Study on Store Environment and Merchandising Mix at Big Bazaar

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Introduction
Retailing consists of those business activities involved in the sale of goods and services
to consumers for their personal, family, or household use. Retailing comprises of four
elements customer orientation, coordinated effort, value-driven, and goal orientation.
The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off
or sheds a small piece from something. Retailing is the set of activities that markets
products or services to final consumers for their own personal or household use. It does
this by organizing their availability on a relatively large scale and supplying them to
customers on a relatively small scale. Retailer is a Person or Agent or Agency or
Company or Organization who is instrumental in reaching the Goods or Merchandise or
Services to the End User or Ultimate Consumer.
The topic “store environment and merchandising mix” present in any retail store
greatly influences the customer satisfaction level and the customer perception towards
that store. Merchandising is one of the hot issue in todays retail competition world which
is very important for all the retail store to follow that.
This study was done to know that, do customers are really satisfied with the
merchandising Mix present in the Big bazaar and also to find out how the store
environment influences the shopping behavior of the customer and to know which section
in the Big bazaar have good merchandising mix and to know how the store environment
can be improved.
STATEMENT OF THE PROBLEMS:
“To study the store environment and merchandising mix”
“To study of the store environment and merchandising mix in big bazaar super center, to
determine the satisfaction level of the customers about the store environment and analyze
the merchandising mix to influence on the customer satisfaction level, and to improve the
store environment to increase the sales and to attract the customers, this study helps to
improve the environment of the store to reach the customer satisfaction level” and
improve the merchandising in big bazaar super center.
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OB JECTIVES OF STUDY:
 To determine the customer satisfaction level towards store environment.
 To analyze how the merchandising mix influence the customer satisfaction level
 To determine that, Big Bazaar has satisfied Merchandising Mix.
 To analyze how the store environment can be improved.
SCOPE OF THE STUDY:
Customer is one whom you satisfy a want or need in return for some of payment.
The payment may be money, time or may be goodwill but there is certain form of
payment. Satisfaction level of a person is felt by comparing products perceived in relation
to the person’s expectations.
Satisfaction level is the function of the difference between perceived performance
and expectations. If the performance falls short of expectations, the customer will not be
satisfied. If the performance matches the expectations the customer’s are highly satisfied.
If the performance is beyond his expectations the customer is excited or thrilled.
Customer satisfaction is customer’s positive or negative feeling about the value that
was perceived as a result of using particular organization’s offering in specific used
reaction to a series of use situation experience. According to peter F. Ducker, the purpose
of business is to create and then retain a satisfied customer. A society supports business
because they serve its member’s by catering to their needs and leave them satisfied. If the
business dissatisfied its customer’s and not only these customers stop availing service ,
but society at large will condemn the firm and may even penalize it to the point of its
extinction.
· The study is limited to the customer’s of Big Bazaar , J.L.B Road ,Mysore
· Targeted customer includes those who enter the store.
· The loyal customer to the store.

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RESEARCH METHODOLOGY:-
A research process consists of stages or steps that guide the project from its conception
through the final analysis, recommendations and ultimate actions. The research process
provides a systematic, planned approach to the research project and ensures that all
aspects of the research project are consistent with each other.
Research studies evolve through a series of steps, each representing the answer to a key
question.
INTRODUCTION
This chapter aims to understand the research methodology establishing a framework of
evaluation and revaluation of primary and secondary research. The techniques and
concepts used during primary research in order to arrive at findings, which are also dealt
with and leads to a logical deduction towards the analysis and results.
1. Primary data:-
a. Personal interview with dealers and user of tractors has been used as survey
technique for collecting data. The dealers of different branches of tractor were
also enquired about question depending on circumstances. The survey has been
made by using primary data and secondary data.
b. The primary sources consist of information collected from dealers of different
branches and tractors owners and agriculturist. The secondary data has been
collected from encyclopedias, survey of Indian agriculture, Technical journals
and news paper reports.
2. Secondary data:-
These are the sources contain data, which have been collected and compared for
some other purpose. The secondary source consists of readily available components
and already compiled statistical statement and reports whose data may be used for
study. Secondary data have been collected from many sources. The major sources of
secondary data are given below.
 Reports/records

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 Websites
 Organizations old data
DETERMINATION OF THE SAMPLE PLAN AND SAMPLE
SIZE TARGET POPULATION
It is a description of the characteristics of that group of people from whom a course
is intended. It attempts to describe them as they are rather than as the describer would like
them to be. Also called the audience the audience to be served by our project includes key
demographic information (i.e.; age, sex etc.).The specific population intended as
beneficiaries of a program. This will be either all or a subset of potential users, such as
adolescents, women, rural residents, or the residents of a particular geographic area.
Topic areas: Governance, Accountability and Evaluation, Operations Management and
Leadership. A population to be reached through some action or intervention; may refer to
groups with specific demographic or geographic characteristics. The group of people you
are trying to reach with a particular strategy or activity. The target population is the
population I want to make conclude an ideal situation; the sampling frames to matches the
target population. A specific resource set that is the object or target of investigation. The
audience defined in age, background, ability, and preferences, among other things, for
which a given course of instruction is intended.
I have selected the sample trough Simple random Sampling
SAMPLE SIZE :
This involves figuring out how many samples one need.
The numbers of samples you need are affected by the following factors:
•Project goals
•How you plan to analyze your data
•How variable your data are or are likely to be
•How precisely you want to measure change or trend

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•The number of years over which you want to detect a trend
•How many times a year you will sample each point
•How much money and manpower you have
SAMPLE SIZE
I have targeted 100people in the age group above 21 years for the purpose of the research.
The target population influences the sample size. The target population represents the
Delhi regions. . The people were from different professional backgrounds.
The details of our sample are explained in chapter named primary research where the
divisions are explained in demographics section.
DATA COLLECTION
Data collection took place with the help of filling of questionnaires. The
questionnaire method has come to the more widely used and economical means of data
collection. The common factor in all varieties of the questionnaire method is this reliance
on verbal responses to questions, written or oral. I found it essential to make sure the
questionnaire was easy to read and understand to all spectrums of people in the sample. It
was also important as researcher to respect the samples time and energy hence the
questionnaire was designed in such a way, that its administration would not exceed 4-5
minutes. These questionnaires were personally administered.
The firsthand information was collected by making the people fill the questionnaires.
The primary data collected by directly interacting with the people. The respondents were
contacted at shopping malls, markets, places that were near to showrooms of the
consumer durable products etc. The data was collected by interacting with 100
respondents who filled the questionnaires and gave me the required necessary
information. The respondents consisted of Farmers, Businessmen, and Professionals etc.
the required information was collected by directly interacting with these respondents.

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LIMITATIONS OF THE STUDY
1. The lack of detailed understanding of the relationships between urban form and
travel behaviour remains an obstacle to a more refined impact analysis:
"Most research on the link between urban form and travel behaviour has relied on
relatively coarse data on both urban form and travel patterns and those found aggregate-
level correlation between them. [E.g., residential density or form vs. amount of travel.]
It leaves open the question of the more detailed relationship between urban form
and travel behaviour, that is, which characteristics of urban form influence which aspects
of travel choice.
2. The challenge arises in part from a mismatch between the data gathering focus of
regional transportation planning and the requirements of smaller scale analyses of
land-transportation relationships and their effects on travel behaviour:
In general, the absence of rich land use and urban design data at the tract level is a
significant barrier to carrying out neighborhood-scale studies of how the build
environment shapes travel demand. From regional travel surveys...there are rarely enough
travel diary data points for conducting small-scale analyses. And while metropolitan
planning organizations generally have detailed travel data, there are no readily available
secondary sources that provide parcel-level or even block-level summaries of land use
composition, building characteristics, or features of the walking environment.
3. a second significant limitation, made worse by the lack of data, is the problem of
multi-co linearity. Characteristics of travel behaviour do not operate independently,
and in fact tend to be found together
Data availability, relative coarseness, the poor quality of land use data, and the
need for significant improvement in its quality are commonly cited in researchers'
discussions of study limitations. (E.g., Kerberos 1996, Ewing 1996, Halethorpe 1996.)

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Walk trips, especially, are difficult to model at the neighbourhood level, due to their
infrequent reporting. (Carver 1996). This means that even the travel diary coverage
mentioned above would permit only
COMPANY PROFILE
2.1 INDUSTRY PROFILE
INTRODUCTION
The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off
or sheds a small piece from something. Retailing is the set of activities that markets
products or services to final consumers for their own personal or household use. It does
this by organizing their availability on a relatively large scale and supplying them to
customers on a relatively small scale. Retailer is a Person or Agent or Agency or
Company or Organization who is instrumental in reaching the Goods or Merchandise or
Services to the End User or Ultimate Consumer.
2.1.1 Indian Retail Industry:

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Indian retail industry is the largest industry in India, with an employment of around 8%
and contributing to over 10% of the country's GDP. Retail industry in India is expected to
rise 25% yearly being driven by strong income growth, changing lifestyles, and favorable
demographic patterns.
It is expected that by 2016 modern retail industry in India will be worth US$ 175-
200 billion. India retail industry is one of the fastest growing industries with revenue
expected in 2007 to amount US$ 320 billion and is increasing at a rate of 5% yearly. A
further increase of 7-8% is expected in the industry of retail in India by growth in
consumerism in urban areas, rising incomes, and a steep rise in rural consumption. It has
further been predicted that the retailing industry in India will amount to US$ 21.5 billion
by 2010 from the current size of US$ 7.5 billion.
Shopping in India has witnessed a revolution with the change in the consumer
buying behaviour and the whole format of shopping also altering. Industry of retail in
India which has become modern can be seen from the fact that there are multi- stored
malls, huge shopping centers, and sprawling complexes which offer food, shopping, and
entertainment all under the same roof.
Indian retail industry is expanding itself most aggressively; as a result a great demand for
real estate is being created. Indian retailers preferred means of expansion is to expand to
other regions and to increase the number of their outlets in a city. It is expected that by
2010, India may have 600 new shopping centres.
In the Indian retailing industry, food is the most dominating sector and is growing
at a rate of 9% annually. The branded food industry is trying to enter the India retail
industry and convert Indian consumers to branded food. Since at present 60% of the
Indian grocery basket consists of non- branded items.
Indian retail industry is progressing well and for this to continue retailers as well
as the Indian government will have to make a combined effort. Indian retailing industry
has seen phenomenal growth in the last five years . Organized retailing has finally
emerged from the shadows of unorganized retailing and is contributing significantly to
the growth of Indian retail sector. The “India Retail Sector Analysis report helps clients to
analyze the opportunities and factors critical to the success of retail industry in India.

