Retail Industry in India a Driver of Growth: An Analysis

By

Mrs. Shilpa Jain*

Icfai National College
YamunaNagar

Abstract

Drivers of growth of any country are strongly based on three areas of economic policy-
Production, Distribution and Consumption. India being a developing economy continues
to have great concern for its small scale industries and domestic suppliers. Though, India
had launched its LPG programme (Liberalisation, Privatisation and Globalisation) in
early 1980’s yet it does not seem to maintain a pace between its conservative look and
opportunities that exist beyond the horizon, especially in retail sector. Retailing, the
biggest private sector industry in the world, is one of the prime movers of any economy.
The Indian retail market is also going through a transformational phase. India is ranked as
one of the most attractive emerging retail market in the world. It is luring international
players and country’s existing giants to take bold steps to woo Indian consumers.

At this particular time, when Indian retail sector is in takeoff stage , Indian government
does not seem to adopt enthusiastic approach to give it further momentum through
allowing FDI and making retail sector more organised. Consequential rigidities of
industrial policies and dependency of government on the support of communist parties
are hampering the growth of the country drastically. These parties have been vociferous
in opposing opening up of Indian economy to global conglomerate.

Present article is an endeavour to raise a question “If China’s pragmatism of opening

economy for international players in FDI can work, Why it can’t work in India?’
The article also highlights some crucial but ignored facts of Indian retail market which
call for immediate attention of our esteemed government.

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*Faculty
Mktg./Eco
Yamuna Nagar
Ph. 09416453225
email Id- sjainicfai @gmail.com