Multi-brand retail, if allowed, will transform the retail landscape in a significant way:
- India has also been crippled by rising inflation rates that have refused to come within accepted levels. A key reason for this has been attributed to the vastly avoidable supply chain costs in the Indian food and grocery sales which has been estimated to be a whopping US$ 24 Bn. The infrastructure support extended to improve the backend processes of the supply chain would enable to eliminate such wastage and enhance the operational efficiency
- FDI in multi-brand retail would in no way endanger the jobs of people employed in the unorganised retail sector. On the contrary, it would lead to the creation of millions of jobs as massive infrastructure capabilities would be needed to cater to the changing lifestyle needs of the urban Indian who is keen on allocating the disposable income towards organised retailing in addition to the local stores. These stores would be able to retain their importance owing to their unique characteristics of convenience, proximity and skills in retaining customers.A development that is perceived to be a game changer for the retail business in India will depend a lot on retailers’ adaptation to local tastes and preferences.
In light of the above, it is concluded that allowing FDI in the retail sector would not only increment the countrys GDP and overall economic development, but would inter alia also help in integrating the Indian retail market with that of the global retail market in addition to providing not just employment but a better paying employment, which the unorganized sector have undoubtedly failed to provide to the masses employed in them. Thus, FDI in the buzzing Indian retail sector should not just be freely allowed but per contra should be significantly encouraged.
A new dawn-