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Indian retail industry is going through a transition phase. Most of the retailing in
our country is still in the unorganized sector. The spread out of the retails in US and India
shows a wide gap between the two countries. Though retailing in India is undergoing an
exponential growth, the road ahead is full of challenges.
2.1.2 KEY CHALLENGES:
 LOCATION:
"Right Place, Right choice" Location is the most important ingredient for any
business that relies on customers, and is typically the prime consideration in a
customers store choice. Locations decisions are harder to change because retailers
have to either make sustainable investments to buy and develop real estate or
commit to long term lease with developers. When formulating decision about
where to locate, the retailer must refer to the strategic plan:
o Investigate alternative trading areas.
o Determine the type of desirable store location
o Evaluate alternative specific store sites
 MERCHANDISE:
The primary goal of the most retailers is to sell the right kind of merchandise and
nothing is more central to the strategic thrust of the retailing firm. Merchandising
consists of activities involved in acquiring particular goods and services and
making them available at a place, time and quantity that enable the retailer to
reach its goals. Merchandising is perhaps, the most important function for any
retail organization, as it decides what finally goes on shelf of the store.

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 PRICING:
Pricing is a crucial strategic variable due to its direct relationship with a firm's
goal and its interaction with other retailing elements. The importance of pricing
decisions is growing because today's customers are looking for good value when
they buy merchandise and services. Price is the easiest and quickest variable to
change
 TARGET AUDIENCE:
"Consumer the prime mover" "Consumer Pull", however, seems to be the most important
driving factor behind the sustenance of the industry. The purchasing power of the
customers has increased to a great extent, with the influencing the retail industry to a
great extent, a variety of other factors also seem to fuel the retailing boom
2.1.3 SCALE OF OPERATIONS:
Scale of operations includes all the supply chain activities, which are carried out in the
business. It is one of the challenges that the Indian retailers are facing. The cost of
business operations is very high in India.

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2.1.4 Size of Indian retail
2008 2010 Percentage change
Size of retail in 353 416 18%
INDIA(in
$billions)
Share 7 12 71%
organized
retail
Size of 78,300 Cr 2,30,000 Cr 194%
organized
retail(in Rs)
2.1.5 Indian retail types
Convenient stores
Branded stores
Specialty stores
Departmental stores

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 Super markets
 Discount stores
 Hyper markets
 Shopping markets
 Convenient stores
 Malls:
The largest form of organized retailing today Located mainly in metro cities, in proximity
to urban outskirts. Ranges from 60,000 sq ft to 7,00,000 sq. ft. and above. They lend an
ideal shopping experience with an amalgamation of product, service and entertainment,
all under a common roof. Examples include Shoppers Stop, India bulls mega Mart,
Pantaloon, Wall mart etc.
 Specialty Stores:
Chains such as the Bangalore based Kids Kemp, the Mumbai books retailer Crossword,
RPG's Music World and the Times Group's music chain Planet M, are focusing on
specific market segments and have established themselves strongly in their sectors.
 Discount Stores:
As the name suggests, discount stores or factory outlets, offer discounts on the MRP
through selling in bulk reaching economies of scale or excess stock left over at the
season. The product category can range from a variety of perishable/ non perishable
goods
 Department Stores:
Large stores ranging from 20000-50000 sq. ft, catering to a variety of consumer needs.
Further classified into localized departments such as clothing, toys, home, groceries etc.

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Departmental Stores are expected to take over the apparel business from exclusive brand
showrooms. Among these, the biggest success is K Raheja's Shoppers Stop, which started
in Mumbai and now has more than seven large stores (over 30,000 sq. ft) across India and
even has its own in store brand for clothes called Stop!.
 Marts/Supermarkets:
Large self service outlets, catering to varied shopper needs are termed as Supermarkets.
These are located in or near residential high streets. These stores today contribute to 30%
of all food & grocery organized retail sales. Super Markets can further be classified in to
mini supermarkets typically 1,000 sq ft to 2,000 sq ft and large supermarkets ranging
from of 3,500 sq ft to 5,000 sq ft. having a strong focus on food & grocery and personal
sales.
 Convenience Stores:
These are relatively small stores 400-2,000 sq. feet located near residential areas. They
stock a limited range of high-turnover convenience products and are usually open for
extended periods during the day, seven days a week. Prices are slightly higher due to the
convenience premix
2.1.6 TRADITIONAL RETAIL SCENE IN INDIA
India is the country having the most unorganized retail market. Traditionally the retail
business is run by Mom & Pop having Shop in the front & house at the back. More than
99% retailers function in less than 500Sq.Ft of area. All the merchandise was purchased
as per the test & vim and fancies of the proprietor also the pricing was done on ad hock
basis or by seeing at the face of customer. Generally the accounts of trading & home are
not maintained separately. Profits were accumulated in slow moving & non-moving
stocks which were to become redundant or consumed in-house. Thus profits were
vanished without their knowledge. The Manufactures were to distribute goods through C
& F agents to Distributors & Wholesalers. Retailers happen to source the merchandise
from Wholesalers & reach to end-users. The merchandise price used to get inflated to a
great extent till it reaches from Manufacturer to End-user. Selling prices were largely not
controlled by Manufacturers. Branding was not an issue for majority of customers. More
than 99% customers are price sensitive & not quality or Brand Sensitive at the same time
they are Brand conscious also. Weekly Bazaar in many small tows was held & almost all
the commodities were on the scene including livestock. Bargaining was the unwritten law

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of market. Educational qualification level of these retailers was always low. Hence
market was controlled by handful of distributors &/or Wholesalers. Virtually there was
only one format of retailing & that was mass retail. Retailer to consumer ratio was very
low, for all the categories without exception. Varity in terms of quality, Styles were on
regional basis, community based & truly very low range was available at any given single
place. Almost all the purchases / (buying) by mass population was need oriented & next
turn may be on festivals, Marriages, Birthdays & some specific occasions.
Impulsive buying or consumption is restricted to food or vegetables etc. Having extra pair
of trousers or Shirts or Casuals & Formals & leisure wear & sports wear & different pair
of shoes for occasions is till date is a luxury for majority population except for those
living in Metros. Purchasing power of India urban consumer is very low and that of
Branded merchandise in categories like Apparels, Cosmetics, Shoes, Watches, Beverages,
Food, Jewellery, are slowly seeping into the lifeline of Indian City folks. However
electronic & electrical home appliances do hold appropriate image into the minds of
consumers. Brand name does matter in these white goods categories. In the coming times
also majority of organized retailers will find it difficult to keep balance with rest of the
unbranded retail market which is very huge.
Retailing consists of those business activities involved in the sale of goods and
services to consumers for their personal, family, or household use. Retailing comprises of
four elements customer orientation, coordinated effort, value-driven, and goal orientation.
2.1.7 Drivers of change in retailing
 Changing demographics and industry structure
 Expanding Computer technology
 Emphasis on lower cost and prices
 Emphasis on convenience and service
 Focus on productivity
 Added experimentation
2.1.8 Essentials of Retailing
Customer orientation- The retailer makes a careful study of the needs of the customer
and attempts to satisfy those needs.

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Goal orientation – The retailer has clear cut goal and devises strategies to achieve those
goals.
Value driven approach- the retailer offers good value to the consumer with merchandise
having the price and quality appropriate for the target market.
Coordinated efforts- Every activity of the firm is aligned to the goal and is designed to
maximize its efficiency and deliver value to the consumer
2.1.9 Organized Retail is evolving with changing customer aspirations
Organized retailing in most economies has typically passed through four distinct phases
in its evolution cycle. In the first phase, new entrants create awareness of modern formats
and rise consumer expectations. In the second phase consumers demand modern formats
as the markets develop – thereby leading to strong growth. As with the life cycle in any
industry, the high rate of growth would lead to a stage where the market would reach
maturity and all the players would strengthen their positions. This will be followed by the
final phase where the market would reach saturation, the growth would be limited and for
sustainable growth, retailers would explore new markets as well as evaluate inorganic
opportunities.
2.1.10 Growth Factors in Indian Organized Retail sector:
The growth factors in India organized sector are various but it is mainly due to the fact
that India's economy is booming. Also, the rise in the working population which is
young, pay- packets which are hefty, more nuclear families in urban areas, rise in the
number of women working, more disposable income and customer aspiration, western
influences and growth in expenditure for luxury items. All these are the factors for the
growth in Indian organized retail sector.
In fact, India retail industry is the fastest growing industry in India and it accounts
for 10% of the country's GDP. In 2006, the retail industry in India amounted to US$ 200
billion and out of this; the organized retail sector in India amounted to US$ 6.4 billion. By
2010, the Indian organized retail sector is expected to rise to US$ 23 billion. In 2003, the
India organized retailing sector accounted for more than 4.5 million sq. ft of space
absorption by malls.

