Welcome to myjunction ~ the junction for junctionites!

Monday, September 10, 2007

Boom Time!

~ Contributed by Shreeti Bhargava ~

Indian Retail is expanding at a pace never experienced before. This is driven by increased consumerism, which is the direct result of heightened salaries, changing lifestyles and favourable demographic patterns. According to the third annual Retailer Sentiment Survey – Asia, Retailers in India are the most aggressive in expanding their businesses and this has created a huge demand for real estate, which is evident in the escalating prices in commercial real estate.

Here are some important trends observed in the Indian Retail Market:

* India has topped the AT Kearney’s annual Global Retail Development Index for the third consecutive year maintaining position as the most attractive market for retail investment.
* The Indian Retail Market-one of India’s fastest growing industries - is expected to grow from US $350 billion to US $427 billion.
* According to Euromonitor International, Retail will average growth of almost 7 percent a year.
* Modern retail accounts for about 4% of the total retail market in India. And this is expected to increase to about 15-20 percent with the entry of a number of corporates into the segment.

Another important observation in the retail industry is the growing importance of eCommerce with Indian Retailers. The anticipation of the online boom in internet users in India has compelled Indian corporates to strengthen their presence online.

mjunction envisaged this trend six years back when it plunged into eCommerce at a time when most industry observers had given it up as a non viable prospect. And in tune with the boom in the retail sector, today our focus is to establish a strong foothold in the eRetailing arena with our divisions’ autojunction and straightline.

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