Dear Shri Kant ,
I published following blogs (
some 3 years back ) , when " FDI in Retail
" was being hotly debated across the country
Perhaps , my arguments hold ,
even today !
with regards ,
hemen
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WHO
IS AFRAID OF THE BIG BAD WOLF ?
If and
when , Wal-Mart , Carrefour , Tesco arrive in India , who will be afraid of
them ?
Certainly
not all of the 50 million
small retailers
There are
many amongst them who are thoroughly transparent , honest and have a very high
standard of business practices.
In fact ,
no foreign Super mart can even match their personalized service to their
customers
The
retailers who are afraid are the ones who engage in one or more of the
following un-ethical practices :
· Selling fake / duplicate goods
· Selling sub-standard goods
· Selling goods at a price higher than the M.R.P
· Cheating on correct weights
· Selling goods without bills / cash memos
· Selling expired goods
· Not subscribing to “ Packaged
Commodities Act “
· Not subscribing to “ Weights
and Measures Act “
· Selling same item at different prices, especially
to poor illiterate customers / children
· Refusing to accept genuine “ Returns “
· Selling drugs without prescriptions
· Passing off misspelled, poor quality “ Substitutes
“
· Selling PDS items for poor in black market
They are
afraid because they will have to give up their un-ethical ways of making a fast
buck by cheating their unsuspecting customers
As a
customer , I support FDI in retail
But I will
continue to patronize my honest corner grocery store !
With
regards
hemen
parekh / 06 Dec 2011
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CAN
SOMEONE PLEASE ENLIGHTEN ?
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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
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