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Many Indian companies have entered the retail industry in India and this is also a
factor in the growth of Indian organized retail sector. Reliance Industries Limited is
planning to invest US$ 6 billion in the organized retail sector in I India by opening 1500
supermarkets and 1000 hypermarkets. Bharti Telecoms is planning a joint venture worth
£750 million with Tesco a global retail giant. Pantaloons are planning to invest US$ 1
billion in order to increase its retail space to 30 million square feet. Such huge
investment
is also a factor in the growth of the organized retail sector in India.
Global retail giants are also entering the retail industry in India and this is also one
of the factors in the growth of the organized retail sector in India. The global retail
giants
who are entering the organized retail sector in India are:
· Wall- Mart
· Tesco
· Carrefour SA
· Metro AG
The factors for growth in Indian organized retail sector are many and that’s the reason
behind its massive growth. But for this to continue both the Indian retailers and the
government will have to work together
2.1.11 Retail market size &share in 2006

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Category Market Size $ billion% Share 2006
2006
Food, Beverages and Tobacco 195 65%
Personal Care 15 5%
Apparel 21 7%
Footwear 5 2%
Furnishings 4 1%
Consumer Durables & IT 14 5%
Furniture 9 3%
Jewellery & Watches 15 5%
Medical Care and Health 8 3%
Services
Recreation 2 0.6%
Others 12 4%
300 100%
100%
2.1.12 RETAIL MARKET COMPARISION 20% 20%
3%
80% 40% 36%
30%
55%
60% 85% 81%
40%
20%
H R Institute Higher Education, 17
0%
US TaiwanMalaysiaThailand BrazilIndonesiaPoland China India

Modern Channel Traditional Channel

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2.1.13. Indian Organized Retail Sector's Impact on Lifestyles
The Indian organized retail sector's impact changed the lifestyle of the Indian
consumers drastically. The evident increase in consumerist activity is colossal which has
already chipped out a money making recess for the Indian organized retail sector.
With the onset of a globalized economy in India, the Indian consumer's psyche
has been changed. People have become aware of the value of money. Now a days the
Indian consumers are well versed with the concepts about quality of products & services.
These demands are the visible impacts of the Indian organized retail sector.
Since the liberalization policy of 1990, the Indian economy, and its consumers are getting
whiff of the latest national & international products, the with help of print & electronic
media. The social changes with the rapid economic growth due to trained personnel’s,
fast modernization; enhanced availableness of retail space is the positive effects of
Liberalization.
2.1.14 The growth factors of organized retail in India are:-
· Increase in per capita income which in turn increases the household consumption
· Demographical changes and improvements in the standard of living Change in
patterns of consumption and availability of low-cost consumer credit
· Improvements in infrastructure and enhanced availability of retail space
· Entry to various sources of financing

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The non-food sector, segments comprising apparel, accessories, fashion, and lifestyle
felt the significant change with the emergence of new stores formats like convenience
stores, mini Marts, mini supermarkets, large supermarkets, and hyper marts
. Even food retailing has became an important retail business in the national arena, with
large format retail stores, establishing stores all over India. With the entry of packaged
foods like MTR, ITC Ashirbad, fast foods chains like McDonald's, KFC, beverage
parlours’ like Nescafe, Tata Tea, Café Coffee and Barista, the Indian food habits has been
altered. These stores have earned the reputation of being 'super saver locations'.
India will be a unique business arena in whole of the global economy, for the social
and economic parameters would overrule the big bang of the vivid competition.
Previously mastered by the unorganized retail sector, India opened up late as an economy
in 1990 until then the idea of retail formats were spread by the government.
2.1.15. Employment Generation by India Organized Retail Sector
Lots of employment generation by Indian Organized Retail Sector in the near future.
India is going through a radical economic change. Though it is very infant stage, people
can feel the climate is changing. The unorganized retailers takes the lion's share in the
Indian retail sector, but the organized retailers are growing at a good pace, and promises
an increase of proportion of 9 - 10% by 2010. This is to be the largest sector after the
agricultural sector.
The increase in the number of consumers twinned with the introduction of organized
sector has brought numerous corporate investments in retail sector. The entry of super
markets, enormous departmental stores, and shopping malls has encouraged the retailers
to look at new business plans of expansion.
An economic growth on a monumental scale is offered by the Indian retail sector,
equally in the national and international market which in turn will generate a huge source
of employment and a variety of options for the consumers. The Ernst & Young's report
'The Great Indian Retail Story', anticipates that the Indian retail sector would come up

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with 2 million employment opportunities within the year 2010.
2.1.16 Benefits to the economic growth:-
· Better quality products and services would lead to better competition
· More exports bring more foreign direct investments
· Organized Indian etail sector would encourage tourism
· Along with the employment boom there would be a vast development in the
expertise of the human resource
· There would remain future scope for improvements in agriculture, small, and
medium scaled with the help of the Indian retail sector
The present employment in the retail business is nearly 4 crores and around 20
crores depend on this sector. There is a scope of better exposure to the international
standards with the entry of transnational companies, which in turn is encouraging more &
more retail management programs to open up and help bridging the gap of supply &
demand of talented professionals for management.
2.1.17 Scope of the Indian Retail Market :
The scope of the Indian retail market is immense for this sector is poised for the
highest growth in the next 5 years. The Indian retail industry contributes 10% of the
country’s GDP and its current growth rate is 8.5%. In the Indian retail market the scope
for growth can be seen from the fact that it is expected to rise to US$ 608.9 billion in
2009 from US$ 394 billion in 2005.
The organized retailing sector in India is only 3% and is expected to rise to 25- 30%
by the year 2010. There are under construction at present around 325 departmental stores,
300 new malls, and 1500 supermarkets. This proves that there is a tremendous scope for
growth in the Indian retail market.

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The growth of scope in the Indian retail market is mainly due to the change in the
consumer’s behaviour. For the new generation have preference towards luxury
commodities which have been due to the strong increase in income, changing lifestyle,
and demographic patterns which are favourable.
The scope of the Indian retail market has been seen by many retail giants and
that’s the reason that many new players are entering the India retail industry
2.1.18 The major Indian retailers are:
· Pantaloons Retail India Ltd
· Shoppers Stop
· Bata India Ltd
· Music World Entertainment Ltd
Judging the scope for growth in the Indian retail industry many global retail giants
are also entering the Indian retail market. They are :
· Tesco
· Metro AG
· Wall- Mart
The scope for growth in the Indian retail market is seen mainly in the following cities:
· Mumbai
· Delhi
· Pune
· Bangalore
· Hyderabad
· Kolkata
· Chennai
The scope of the Indian retail market is very vast. And for it to reach its full
potential the government and the Indian retailers will have to make a determined
effort

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2.1.19 Functions of retailing:
Retailers play a significant role as a conduit between manufactures, wholesalers,
suppliers, and consumers. In this context, they perform various functions like storing,
breaking bulk, holding stock, as a channel of communication, storage, advertising, and
certain additional services.
2.1.20 Storing:
Manufacturers usually make one or a variety of products and would like to sell their
inventory to a few buyers to reduce costs. Final consumers, in contrast, prefer a large
variety of goods and services to choose from and usually buy them in small quantities.
Retailers are able to balance the demands of both sides, by collecting an assortment of
goods from different sources, buying them in sufficiently large quantities, and selling
them to consumers in small units.
The above process is referred to as the storing process. Through this process, retailers
undertake activities and perform functions that add to the value of the products and services
sold to the consumer. Supermarkets in the US offer, on an average, 15,000 different items
from 500 companies. Customers are able to choose from a wide range of designs, sizes, and
brands from one location. If each manufacturer had a separate store for its own products,
customers would have to visit several stores to complete their shopping. While all the
retailers offer an assortment, they specialize in types of assortment
offered and the market to which the offering is made. Westside provides clothing and
accessories, while a chain like nil irises specializes in food and bakery items. Shoppers
stop targets the elite urban class, while pantaloons is targeted at the middle class.
2.1.21 Breaking bulk:
Breaking bulk is another function performed by retailing. The word retailing is
derived from the French word retailer, meaning to cut a piece of. To reduce transportation
costs, manufacturers and wholesalers typically ship range cartons of the products, which
are then tailored by the retailers into smaller quantities to meet individual’s consumptions
needs.
2.1.22 Holding stock:
Retailers also offer the service of holding stock for the manufacturers. Retailers
maintain an inventory that allows for instant availability of the products to the consumers.
It helps to keep prices stable and enables the manufacturer to regulate production.

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Consumers can keep a small stock of products at home as they know that this can be
replenished by their retailer and can save on inventory carrying costs.
2.1.23 Additional Services:
Retailers ease the change in ownership of merchandise by providing services that
make it convenient to buy and use products. Providing products guarantees, after-sales
services and dealing with consumer complaints are some of the services that add value to
the actual product at the retailers end.
Retailers also offer credit and hire- purchase facilities to the customers to enable
them to buy a product now and pay for it later. Retailers fill orders, promptly process,
deliver and install products. Salespeople are also employed by retailers to answer queries
and provide additional information about the displayed products. The display itself allows
the consumer to see and test products before actual purchase. Retail essentially completes
transactions with customers.
2.1.24. Activities performed by retailers :
The four major activities, as an carried out by retailers are;
1. Arrange for assortment of offerings
2. Breaking quantity
3. Holding stock
4. Extending services
Arranging assortment
Providing
Services
H Breaking
bulk Activities of

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· Arranging assortment:
An assortment is a retailer’s selection of merchandise. It includes both the depth
and breadth of products carried. Retailers have to select the combination of assortments
from various categories. The assortments must include suitable items of multiple brands,
SKUs, and price points. They should be on account of physical dimensions and attributes.
Retailers need to consider certain factors while devising assortment plans for those stores:
profitability associated with particular merchandise mix, store image, layout and the level
of compatibility between the existing merchandise. for example, food world , a leading
food supermarket positioned as a one- stop shopping centre, deals in multiple product
categories along with all possible variant of brands , stocks keeping units , and physical
attributes in order to meet the expectations of their consumers and survive in the
business . whereas , subhiksha, a grocery chain in south India has impressive assortments
of only the fast moving brands and SKUs rather than all available variants in the market.
Their assortment plan is governed by location, size, and store image (value for money) of
their stores.
· Breaking bulk:
Breaking bulk means physical repacking of the products by retailers in small unit
sizes according to customer’s convenience and stocking requirements. Normally, retailers

