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Retail Business Environment

Notes Plastic Money

Credit card reward schemes, flexible financing options, EMI facility, loyalty cards are tempting
the Indian consumer to shop.

Urbanization

Growing urbanization and different facilities of cities converted the local population from net
saver to net spender.
Awareness Level

The urban population is well aware of the different shopping malls and through different media
they are well known about the offers and schemes.

Aspiration

Aspirations for better standard of living make the urban consumer spending more. While
consumer demand is driving retail growth, it is in turn being driven by the following factors:
1. Economic growth
2. Improved standard of living
3. More affluence

4. Mass awareness
5. Demographics
6. Credit availability
7. Promotional offers

8. Status symbol
These positive macro trends are resulting in changing preferences in demand for lifestyle goods.
Mind sets are shifting towards an organized retailing experience.

Some charms in our culture:
Convenience: as more and more women are joining the work force there is an increasing demand
for products that help lighten and relieve the daily household chores, and make life more
convenient. This is reflected in the soaring sale of Washing machines, microwaves, Pressure
cookers, Mixer grinders, food processors, frozen food etc.

Education: People in our society today wish to acquire relevant education and skills that would
help improve their career prospects. This is evident from the fact that so many professional,
career oriented educational centers are coming up, and still they cannot seem to meet the
demand. As a specific instance count the number of institutions offering courses and training in
computers that has opened in your city.
Physical appearance: Today, physical fitness, good health and smart appearance are on premium
today. Slimming centers and beauty parlours are mushrooming in all major cities of the country.
Cosmetics for both women and men are being sold in increasing numbers. Even exclusive shops
arc retailing designer clothes.

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