際際滷

際際滷Share a Scribd company logo

FDI Imapct in rural market

Download as PPTX, PDF
T
Tushar Vaidya

This document discusses FDI (foreign direct investment) in retail trade in India. It notes that retail trade is the world's oldest business and India's retail shops are generally small and family-owned. It states that currently India allows 51% FDI in single-brand retail and 100% FDI in cash-and-carry wholesale trade, but no FDI in multi-brand retail stores. The document also lists potential benefits and drawbacks of allowing FDI in retail trade.

1 of 12
Download to read offline
PRESENTED BY Mr. TUSHAR R. VAIDYA tusharvaidya143@gmail.com MBA II
FDI IN RETAIL
THINGS TO REMEMBER - Before we go ahead, we should keep certain basic facts in our mind. We are a country with huge population out of which majority are unprivileged and Below Poverty line. We are people with tradition, culture and ethics. In our country it is very difficult to get alternate employment. Our survival is because of our collective strength. The Govt. policies have been Anti Growth oriented for TRADERS. The Traders Voice is not heard by decision makers. In fact Traders have no representation in Govt.
LICENCES & PERMITS INDUSTRIAL DISPUTE ACT SHOP & ESTABLISHMENT ACT COSUMER PROTECTION ACT WEIGHT & MEASUREMENT ACT PACKAGING ACT PREVENTION OF FOOD ADULTRATION ACT PREVENTION OF BLOCK MARKETING ACT ANTI HOARDING & PROFEELING ACT MONEY LENDING ACT PRODEND FUND ACT MINIMUM WAGES ACT ESI ACT GRATUITY ACT BONUS ACT INEFFICIENT LABOURS PRESENT CONDITION OF TRADERS ANTI SOCAL ELEMENTS POLITICIAL INTERFERANCE Fringe Benefit Tax WATER TAX SERVICE TAX CENTRAL EXCISE POWER PROBLEM HIGH BANK CHARGES OCTROI WELTH TAX PROFESSIONAL TAX INCOME TAX ENTRY TAX PURCHASE TAX POOR MARKET CONDITION STAMP DUTY ESSENTIAL COMMODITIES ACT FDI in Retail Trade Cash Transaction Tax & Quarterly C Form
RETAIL TRADE : BACKBONE OF ECONOMY Retail trade is worlds oldest business. Retail trade consists of sale of goods & services to consumers for their personal, family or household use. Based on turnover and volume, retail trade is worlds biggest economic activity. In the year 2000, world turnover in retail trade is estimated around Rs. 3,10,20,000 corers. In India by investing nominal Capital a person can start retail business. In India Retail shops are generally owned and run by family. The whole family gets self employed.
WHAT IS EXACT FDI IN RETAIL ? 51 % FDI allowed in single-brand formats 100 % FDI in cash-and-carry format NO FDI in multi-brand stores ( like Wal-Mart) Trends indicate that the FDI would open up in retail sector, However political consensus has to be reached before that happens
FDI Imapct in rural market
CONTRACT FARMING COLLECTION OF AGRICALTURE PRODUCTS TO OWN FACTORY TO OWN DEPT. STORE TO CUSTOMER We all are
BENEFITS Benefits of FDI in Retail Inflow of investment and funds. Improvement in the quality of employment. Increased local sourcing. Provide better value to end consumers. Investments and improvement in the supply chains and warehousing. Franchising opportunities for local entrepreneurs. Growth of infrastructure. Cost reduction. Implementation of IT in retail.
DRAW BACKS Drawbacks of FDI in Retail Would give rise to cut-throat competition rather than promoting incremental business. Promoting Cartels and Creating Monopoly. Increase in the Real Estate Prices. Marginalize domestic entrepreneurs. The financial strength of foreign players would displace the unorganized players. Absence of proper regulatory guidelines would induce unfair trade practices like Predatory
FDI Imapct in rural market
FDI Imapct in rural market

More Related Content

FDI Imapct in rural market

  • 1. PRESENTED BY Mr. TUSHAR R. VAIDYA tusharvaidya143@gmail.com MBA II
  • 3. THINGS TO REMEMBER - Before we go ahead, we should keep certain basic facts in our mind. We are a country with huge population out of which majority are unprivileged and Below Poverty line. We are people with tradition, culture and ethics. In our country it is very difficult to get alternate employment. Our survival is because of our collective strength. The Govt. policies have been Anti Growth oriented for TRADERS. The Traders Voice is not heard by decision makers. In fact Traders have no representation in Govt.
  • 4. LICENCES & PERMITS INDUSTRIAL DISPUTE ACT SHOP & ESTABLISHMENT ACT COSUMER PROTECTION ACT WEIGHT & MEASUREMENT ACT PACKAGING ACT PREVENTION OF FOOD ADULTRATION ACT PREVENTION OF BLOCK MARKETING ACT ANTI HOARDING & PROFEELING ACT MONEY LENDING ACT PRODEND FUND ACT MINIMUM WAGES ACT ESI ACT GRATUITY ACT BONUS ACT INEFFICIENT LABOURS PRESENT CONDITION OF TRADERS ANTI SOCAL ELEMENTS POLITICIAL INTERFERANCE Fringe Benefit Tax WATER TAX SERVICE TAX CENTRAL EXCISE POWER PROBLEM HIGH BANK CHARGES OCTROI WELTH TAX PROFESSIONAL TAX INCOME TAX ENTRY TAX PURCHASE TAX POOR MARKET CONDITION STAMP DUTY ESSENTIAL COMMODITIES ACT FDI in Retail Trade Cash Transaction Tax & Quarterly C Form
  • 5. RETAIL TRADE : BACKBONE OF ECONOMY Retail trade is worlds oldest business. Retail trade consists of sale of goods & services to consumers for their personal, family or household use. Based on turnover and volume, retail trade is worlds biggest economic activity. In the year 2000, world turnover in retail trade is estimated around Rs. 3,10,20,000 corers. In India by investing nominal Capital a person can start retail business. In India Retail shops are generally owned and run by family. The whole family gets self employed.
  • 6. WHAT IS EXACT FDI IN RETAIL ? 51 % FDI allowed in single-brand formats 100 % FDI in cash-and-carry format NO FDI in multi-brand stores ( like Wal-Mart) Trends indicate that the FDI would open up in retail sector, However political consensus has to be reached before that happens
  • 8. CONTRACT FARMING COLLECTION OF AGRICALTURE PRODUCTS TO OWN FACTORY TO OWN DEPT. STORE TO CUSTOMER We all are
  • 9. BENEFITS Benefits of FDI in Retail Inflow of investment and funds. Improvement in the quality of employment. Increased local sourcing. Provide better value to end consumers. Investments and improvement in the supply chains and warehousing. Franchising opportunities for local entrepreneurs. Growth of infrastructure. Cost reduction. Implementation of IT in retail.
  • 10. DRAW BACKS Drawbacks of FDI in Retail Would give rise to cut-throat competition rather than promoting incremental business. Promoting Cartels and Creating Monopoly. Increase in the Real Estate Prices. Marginalize domestic entrepreneurs. The financial strength of foreign players would displace the unorganized players. Absence of proper regulatory guidelines would induce unfair trade practices like Predatory