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receive large quantities of sacks and cases of merchandise from suppliers to reduce their
transportation costs. In order to meet their customers’ requirements retailers have to break
or arrange the bulk into convenient units. This entire function of the retailers adds value
to the offerings not only for the end customers but also for the suppliers in the value
chain. Even in the earlier days of generic and commodity-based trading most of the
retailers used to perform this important function in the value chain. This function receives
negligible attention from the retailers now due to the introduction of new product
categories, such as FMCG and ready to wear apparel.
· Holding stock:
To ensure the regular availability of the offering retailers maintain appropriate
levels of inventory. Consumers normally depend on the retailers directly to replenish their
stocks at home. Therefore, retailers, on periodic basis, maintain the required level of
stocks to meet the regular or seasonal fluctuations in the demand. Retailers need to
maintain equilibrium between the range and variety carried and sales which it gives rise
to. Retailers have to face the negative consequences of holding unwanted level of stock
for the instance too little stock will hamper the sales value, where as too much stock will
increase the retailers cost of operation. Generally, in small town of India most retailers
have arrangements with the nearby ware house to stock the goods. Some are so small that
they have to stock only on the shop floor. Retailers in the organizer sector to a certain
extent are using effective software packages for maintaining adequate level of inventory.
At the same time, retailers avail of just in tine deliveries with the help of efficient
consumer response systems, which reduces the burden of maintaining high level of
stocks.
· Extending Services:
Retailers provide multiples services to immediate customers and other members of
the value chain. The set of services extended by particular retailers may be part of their core
product offering or it may add on to their product or service. Retailers offer credit, home
delivery, after sales services and information regarding new products to their customers,
thereby making the shopping experience convenient and enjoyable. At the same time they
provide stocking place, reach to the ultimate costumers, and information
about the concerned target segment to the suppliers. For ex: time zone, the first organizer
retail chain of wrist watches in INDIA, started by leading watch manufacturers Titan, set

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up in all its stores, service centre’s with proper equipment and trained man power..
2.2. Company profile

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BIG BAZAAR SUPER CENTRE
Big Bazaar Hyper mart chain in India
Outlet 140 out lets
Parent group Future group
Owner Kishore biyani (CEO)
Founded 2001
Head quarter Jogeshwari, Mumbai
Industry Retail
Website www.bigbazaar.com
Tagline Is sesata aur accha kahin nahi
Big Bazaar:

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Mysore Big Bazaar Super centre was opened on 26th
September 2008. It is the 96th
Big
Bazaar of Pantaloon Retail [India] Ltd (Now, it has renamed as “Future Value Retail
Limited”). It has around 250 employees with an occupied space of 82,055 sq.ft and
catering to the needs of 13, 00,000 Mysoreans.
At Big Bazaar Super centre, Mysoreans can definitely get the best product at
better price. It sells variety of merchandise at affordable rates; the prices which it claims
are lowest in the city. Usually, the items are clubbed together for offers to customers and
it also offers weekend as well as monthly discounts.
At Big Bazaar Super centre one can a find variety of Departments as shown below.
 FOOD BAZAAR
 GENERAL MERCHANDISE
 APPARELS OR FASHION @ BIG BAZAAR
 NEW BUSINESS DEVELOPMENT
 DEPOT
 HOME BAZAAR
 NAVARAS
These departments are managed by two departments. They are
 OPERATOIONAL DEPARTMENT
 SUPPORTING DEPARTMENTS
Big Bazaar, a part of the future Group, is a hypermarket offering a huge array of
goods of good quality for all at affordable prices. Big Bazaar with over 140 outlets in a
different part of India is present in both the metro cities as well as in the small towns.
Big Bazaar has no doubt made a big name in the retail industry of India, moreover
shopping here is further made a memorable experience with the varied rates of discounts
on products as well as discount vouchers available in a variety of amounts, like INR
2000, INR 3000, INR 4000, INR 5000 and INR 10000 on all Big Bazaar products and
accessories.
2.2.1 Objectives of the company:

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1. To carry on the business of manufacturing, buying, selling, exchanging, altering,
importing, exporting, distributing or otherwise dealing in ready made garments an
hosiery made of cotton, silk, rayon, wool, nylon, man-made fabrics, polyester, canvas,
jute, leather, any other fabric coated with any chemical or not, or other preparation and
other fabric.
2. To carry on the business of manufacturing, processing, dyeing, bleaching, buying,
selling, exchanging, importing, exporting or otherwise dealing in yarns and textiles
made of cotton, silk, rayon, wool, nylon, man-made fibres, polyester, canvas or any
other substances.
3. To carry on trade or retail business in India through retail formats and including
but not limited to hyper markets, super markets, mega stores/discount stores, cash &
carry, departmental stores, shoppers plaza, direct to home, phone order and mail order,
catalogue, through internet and other forms and multi level channels for all products an
services, dealing in all kinds of goods, materials and items including but not limited to
food & provisions, household goods, consumer durables, jewellers, home
improvement products, footwear’s, luggage’s, books & stationery, health care and
beauty products, toys and music, computers & accessories, telecom products, agric
input products, furniture & furnishings, automobile & accessories, and acquiring and
running food, service and entertainment centres’ including but not limited to
multiplexes, cinemas, gaming centres, amusement parks, restaurants and food courts
and acquiring of land or building on lease or freehold or any commercial or industrial
or residential building for running and management of retail business and to acquire
flat
2.2.2 GROUP VISION AND MISSION:
· Group Vision
Future Group shall deliver Everything, Everywhere, Every time for Every Indian
Consumer in the most profitable manner
· Group Mission

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o We share the vision and belief that our customers and stakeholders shall be
served only by creating and executing future scenarios in the consumption
space leading to economic development.
 We will be the trendsetters in evolving delivery formats, creating retail realty,
making consumption affordable for all customer segments – for classes and for
masses.
 We shall infuse Indian brands with confidence and renewed ambition.
 We shall be efficient, cost- conscious and committed to quality in whatever we do.
 We shall ensure that our positive attitude, sincerity, humility and united
determination shall be the driving force to make us successful.
· Core Values
 Indian’s: confidence in ourselves.
 Leadership: to be a leader, both in thought and business.
 Respect & Humility: to respect every individual and be humble in our conduct.
 Introspection: leading to purposeful thinking.
 Openness: to be open and receptive to new ideas, knowledge and information.
 Valuing and Nurturing Relationships: to build long term relationships.
 Simplicity & Positivity: Simplicity and positivity in our thought, business and
action.
 Adaptability: to be flexible and adaptable, to meet challenges.
 Flow: to respect and understand the universal laws of nature.
2.2.3 The variety of product range in Big Bazaar Super centre:
This large format store comprise of almost everything required by people from
different income groups. It varies from clothing and accessories for all genders like men,
women and children, playthings, stationary and toys, footwear, plastics, home utility
products, cosmetics, crockery, home textiles, luggage gift items, other novelties, and also
food products and grocery. The added advantage for the customers shopping in Big
Bazaar is that there are all time discounts and promotional offers going on in the Big
Bazaar on its salvable products.

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Future group (India) Limited, is India’s leading retailer that operates multiple retail
formats in both the value and lifestyle segment of the Indian consumer market.
Headquartered in Mumbai (Bombay), the company operates over 7 millions square feet of
retail space, has over 1000 stores across 53 cities in India and employs over 25,000
people.
The company’s leading formats include Pantaloons, a chain of fashion outlets, Big Bazaar
a uniquely Indian Hypermarket chain, food Bazaar, a supermarket chain, blends the look,
touch and feel of Indian bazaars with aspects of modern retail like choice, convenience
and quality and Central, a chain of seamless destination malls. Some of its other formats
include, Depot, Shoe Factory, Brand Factory, Blue Sky, Fashion Station, all, Top 10,
bazaar and Star and Sitara. The company also operates an online portal, futurebazaar.com.
Big Bazaar is not just another hypermarket. It caters to every need of your family. Where
Big Bazaar scores over other stores is its value for money proposition for the Indian
customers.
At Big Bazaar, you will definitely get the best products at the best prices - that’s what
they guarantee. With the ever increasing array of private labels, it has opened the doors
into the world of fashion and general merchandise including
Home furnishings, utensils, crockery, cutlery, sports goods and much more at prices that
will surprise you. And this is just the beginning. Big Bazaar plans to add much more to
complete your shopping experience.
Big Bazaar is a chain of hyper markets India, currently with more than
100 stores. It is owned by the Future retail India ltd, Future Group. It follows the business
model as Wal-Mart and has considerable success in many Indian cities and small towns.
The idea was pioneered by entrepreneur Kishore Biyani, the CEO of Future Group.

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Currently Big Bazaar stores are located only in India. Moreover the customer friendly
ambiance and the organized retailing of products also make Big Bazaar one of the
successful retail companies in India.
2.2.4 Future group
Future Group India was established in 1994 with a vision to provide diverse services in
Indian and Global markets. The business areas of Future Group cover BPO (Business
Process Outsourcing), New Media, Security Management, and Construction. Through
their strategic investment and services, the future of Future Group shows a rising star in
the business sky of India.
Future Group India was established in 1994 with a vision to provide diverse
services in Indian and Global markets. The
business areas of Future Group cover BPO
(Business Process Outsourcing), New Media,
Security Management, and Construction
. Through their strategic investment and
services, the future of Future Group shows a
rising star in the business sky of India.
Future group is one of the country’s leading business groups present in retail, asset
management, consumer finance, insurance, retail media, retail spaces and logistics. The
group’s flagship company, Future Group (India) Limited operates over 7 million square
feet of retail space, has over 1000 stores of its leading retail formats include, Pantaloon,
Big Bazaar, Central, Food Bazaar, Home Town, Ozone, Depot, future Money and online
retail format, futurebazaar.com.
Future group includes, Future Capital Holding, Future Generally India Indus league
clothing and Galaxy Entertainment that manages sports Bar, Brew Bar and Bowling Co
. Future Capital Holding, the group ‘s financial arm, focuses on asset management and
consumer credit. It manages assets worth over $1 billion that are being invested in
consumer-related brands and hotels.
The group’s joint venture partners include Italian insurance major, generally. French
retailer ETAM group. Us-based stationery products retailers, Staples Inc. and UK-based
Lee Cooper and INDIA-based Talwalkars, Blue Foods and Liberty Shoes.

