ISSN No - RBS

Organized retail canbe defined as anyorganized form ofretail or wholesaleactivity (both foodand non-food undermultiple formats),which is typically amulti-outlet chain ofstores or distributioncentres run byprofessionalmanagement.Retailing thus, may be understood asthe final step in the distribution ofmerchandise, for consumption by endconsumers. In the complex world oftrade today, retail would include notonly goods but also services that maybe provided to the end consumer. Inthe age where consumer is the kingand marketers are focusing oncustomer delight, retail may beredefined in the first point of customercontact.For the purpose of research theorganised and unorganised sectors ofretail has been defined. According tothe National Accounts Statistics ofIndia the ‘unorganized sector’ includeunits whose activity is not regulatedby any statue or legal provision,and/or those which do not maintainregular accounts 4 . In the context ofthe retail sector, it could therefore besaid to cover those forms of tradewhich sell an assortment of productsand services ranging from fruits andvegetables to shoe repair. Theseproducts or services may be sold oroffered out of fixed or mobile locationand the number of people employedcould range between 10-20 people.Thus the neighbourhood kiryana, thepaanwala, the cobbler, the vegetable,fruit vendor, etc. would be termed asthe unorganized sector. The primarypurpose in defining the scope of theunorganized sector is to understandthe formats or the forms of trade thatwould be understood as unorganizedand therefore, to further theunderstanding of the term organized.Organized retail can be defined as anyorganized form of retail or wholesaleactivity (both food and non-food undermultiple formats), which is typically amulti-outlet chain of stores ordistribution centres run byprofessional management. 5The retail trade sector comprises ofestablishments primarily engaged inretailing merchandise, generallywithout transformation, andrendering services incidental to thesale of merchandiseEvery business has its distinctive wayof organising the very many activitiesthat are involved in delivering itsproducts and service to the endcustomer. In retail parlance, it istermed as retail format. Retail formatcan be termed as combination ofvarious elements of retail mix, to offervalue to the target customers. It is theinterface between retailers and thecustomers. It makes customers to visitthe store to obtain goods and servicesand 6 desired value. It is also definedas the Business Models of retailers.The importance of retail formats canbe gauged from the fact that most ofthe retail organisations equate themwith Strategic Business Units and canhave separate operationalinfrastructure and organisational setupfor them.INDIAN RETAIL MARKETThe retail sector in India is highlyfragmented and mostly owner-run4Unorganized Sector and its contribution in India,Pankaj K P Shreyaskar, Sarvekshana, Journal of theNational Sample Survey Organization, 89th issue Vol. XXVI No 25Benefits of Modern Trade to the Indian Economy, The Rising Elephant, A PWC, CII publication6Madaan K V S, Fundamentals of Retailing,6th edition, Tata McGraw Hill , pp 46-47[ 116 ] Rai Management Journal