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Tuesday, 29 September 2015 / Published in Academic Sample Papers

SWOT Analysis of Indian Retail Industry

Indian retail industry has developed rapidly than any other in the world. It is the largest among all global industries. It is the pillar of India economy and accounts for 14to 25 percent the nation’s GDP. The Indian retail market is estimated to be about $500 billion. This rapid change in the retailing industry can be attributed to the substantial shift towards a more organized retailing setup and great developments taking place in the nation. In fact, many nations that cannot match the India’s progress in the retail industry are rallying on its SWOT analysis to gather more helpful details.

Understanding the dynamics of the retail market especially the SWOT analysis provides a bird’s-eye view on how to run a retail venture whether small or colossal. SWOT [Strengths, weaknesses, opportunities and threats] analysis eases the task of evaluating a business. Strengths and weakness are the internal factor that retailer can easily control while opportunities and threats are external factors which come with positive or negative impacts that entrepreneurs face. Below is a clear look at the SWOT analysis for Indian retail market;

Strengths– SWOT analysis cannot be successful or commence without looking at the strengths of the retail company. Great financial banking is one of the vital strengths to look at. This means that the retailer has ample capital and can even access bank loans. Retailer’s cheaper wholesale prices can also open many retailing doors. Quality of the retail products can also increase a company’s rank in the market. Other strengths include increasing number of Indian consumers, increasing in India’s working population and an aspiring middle class will to purchase anything.
Weakness– When analyzing the weakness of a retail company, it is wise to look at the most palpable weaknesses. For instance, a retailer may lack an identity, weak brand image, lack good customer services, hence, it has no competitive edge that set its apart from other retailers.
Opportunities– identifying core opportunities in the retailing market is the other mainstay step towards a fruitful SWOT analysis. There are heaps of opportunities within the retail market. And they include consumer needs, attractive and supple jobs, high standards demand from suppliers, great innovations, digital plan and customer-centric approach among others.
Threats– It is easy to pick out the probable threats that affect the retailing industry via a well-executed SWOT analysis. Some of the common threats in the retail industry include a decrease in consumer needs, price wars with competitor, recession, poor human capital management, underdeveloped shopping culture and unorganized retailers.

The retail industry many a times it does not enjoy governmental support and fails to rejoice the industry status. Fortunately, the Indian retail industry has become a pillar in the industry and a stepping stone for those who want to reach the highest ranks in the market. It is an example that a retail company can grow on its own and make good revenue and open more new markets. For all aspiring retailers, do not just identify the strengths, weakness, opportunities and threats faced in the industry, it is wise to embrace the “SWOT” and come up with unmatched marketing strategies.

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Online Sources:

http://smallbusiness.chron.com/swot-analysis-retail-3344.html

http://www.indiaretailing.com/7/23/27/9480/Indian-Retail-Analysing-the-SWOT-Matrix-

http://en.wikipedia.org/wiki/Retailing_in_India

http://www.fibre2fashion.com/industry-article/free-retail-industry-article/indian-retail-industry-its-growth-challenges-and-opportunities/indian-retail-industry-its-growth-challenges-and-opportunities2.asp

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SWOT Analysis of Indian Retail Industry

SWOT Analysis of Indian Retail Industry

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