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Future Group’s vision is to, “deliver Everything, Everywhere, Every time to every Indian
consumer in the most profitable manner.” The group considers” as a core value and its
corporate credo is- Rewrite rules, Retain values.
Future Group’s joint venture partners include, US-based stationery products retailer,
Staples and Middle East-based Axiom Communications.
The group’s flagship company, future Retail was awarded the International Retailer of the
Year 2007, by the US-based National Retail Federation, the largest retail trade association
and the Emerging Market Retailer of the Year 2007 at the World Retail Congress in
Barcelona.
Future Group believes in developing strong insights on Indian consumers and building
businesses based on Indian ideas, as espoused in the group’s core value of ‘Indian’s.’ The
group’s corporate credo is, ‘Rewrite rules, Retain values.
2.2.5 FUTURE RETAIL:
The retails businesses of Future Group in India are divided into three main categories:
2.2.5.1 Future Value Retail India Limited:
The leading retail formats under this include:
o Big Bazaar
o Central
o Food Bazaar
o Home Town
o E Zone
o Depot
2.2.5.2 ORIGIN OF THE ORGANISATION:
Big Bazaar is a chain of department stores in India, currently with 75 outlets. It
is owned by the Future value Retail India Ltd Future Group. It works on the same
economy model as Wal-Mart and has considerable success in many Indian cities and
small towns. The idea was pioneered by entrepreneur CEO of Future Group. Currently
Big Bazaar stores are located only in India. It is the biggest and the fastest growing
chain of department store and aims at being 350 stores by the end of year 2010.

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Big Bazaar is not just another hypermarket. It caters to every need of your
family. Where Big Bazaar scores over other stores is its value for money proposition
for the Indian customers. Big Bazaar was founded by Kishore Biyani in the year.
At Big Bazaar, you will definitely get the best products at the best prices - that’s
what we guarantee. With the ever increasing array of private labels, it has opened the
doors into the world of fashion and general merchandise including home furnishings,
utensils, crockery, cutlery, sports goods and much more at prices that will surprise you.
And this is just the beginning. Big Bazaar plans to add much more to complete your
shopping experience
Future value Retail (India) Limited is India’s leading retailer that operates
multiple retail formats in both the value and lifestyle segment of the Indian consumer
market. Headquartered in Mumbai (Bombay), the company operates over 7 million
square feet of retail space, has over 1000 stores across 51 cities in India and employs
over 25,000 people.
The company’s leading formats include Pantaloons, a chain of fashion outlets,
Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain,
blends the look, touch and feel of Indian bazaars with aspects of modern retail like
choice, convenience and quality and Central, a chain of seamless destination malls.
Some of its other formats include, Depot, Shoe Factory, Brand Factory, Blue Sky,
Fashion Station, all, Top 10, bazaar and Star and Sitars. The company also operates an
online portal, futurebazaar.com.
A subsidiary company, Home Solutions Retail (India) Limited, operates Home
Town, a large-format home solutions store, Collection i, selling home furniture
products and E-Zone focused on catering to the consumer electronics segment.
Pantaloon Retail was recently awarded the International Retailer of the Year
2007 by the US-based National Retail Federation (NRF) and the Emerging Market
Retailer of the Year 2007 at the World Retail Congress held in Barcelona. Pantaloon
Retail is the flagship company of Future Group, a business group catering to the entire
Indian consumption space.
Future Group is one of the country’s leading business groups present in retail,
asset management, consumer finance, insurance, retail media, retail spaces and
logistics. The group’s flagship company, Pantaloon Retail (India) Limited operates

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over 7 million square feet of retail space, has over 1000 stores across 53 cities in India
and employs over 25,000 people. Some of its leading retail formats include,
Pantaloons, Big Bazaar, Central, Food Bazaar, Home Town, ozone, Depot, Future
Money and online retail format, futurebazaar.com.
Future Group companies includes, Future Capital Holdings, Future Generally
India Indus League Clothing and Galaxy Entertainment that manages Sports Bar, Brew
Bar and Bowling Co. Future Capital Holdings, the group’s financial arm, focuses on
asset management and consumer Credit.
Future Group’s vision is to, “deliver Everything, Everywhere, Every time to
Every Indian Consumer in the most profitable manner.” The group considers ‘Indian-
ness’ as a core value and its corporate credo is - Rewrite rules, Retain values.
2.2.6 Joint Ventures Companies
 Capital and Retail India
The group is a joint venture partner in Capital and Retail India, along with Singapore-
based Capital and Limited. The company provides retail management services to retail
properties owned or managed by various group companies and investment funds.
 Foot mart Retail
Foot mart Retail is a joint venture with Liberty Shoes and is engaged in the retailing of
footwear products in India.
 Planet Retail Holdings Ltd .
The group is a joint venture partner in Planet Retail Holdings Ltd., which operates sports,
lifestyle and leisure retail chain. It also owns the franchisee and distribution rights of
brands like Marks & Spencer, Guess, Debenhams and Puma in India.
 Future General India Life Insurance Company Limited
Future General India Life Insurance Company Limited (FGILICL) was incorporated on
October 30, 2006 to establish and conduct the business of life insurance in India, which
comprises of whole life insurance, endowment insurance, double benefit and multiple
benefits insurance etc. . . .

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 Staples Inc .USA
Staples, a Fortune 500 company is the world’s largest office products company and is
committed to making it easy for customers to buy a wide range of office products,
including supplies, technology, furniture, and business services. With over 2000 stores
across the globe and $27 billion in sales, Staples serves businesses of all sizes and
consumers in 27 countries. A staple invented the office superstore concept in 1986 and is
head quartered, outside, Boston. Staples Future Office Products Pvt. Ltd. was formed in
May ’07 with an aim to make it easy for Indian customers to run their offices by
providing over 7000 products covering the entire gamut of technology, stationery,
furniture.
 Blue Foods Pvt Limited
Blue Foods Private Limited specializes in niche multi cuisine restaurants across the
country. The company operates popular restaurants and food courts Cream Centre,
Bombay Blues, Copper Chimney, Spaghetti Kitchen, Noodle Bar, Gelato and The Spoon.
 Talwalkars Better Value Pvt Limited
Popularly known as Talwalkars, it is India's largest chain of health centres. It has 33
ultramodern branches across major cities in the country, with a membership of over
50,000
 Axiom Telecom LLC, UAE
Axiom Telecom is the largest and leading, authorized distributor and retailer for
international brands such as Nokia, Sony Ericsson, Samsung, Motorola, Thuraya and i-
mate in Middle East and Europe.
 Etam Future Fashions Limited
With a network of more than 3,500 sales outlets in 40 countries and regions, the Etam
Group is an international player in the women's fashion market with a turnover of Euro
960.2 Million in 2006.

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 Liberty shoes limited
Liberty Shoes Limited is the only Indian company that is among the top 5 manufacturers
of leather footwear in the world with a turnover exceeding US$100 Million.
 . Lee cooper
Founded in 1908, Lee Cooper is the oldest jeans company in Europe having a large
and enviable collection for men and
2.2.7 Major Milestones
1987- Company incorporated as Manz Wear Private Limited. Launch of Pantaloons
trouser, India’s first formal trouser brand.
1991- Launch of BARE, the Indian jeans brand.
1992 -Initial public offer (IPO) was made in the month of May.
1994 -The Pantaloon Shoppe – exclusive menswear store in franchisee format launched
across the nation. The company starts the distribution of branded garments through multi-
brand retail outlets across the nation.
1995-John Miller – Formal shirt brand launched
1997-Pantaloons – India’s family store launched in Kolkata
.
2001-Big Bazaar, ‘Is se sasta aur accha kahi nahin’ - India’s first hypermarket chain
launched.
2002-Food Bazaar, the supermarket chain is launched
2004-Central – ‘Shop, Eat, Celebrate in the Heart of Our City’ India’s first seamless mall
is launched in Bangalore.

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2005- Fashion Station - the popular fashion chain is launched all – ‘a little larger’ -
exclusive stores for plus-size individuals is launched
2006-Future Capital Holdings, the company’s financial arm launches real estate funds
Kshitij and Horizon and private equity fund Indivision. Plans forays into insurance and
consumer credit.
Multiple retail formats including Collection i, Furniture Bazaar, Shoe Factory, EZone,
Depot and futurebazaar.com are launched across the nation. Group enters into joint
venture agreements with ETAM Group and Generali.

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2.3 PRODUCT AND SERVICE PROFILE
a) Depot b)NBD (New Business Development
1)General books 1) Watches
2)Office stationary 2) Fashion Jewellery
3)Children stationary 3) Sunglasses
4) Film VCD’s & DVD 4) Car audio systems
c) Mobile Bazaar: d) Shringar
1) All kinds of mobile handsets ranging 1) Bangles
from Rs 1000 to Rs 25000 of different 2) Jewellery sets
company 3) Bracelets
2) All mobile accessories 4) Hair Accessories
3) All major prepaid sim cards 5) Bindies
4) All post paid connections 6) Chins
5) Cordless phones & landline phones.
e) Plastics, Utensils, Crockery (PUC)
Plastics: Utensils:
1) Buckets 1)Plates, Bowls, Glasses
2) Casseroles 2) Non stick Cookware’s
3) Containers 3) Kitchen Tools
4) Boxes 4) Tiffin Boxes
5) Flasks
6) Bowls
7) Jugs & sippers
8) Bottles & Mugs

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Crockery: f) Luggage
1) Crockery cutlery 1)Travel bags
2) Table Materials /Napkins 2) Trolleys
3) Dinner sets 3) School & College Bags
4) Wine, Juice Glasses 4) Ladies purse & bags
5) Suitcase
g) Ladies apparels h) Men’s apparels
1) Sarees 1)Formal Shirts & Pants
2) Dress Materials 2) Casual Shirts & Pants
3) Under garments 3) Party Wears
4) Nightwear 4) Fabrics [cut pieces]
5) Western wear’s 5)Other Accessories
6)Suits & Blazers
7) Ties
8) Jeans Pants
9)Belts, Handkerchiefs
10)Ethnic wears
i) Infants Section: j)Toys Department
1) Shirts, 1)Soft Toys
2) Baniyans, 2) Board games
3) Jhabas 3) Dolls
4) Vests 4) Educational toys
5) Bibs feedings 5) Remote Cars , bikes
6) Bed items 6) Sports items: Cricket bats, balls, badminton & tennis
7) Baba suits, Frocks rackets, hockey bats etc
8) Diapers, Pampers 7) Cycles
9) Other baby accessories

