.com

Regd. Office :
Knowledge House, Shayam Nagar,
Off. Jogeshwari-Vikhroli Link Road,
Jogeshwari East, Mumbai 400060. India
Ph +91 22 66442200, Fax +91 22 66442201

78
ORGANIZATION
STRUCTURE
STORE
MANAGER

ASSISTANT
STORE MANAGER

DEPARTMENT
MANAGER

ASSISTANT
DEPARTMENT
MANAGER

TEAM
LEADER

SALES PERSONS
Or
PROMOTERS

79
 COMPITATORS

• VISHAL MEGA MART

• SPENCER’S

• SUBHIKSHA

• SHOPPER’S STOP

80
 THE STRATEGY
Saving is key to the Indian middle class consumer. The store, which
would be created, had to offer value to the consumer. Keeping this in
mind, the concept of Big bazaar was created.
In India, when a customer needs some thing for the home, a typical
thought is to seek it from the bazaar. A bazaar is a place where a
complete range of products is always available to the consumer. This
is true across India. As the store would offer a large mix of products
at a discounted price, the name Big bazaar was finalized. The idea was
to re-create a complete bazaar, with a large product offering (at times
modified to suit local needs) and to offer a good depth and width in
terms of range. The mind to market for the first store was just six
months.

Price was the basic value proposition at Big bazaar. The Big bazaar
outlets sold a variety of products at prices, which were 5 to 60 percent
lower than the market price. The line
“Isse sasta aur achha kahin nahin” emphaised this.

81
 MANAGEMENT STYLE

The organization structure for Big bazaar is flat in nature. For Big
bazaar, the divisions are apparel, non apparel and the new business
division, which includes gold, footwear and the shop-in-shops. For
Food Bazaar, a separate teem has been created which again works
independently.

About 1,800 people work for Big bazaar directly. Support and
ancillary services comprise another 400 people. A new trainee is put
through a basic three day training program before going on the shop
floor. Evaluation is done every six months.

82
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84