Kishore Biyani and Big Bazaar
Kishore Biyani and Big Bazaar
Kishore Biyani and Big Bazaar
Company History
Biyani started with his family bussiness in textiles in the year 1987. He launched the 1st branded ready made trousers brand known as Pantaloon. With the help of his company Pantaloon fashions, later it named as Pantaloon Shoppe stores. In 1992, Biyani reached to customer level with its 60 exclusive shops. Initial brand was John Miller and Bare.
Present Overview
Pantaloons Central Big bazaar Food bazaar Brand factory Home Town Furniture bazaar Ezone Electronics bazaar Lee cooper Future money
Mr.Kishore biyani
He is coined as: Father of retailing in India Rajah of retail Indias retail CZAR The unstoppable Indian
people employed. Today the company has almost 14,000 shareholders. He now has about 22 different retail formats.
Q.1 The layout of big bazaar stores is radically different from those in West. Do you think this layout would be successful in the wake of the entry of big players such as Wal-Mart in India market?
Brief History
The hypermarket chain was introduced in Indiain 2001 by Pantaloon Retail(India) Limited.
of two years, it has added a FoodBazaar and Gold Bazaar to its range of offering.
The Strategy
Biyanis Vision- To give the Indian customer the feel of a local market place-narrow lanes, crowded market place and customers bumping into each other and into commodities. Saving is the key to the Indian middle class consumer. The concept of Bazaar, As the store offers large mix of products at a discounted price, the name Big
Bazaar was finalized The idea was to recreate a complete bazaar, with a large product offering and offer a good depth and width in terms of range
consumer that big shopping stores charge more prices for commodities,compared to the local kirana stores.
Generally, those stores in which builders are ready to provide fully-furnished stores that enables them to start there operation immediately.
Merchandise MIX
Large product mix offered by Big Bazaar was
the main attraction. Big Bazaar stocked about 1,30,000items in over 20 product categories.
Threats
In long run Big bazaar layout will face problems, in the wake of entry of big players such as Wal-Mart in Indian .
Suppliers
Buyers
Potential Entrance
Substitute product
Switching Cost
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Inventory level Management. Still they follow Traditional supply chain. Low in Technological upgradation. Delivery not in Time. High Debt exposure. In-house brands occupy 40% of equity.
Strength of
Low cost leadership: Wal-Mart uses legendary inventory replishment system
Through this system Wal-Mart continuously sends orders for new merchandise directly to suppliers as soon as customer pays for purchases at cash register. By this Wal-Mart does not have to spend money on maintaining large inventories of goods in its own warehouse and can adjust with customer demand. By this customer response system Wal-Mart easily manages to keep its operational costs low.
Q2.Using the traditional supply chain has worked for Biyani so far. Do you think it would work in the future as Reliance has chosen to follow the exclusive supply chain rout