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k) Footwear Department: l)Furniture Bazaar:
1) Sports shoes 1)Dining Table
2) Casual shoes 2) Bedroom Accessories
3) Formal shoes 3) Hall Accessories (Sofa sets, Chairs,
4) Men’s sandals Tables etc)
5) Ladies sandals 4) Mattresses
6) Ladies casuals 5)Computer Table
7) Ladies Fancy slippers 6)Wardrobe, Almirah etc
8)Children shoes
m)Food Bazaar
Beverages: Staples Dept:
1)Soft drinks, 2)Mineral water, 3) 1)Dals, Rice, Wheat, Ragi etc
Health drinks, 4) Fruit Juices 2) Atta, Rava items, Sugar, Salt etc
Fruits & Vegetables: 3) Cooking Oils, Masala items
All kinds of fruits and vegetables at the 4) Dry fruits
lowest price. 5) Ready to cook foods & mixes
n) Process Dept: o)Electronic Bazaar
1)Breakfast Cereals 1)Televisions, DVD Players
2) Ready to eat 2) Home Theatre Systems, Audio
3) Corn flakes, Chips, Soups, Bread Systems
items, Pickle 3) Refrigerators
4) Instant mixes 4) Washing Machines
6) Spreads 5) Microwave Owen
6) Mixers, Irons & Grinders
This is complemented by cafes, food stalls, entertainment, personal care and various
beauty related services. Promotions and events are an integral part of Big Bazaar service
offering to customer, which helps Big Bazaar create a unique shopping experience.

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2.4 ORGANISATION STRUCTURE:
Big Bazaar organization is headed by our Managing Director. It follows an
inverse pyramid structure; as a result decisions are taken closest to the point of
customer action. Sales executive are encouraged to think customer first. They are
empowered to run their respective departments like ‘small business owners’
2.4.1 FUNCTIONAL DEPARTMENT:
Board of Directors
Managing Director
Head
Head Head
Head –
Retail Risk
Projects OperationsBusiness Manage
ment
Head Head- HeadChief-Finance
Marketin human information& Company
g resources technology

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2.4.2 Organization Structure of Big Bazaar Super centre
Dept
manager
Asst dept,
manager
Store manager
Asst store manager
Human
resource
manager
Inf
o
Sal
es
ma
nag
Customer Visual
merchandisingservice dept
Team
leader Asst Dm
Team member
Secur
ity
Administratio
n
Maintenanc
e
er
Cashi
ers
Marketing
House keeping

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2.5 Competitor:
Big Bazaar faces competition from other retailers of similar products and
services. These include stand alone stores in the organized and unorganized sector, as
well as other chains of stores including department stores. Big Bazaar focus on
offering customers a vast variety of products and services catering to their diverse
requirements and needs. It is because of this and the service and ambience that Big
Bazaar offer, that Big Bazaar believes Big Bazaar have been able to create a
differentiation in the mind of the customer vis-à-vis our competitors where similar
products and brands are available.
2.5.1 Competitors for Big Bazaar:
1. Food World
2. Reliance Fresh
3. More
4. Other stores
2.6. AWARDS AND RECOGNITION
2009 CNBC Awaaz Consumer Awards 2009, Images Fashion Forum 2009, Coca-Cola
Golden Spoon Awards 2009
2008 Indian Retail Forum Awards 2008, The INDIASTAR Award 2008 , Retail Asia
Pacific 500 Top Awards 2008, Coca-Cola Golden Spoon Awards 2008, The Reid &
Taylor Awards For Retail Excellence 2008
2007 Images Retail Awards, National Retail Federation Awards, World Retail Congress
Awards, Hewitt Best Employers 2007, PC World Indian Website Awards Reader’s Digest
Trusted Brands Platinum Awards.
2006 Retail Asia Pacific Top 500 Awards, Asia money Awards, Ernst & Young
Entrepreneur of the Year Award, CNBC Indian Business Leaders Awards, Lakshmipat

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Singhania – IIM Lucknow National Leadership Awards, Images Retail Awards , Readers’
Digest Awards , CNBC Awaaz Consumer Awards, Reid & Taylor Awards for Retail
Excellence
2005 Images Retail Awards 2005, DAKS London
2004 Images Retail Awards 2004, Reid & Taylor and DLF Awards
2003 Indian Express Award
2.6.1 MYSORE BIG BAZAAR SUPER CENTRE ACHIEVEMENTS
 Best store award in south zone two times
 Best look and feel
 Best electronic department
 The significant features of Big Bazaar Super centre:
Shopping in the Big Bazaar is a great experience as one can find almost
everything under the same roof. It has different features which caters all the needs of
the shoppers. Some of the significant features of Big Bazaar are:
· The Food Bazaar or the grocery store with the department selling fruits and
· vegetables.
· There is a zone specially meant for the amusement of the kids
· Furniture Bazaar or a large section dealing with furniture’s
· Electronics Bazaar or the section concerned with electronic goods and cellular
phones.
· FutureBazaar.com or the online shopping portal which makes shopping easier as
one can shop many products of Big Bazaar at the same price from home.
· Well regulated customer care Telecalling services.
· Will provide better offers on all its products in the entire year.
Big Bazaar is not just another hypermarket. It caters to every need of your
family. Where Big Bazaar scores over other stores is its value for money proposition for
the Indian customers.

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At Big Bazaar, you will definitely get the best products at the best prices - that’s
what we guarantee. With the ever increasing array of private labels, it has opened the
doors into the world of fashion and general merchandise including home furnishings,
utensils, crockery, cutlery, sports goods and much more at prices that will surprise you.
2.7 SWOT ANALYSIS:
 Strengths: -
· EDLP [ Every Day Low Pricing]
· Point of Purchase promotions
· Experienced marketing team & executive staff.
· Strong culture, ethics and values are followed
· Emphasis on providing total customer satisfaction
· High brand equity in evolving retail market
· State-of-the-art infrastructure of big bazaar outlet
· Point of purchase promotion to increase the purchase
· Variety of stuff under single roof
· Increase sales with the help of healthy competition between different department
· Maintains good employer-employee relation
 Weakness:-
· Failing revenue/ Sq.ft
· Unable to meet store opening targets.
· General perception.
· Unavailability of popular brand items with regard to clothing.
 Opportunities:-
· Population of the country is growing where the scope of market is kept on
increasing for the retail sector.
· Organized Retail, presently nearly 5% in India so it acts as a great opportunity to
the organization for its growth.
· Evolving consumer preferences.

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· Economy is developing as the employment opportunities are increasing and the
income of the people is also increasing which increases life standards of people.
 Threats:-
· Stiff Competition
· Advancement of technology day by day.
· Government policies.
· Unorganized Retail sector
· Foreign direct investment cause more problems in future because of that many
mergers and acquisition are happening in Indian retail sector

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REVIEW OF LITERATURE
Merchandise mix and the store envirnoment present in any retail store greatly
influences the customer satisfaction level and the customer perception towards that store.
Merchandising is one of the hot issue in todays retail competition world which is very
important for all the retail store to follow that.
This study was done to know that, do customers are really satisfied with the
merchandising Mix present in the Big bazaar and also to find out how the store
envirnoment influences the shopping behaviour of the customer and to know which
section in the Big bazaar have good merchandising mix and to know how the store
environment can be improved.
 Role of analysis:
1). The merchandising mix i.e. product variety , assortment and units are neutrally
satisfied the customer .
2). Customer does not finding all the brands that they expected in the Big bazaar
especially in the apparel section.
3). Customer are more satisfied with the merchandising present in the food bazaar and
house hold utensils.
4). Customers shop more in food bazaar than any other section.
5). The store envirnoment like fixtures, fitting rooms , rest rooms , customer movement
have to improved to increase the customer satisfaction level.
6). The customer are dissatisfied with the external environment like parking areas.
7). The customers are more satisfied with internal environment than the external
environment.
3.1. MERCHANDISING:

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The primary function of retailing is to sell merchandise. One of the most aspects of
the retail business is to decide the merchandise mix and quantity to be purchased.
Merchandise management is the process by which a retailer attempts to offer the right
quantity of the right product at the right place and time while meeting the retail firm’s
financial goals. Merchandise management is the analysis, planning, procurement,
handling and control of the merchandise management. Merchandise analysis expects
retailer’s to identify the target segment prior to determining their needs in order to buy the
required merchandise.
Merchandise planning consists of establishing objectives and devising plans for
obtaining merchandise well in advance of the selling season. Merchandise control
involves designing the policies and procedure in order to determine whether the stated
objectives or goal have been achieved. Planning is the process of establishing
performance guidelines, whereas control is the process of checking how well a
management is following those guidelines. The objectives range from the corporate
strategies objectives in the micro level objectives regarding the merchandising
assortment, stocking, and re-order.
The merchandising mix represents the full range of mixture of products a retailer
offers to its target consumers. Developing the merchandising mix provides a retailer with
one of the means to segment the total market and appeal to a select group of consumer
segments.
Merchandise mix management covers decisions on a host of key parameters, such
as merchandise variety, assortment, and support. This would lead to an appropriate
combination of product lines, product items, and products units.
Merchandising variety is the number of different products lines that a
retailer stocks in the store. Merchandising assortment refers to the number of different
product items, the retailer stocks within a particular product line. Merchandise support
deals with the planning and control of the number of units the retailer should have on
hand to meet the expected sales for a particular product.
The merchandising mix represents the full range of mixture of products a retailer
offers to its target consumers. Developing the merchandise mix provides a retailer with

