FDI in retail will be allowed in only 53 cities – each with a population of 100,000 or more
Even if we assume that the average population of these 53 cities , is 2.5 million, it could add-up to approx 120 million people
That is just 10 % of India’s population of 1210 million
It is unlikely that more than 10 % of these 120 million people will shop at Wal-Mart , Carrefour, Tesco etc
That is 12 million people – no more than 1 % of India’s population !
And how many Super marts will foreign retailers open in those 53 cities ?
9/10 in each of these 53 cities ? – for a total of 500 ?
But , as per recent newspaper reports , we have 50 million small retailers in our country
That means, one Super mart must compete against 100,000 local retailers !
Is that a grave danger to the local retailers – having 99 % of the market share ?
Unless someone claims that those 1 % of the population make 50 % of the total purchases in the country !
If I am wrong , please enlighten
With regards
hemen parekh / 05 Dec 2011
Even if we assume that the average population of these 53 cities , is 2.5 million, it could add-up to approx 120 million people
That is just 10 % of India’s population of 1210 million
It is unlikely that more than 10 % of these 120 million people will shop at Wal-Mart , Carrefour, Tesco etc
That is 12 million people – no more than 1 % of India’s population !
And how many Super marts will foreign retailers open in those 53 cities ?
9/10 in each of these 53 cities ? – for a total of 500 ?
But , as per recent newspaper reports , we have 50 million small retailers in our country
That means, one Super mart must compete against 100,000 local retailers !
Is that a grave danger to the local retailers – having 99 % of the market share ?
Unless someone claims that those 1 % of the population make 50 % of the total purchases in the country !
If I am wrong , please enlighten
With regards
hemen parekh / 05 Dec 2011
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