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one of the means to segment the total market and appeal to a select group of consumer
segment.
Merchandise mix management covers decisions on a host of key parameters, such
as merchandise variety, assortment, and support. This would lead to an appropriate
combination of product lines, product items, and products units. Merchandise variety is
the number of different product lines that a retailer stock in the store. Merchandise
assortment refers to the number of different product items the retailer stocks within a
particular product line.
Merchandise support deals with the planning and control of the number of unit the
retailer should have on hand to meet the expected sales for a particular product.
Merchandise budget is a financial tool for planning and controlling the retailers
merchandise inventory investment.
Merchandising mix
Variety Assortment
Support
3.1.1 CRITERIA OF MERCHANDISE CLASSIFICATION:
1. Unit value
2. Significance of each individual purchase to the customer
3. Time and effort spent in purchasing by consumers
4. Rate of technological change( including fashion change)
5. Technical complexity

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6. Consumer need for service(before, during or after the sale)
7. Frequency of purchase
8. Rapidity of consumption
The variety of the merchandising mix refers to the number of different
merchandise lines that the retailer stocks in the store or department. Such lines are
men’s wear, women’s wear, children wear, clothing, toys, appliances, and house
hold goods.
3.2. STORE ENVIRONMENT:
Store environment is critical to a retailer, because it directly affects consumers''
total shopping experience. It is also a determining factor in affecting consumers'' store
choice decision for shopping. Hence, the management of the physical environment is
considered as an important element in contributing to retail financial success and a
valuable shopping experience for the customer.
The store ''atmosphere'' is defined as the effort to design buying environments to
produce specific emotional effects in the buyer than enhancing purchase probability. In-
store environment stimuli are positively related to the level of pleasure experienced in the
store. Pleasure refers to the degree to which the consumer feels good and satisfied in the
store environment. Satisfaction can help consumers to identify that a store is worthy of
their loyalty.
Atmospherics is referred to as a store’s physical characteristics that are used to
develop the retail unit image and draw customers. It describes the physical elements in a
store’s design that appeals to consumers and encourages them to buy.
Atmospherics can be classified in terms of exterior and interior atmospherics.
Exterior atmospherics refers to aspects like store front, display windows surrounding
businesses, look of the shopping centre, etc. It is considered important to attract new
customers. Interior atmospherics refers to aspects like lighting, colour, dressing room
facilities, etc. It helps to enhance the display and provides customers with relevant
information.
3.2.1. Exterior Atmospherics :
Exterior atmospherics refers to all aspects of physical environment found outside the
store. It significantly affects store traffic and sales. It is generated by all aspects of the

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store exterior. Store exterior includes store entrances, main board, marquee, windows,
lighting, etc. Storefront of very retail store exhibits a specific image such as traditional,
up market, or discount store to the shopper. In competitive markets, retailers can use the
storefront as a strong differentiating factor and attract and target new customers.
Storefront is an important decision criterion for the new shoppers in unknown
retail markets. Even many small town retailers try to balance and harmonize the various
aspects of their store design including the storefront with consistent colours and nature of
wood work.
· Elements of Exterior Atmospherics:
 Store front
 Visibility
 Marquee
 Uniqueness
 Entrances
 Surrounding stores
 Display windows
 Surrounding area
 Height of building
 Parking facilities
 Size of building
Four key aspects of exterior atmospherics retail store entrance, display windows,
marquee or signboard, and parking facilities – are discussed below.
3.2.2 Interior Atmosphere:
Interior atmospherics refers to all aspects of the physical environment found inside
the store. Interior atmospherics affects sales, time spent in the store, and approach/
avoidance behaviour of the target segment. Point-of-purchase interaction and retail unit.
Some key ingredients of interior atmospherics are flooring, music, interior store design,
level of cleanliness, etc. The layout and design of a retail centre and store (e.g., traffic
flow, allocation of floor space, layout of merchandise, passages, aisle, traffic patterns,
etc.) have been found to affect unplanned purchases and perceptions of price value.
A store’s physical environments have an influence on shopping behaviour of

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customers through mediating emotional states. The retail unit environment contains
various stimuli that might be perceived by the customer’s senses and each stimulus offer
many options with regard to shopping behaviour. For example, store music varies by
volume, tempo, pitch and texture, and by the specific songs played. In addition, various
individual stimuli can be combined to create a unique atmosphere.
Interior Store Design Conventional retailers design their stores in ways that produce
specific emotional effects on shoppers, which in turn influence their shopping behaviour
in favour of the retail store. Gosh (1994,) defines retail atmosphere as the psychological
effect of feeling created by a store’s design and its physical surroundings. Furthermore,
retail store image is one of the most powerful components of retail positioning strategy
and one of the most powerful tools in attracting, influencing, and satisfying consumers. A
retailer or manager is expected to design or redesign a store, with an objective of
influencing customer’s preferences, buying decisions, and shopping behaviours.
Retail store design covers store layout and space planning details issues. It is a
well-known fact that store layout decisions certainly determine the issue of the amount of
time that customers spend for shopping.
Interior design of stores is evolved by an intelligent combination of the following
factors:
 Flooring
 Colours
 Lighting
 Scents, sounds
 Fixtures
 Wall textures
 Temperature
 Width of aisles
 Dressing facilities
 Vertical transportation
 Dead areas
 Personnel
 Self – service
 Merchandise
 Prices (levels and displays)
 Cash register placement

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 Technology/modernization
 Cleanliness
3.2.3 Store Layout:
Store layout refers to the interior retail store rearrangement of departments or
groupings of merchandise. It is important of entailers to evolve a customer-friendly
layout. This involves paying adequate attention to factors such as expected movement of
the customers visiting the store and space allotted to customers to shop, and making
adequate provision for merchandise display. These concerns are important as they
contribute to the capital cost of the retail firm and also the overall image of the store.
Customer-friendly store layout is likely to motivate the shoppers to move around
the store and shop more than what they had planned for. In India, many of the
independent retailers have no or limited provision for customer movement within a store.
Merchandise is displayed on the shelves and some beyond the vision of the customers.
These are provided to them across the counter on request. For some of the smaller
stores, at times, counters are placed at the store entrance. This is very common practice
with kirana stores, garment stores, and medical stores. An example of such a store is
Subhiksha. It reduces operational cost, wastage of space, and theft. This is in consonance
with their strategy of providing merchandise at low prices to their customers.
On the contrary, many organized retail firms provide sufficient space within the
store for customers and create a layout to facilitate a specific pattern of traffic movement.
In most of the stores customers expect comfortable space for movement and selection of
goods they wish to buy or evaluate. Store layout depends on the kind of merchandise
display planned by the retail management within the store.
The placement of racks and shelves within the store determines the natures of
space left for the customers to enjoy and organize their shopping. Too many racks and
Shelves in the store placed in a disorganized manner confuses the customer, makes it
difficult for him to locate a particular merchandise, and hinders the movement of sales

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people and customers.
Ambient and social elements in the store environment are more likely to affect
consumers to make inferences about merchandise and service quality. The ambient
factors of a store refer to the background character of the environment that tends to
influence consumers at a subconscious level; this includes elements such as temperature,
lighting, music etc. Ambient conditions are especially noticeable to consumers.
Undesirable ambient conditions can cause dissatisfaction if the attention of the consumer
is heightened.
The store design factor such as functional elements that include layout,
merchandise display, architecture, materials and colours can contribute to customers
purchase decision. The social factor also plays an important role where ''service manners
of sales people'' as well as ''number of people in the store'' are considered important.
The services are intangibles, therefore their quality is difficult to be evaluated by
the client and building a strong brand image is a challenging task. The services are
distributed using diverse channels such as: company retail stores, dealers, franchise.
The service Companies are interested in the environment of the location, not only
to increase sells but also in order to boost the image of the company. The excitement that
a retail store induces to a client can modify the perception of the brand. The client values
more a brand that distributes its services in a luxury, high-tech retail environment than a
discount store. In this paper we intended to investigate the techniques that a service
company is using to enhance the brand image in retail Location. For this purpose, the
various aspects of the retail store design and environment were analyzed in connection
with the customer-based brand Equity model. This original association will offer the
services companies’ new Perspectives on how to leverage brand image.
The design and environment of the retail store represent the aggregate elements
which determine the style of the material framework of the location and create a special
atmosphere for the client. The creation of a favourable environment is an art which
requires considerable financial and time efforts. Once created, the general atmosphere is
not easily modified.
To the service companies, the physical atmosphere and the manner in which

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operations are done by the front office staff play an important role in the creation of a
specific institutional image and in the creation of the experience the Client is going to
live.
The environment in which the service is marketed, highly Influences the
purchasing behaviour by representing:
a) A support to the Message transmitted to the public, in order to communicate the nature
and Quality of the proposed service;
b) A discriminating factor towards the competing companies.
c) An incentive aiming at achieving the desired objectives, through the use of colours,
materials, sound and locative effects. The environment in which services are marketed is
often considered by the client as a reflection of the quality of the company’s services,
Thus the Companies make efforts to stimulate this quality with the purpose of
acquiring a strong brand image. Consequently, the environment of the retail store
modifies the perception on the quality of the distributed services. The client attributes a
superior quality to products which are marketed in an opulent, luxurious location, as
opposed to those marketed in an environment which suggests a discount atmosphere
.Marketing specialists have looked.
To establish, to evidence the connection between services environment and clients’
behaviour. A known model is the one developed by Mary Jo Bitter, regarding services
environment, the “services cape” model. It describes the general atmosphere, space
organization and the functionality of signs and symbols.
As individuals tend to perceive these Dimensions in a global perspective, the key to
effective scenery stands in making these dimensions suitable and interconnecting them,
Following the contact to the general scenery, a series of internal reactions result
, respectively, cognitive reactions such as the perception of quality, establishing
categories, emotional reactions such as feelings or attitudes and psychological reactions:
pain, comfort. These interior reactions give birth to behaviours such as avoiding a too
crowded supermarket or, on the contrary, spending an extra sum of money to chose a
mobile phone, in a retail store of a mobile phone company.

· Ambiance dimension Internal responses Behaviours
Exterior design:
Architectural
style;Parking;
Label.
Interior design:
Aspect of walls, Ceiling and
floor;Illumination of the store,
Sound
background,Locati
ve elements,
Interior temperature. Space organization and functionality,
 Location;
 Equipments;
 Furniture. Signs, Symbols
 Indications;
 Signalling;
 Decorations.
Cognitive:
 Beliefs;
 Classifications;
 Symbols.
Emotional:
 Feelings;
 Attitudes.
Psychological:
 Suffering;
 Comfort;
 Well-being.
Closeness:
 Affiliation;
 Exploring;
 Satisfaction.

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Within our research approach we will analyze the manner in which the retail store
environment helps in the creation and stimulation of the Company’s brand image.
The elements of the general atmosphere are implemented by companies with the
immediate purpose of creating a pleasant atmosphere and of boosting Sales, and aim, in a
smaller extent, ambitious objectives such as the correlation with the dominant values of
the brand. However, if they are properly used, the elements of the general Environment
can contribute to the leverage of brand image. Building a brand image is a difficult,
complex, sensitive process. For our study we will use the customer- based brand equity
model. The CBBE model approaches brand value from a customers’ angle.
The basic assumption of this model is the fact that brand power is based on what
customers have learnt, felt, seen and heard about a brand, following their experience with
brand.
Respective brand along the time In other words, brand power lies in the
consumers’ mind Keller defines the customer-based brand assessment as the
differentiated effect label knowledge has on consumer’s response regarding the marketing
activities of the respective Company. Building a successful brand from the angle of the
CBBE model is accomplished in a series of four stages, the passing from one stage to
another occurring when the objectives.
3.2.4 Previously had in view have been reached the four stages are :
• Clients must know the brand, to associate it with a product or service (brand
identification);
• Clients must be aware of all the brand senses by associating tangible and
intangible elements with certain properties (brand significance);
• Obtaining the desired response from the clients (reaction towards the brand);
• Turning this answer into an intense, active, loyal reaction between customer and brand
(brand connection).
The CBBE model may be represented under the form of a pyramid; the left side
represents a more rational way as regards brand building, while the left side represents a

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more emotional approach. The most powerful brands have been consolidated in both
ways.
Resonance
(Loyalty, Commitment, community)
Reasoning
(Consideration, quality, Credibility, superiority)
Feelings
(Love, fun, security, Social acceptance)
Performance
(Basic characteristics, Reliability, service efficiency, Design, price)
Imagery
(User profile, personality and values, purchasing experience)
Brand recognition
(Associations, classifications, identifications)
3.2.5 Impact of exterior design Elements:
This category includes exterior Design elements, interior design elements and the
decoration of the retail store category of exterior design elements there is the architectural
style of the building, the size of the building, the exterior colour, the material of the
exterior walls and other signs, the façade of the store, the parking lot, the space in front of
the store.
3.2.6 Architectural style and exterior:
The location of marketing a service must find a place on the more and more
crowded streets of the great cities or within commercial galleries in supermarkets.
Consequently, in both Cases the predominant pattern is that of renovated buildings, with
modern glass facades having a double purpose: to create the impression of modern and, at
the same time, to contribute to the increase in services tangibility, through the view of the
way in which operations proceed inside. The possibilities of personalization are limited in
this field by the existing urbanism regulations.
The imposing presence of the services company’s logo and its name can be
present or not. If possible, the activity can occur at the ground floor of a historic building,
having an architectural style specific for a certain period, which confers an extra charm.

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From the point of view of the CBBE model, the architectural style and the exterior
aspect contribute to the formation and strengthening of the feelings towards a specific
brand: it deals with social approval which consumers receive following their presence in a
recently opened store or in a fashionable restaurant. Moreover, the brand also obtains a
positive answer from the part of rational arguments, in the sense that a modern location
can induce the appearance of quality and credibility. Furthermore, a remarkable logo can
contribute to brand recognition, as it helps customers to remember it every time they pass
by the respective retail store.
3.2.7 Parking lot:
When they exist, are sufficient and adequately disposed, parking lots may be ignored by
customers. However, if they are insufficient or if the access to and from them is done with
difficulty, clients may think whether to enter in contact with this retail store or with
another. Parking lots can be classified in the category of representations or of
performances. In the first case, the pleasant experience of shopping will make brand
selection process easier in. The second instance, the efficiency of solving a problem, of
satisfying an unsatisfied necessity determines the customer to positively consider,
appreciate a brand. As a rule, customers complain about parking lots to other customers,
more often than to those responsible with the retail store. Moreover, the working
personnel may not observe the lack of parking lots, as, being the first to arrive at work;
they block the lot during all program hours.
3.2.8 Interior design elements:
Interior elements are numerous and refer to multiple aspects: the aspect of walls,
of the ceiling and floor, as well as the materials with which they are covered/papered; the
manner in which the store is enlightened, the sound background, locative elements,
interior temperature,
These interior design elements help creating positive feelings towards the brand.
Some interiors may suggest a sensation of tranquility, relaxation, for instance the interior
of a spa, a recuperating, relaxation and massage centre decorated with numerous plants
and a cascade. Other brands suggest the possibility of entertainment, for instance
Disneyland.
The feeling of security, too, is enhanced in the case of a bank subsidiary monitored by
video cameras. In the case of existing flat screen TVs that present different programs,

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advertising spots or just ambient images, customers are induced a feeling of maximum
intensity living,
Which may generate loyalty, especially from the young? As services are
intangible, a good Way of making them tangible is through design and interior
atmosphere. From this point of view, customers look for brand meanings at the level of
performances, materialized through the interior style and design. Associated to certain
scenery, music may have a powerful effect on perceptions and behaviours. .
3.2.9 ROLE OF STORE ENVIRONMENT IN RETAIL STRATEGY:
 Enhances the image of the retail outlet
 Attracts new customers
 Generates excitement
 Facilitates easy movement inside the store
 Facilitates access to merchandise inside the store
 Ensures optimum utilization of retail space
 Ensures effective and desired presentation of the merchandise
 Reduces product search time for the customer
 Reinforces the marketing communication of the outlet
 Influences the service quality experience.
3.2.10 Immediate effects of retail unit environment:
1). Pleasure/ displeasure: is the termed as effectual reaction of the shoppers in service
environment. This entails whether shoppers have perceived the environment as enjoyable
or unenjoyable.
2). Arousal: assesses the extent to which the environment stimulates the shoppers in a
particular environment. Playing slow instrumental music may result in subdued activity
level from customer in service settings such as restaurants, compared to no music or fast
music
3). Dominance: that concerns whether customer feel dominant or submissive in the
service environment. This is a feeling that could be related to environmental aspects like
the height of the ceiling that makes one feel small.

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Methodology
4.1. TYPE OF RESEARCH:
Descriptive method has been used in this research for the collection of data .As
the research is related to the study of consumer behaviour, which can more effectively be
studied through direct question, experimental research will not be much effective. Also,
considering the constraint, descriptive research is the most suitable design for this
research.
4.1.1. Qualitative research
Qualitative research allows you to explore perceptions, attitudes and motivations
and to understand how they are formed. It provides depth of information which can be
used in its own right or to determine what attributes will subsequently be measured in
quantitative studies. Verbatim quotes are used in reports to illustrate points and this brings
the subject to life for the reader. However, it relies heavily on the skills of the moderator,
is inevitably subjective and samples are small. Techniques include group

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discussions/workshop sessions, paired interviews, individual in-depth interviews and
mystery shopping (where the researcher plays the role of a potential student, etc in order
to replicate the overall experience).
4.1.2. Quantitative research
Quantitative research is descriptive and provides hard data on the numbers of
people exhibiting certain behaviors’, attitudes, etc. It provides information in breadth and
allows you to sample large numbers of the population.
4.1.3. Descriptive research:
Descriptive research is used to obtain information concerning the current status of
the phenomena to describe "what exists" with respect to variables or conditions in a
situation. The methods involved range from the survey which describes the status quo, the
correlation study which investigates the relationship between variables, to developmental
studies which seek to determine changes over time
.
 Statement of the problem.
 Identification of information needed to solve the problem.
 Selection or development of instruments for gathering the information.
 Identification of target population and determination of sampling procedure.
 Design of procedure for information collection.
 Collection of information.
 Analysis of information.
 Generalizations and/or predictions.
4.2. SOURCE OF DATA:
Data which is collected for the first time is called primary data. In the study
primary data includes the data which is collected from the customer directly with
interaction. The study includes data got with personal interaction.
4.2.1. Primary and Secondary data:

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The appraiser or market analyst must know what they are and what affects them.
All data used in appraisals and market studies should be current, relevant, reliable,
accurate, and conceptually correct. This article presents a discussion of each of these
terms and their significance in the context of the data and in the analysis. The article then
discusses the nature of potential errors that can affect primary and secondary data. Several
categories of errors can exist. The analyst needs to be able to recognize the error,
understand its significance and evaluate the applicability of that data in the analysis.
Secondary data--Information from secondary sources, i.e., not directly compiled
by the analyst; may include published or unpublished work based on research that relies
on primary sources of any material other than primary sources used to prepare a written
work.
Secondary data has been gathered by others for their own purposes, but the data
could be useful in the analysis of a wide range of real property. In general, secondary data
exists in published sources.
Primary and secondary data are used in appraisals, highest and best use studies,
market analysis sections of appraisals, and full-scale market studies. A conceptual link
between these two types of data and their use appears in the "Levels of Study" discussion
presented in the Appraisal Institute's Course 520, "Highest and Best Use and
Market Analysis" and in Chapter 2 of Market Analysis for Valuation Appraisals, which is
published by the Appraisal Institute. A detailed discussion of this relationship appears
later in this paper.
4.3. Methods for Obtaining Primary Data:
The analyst can obtain primary data through the process of direct observation or by
explicit questioning of people.
· Observation:
Observation as a data gathering technique focuses attention on an observable fact
or inanimate entity such as a building or on an observable action or behaviour by an
animate entity such as a homeowner or shopper. Observation of an inanimate object is the
easier of the two activities, but it is not free from error or misinterpretation.
· Sampling:

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Sampling is a process of learning about the population on the basis of which
sample is drawn. A sample is a subset of a population unit.
· Sample Design:
Sampling is a practice a researcher uses to draw data on people, places, or things to
study. Sampling allows statisticians to draw conclusions about a whole by examining a
part. It enables us to estimates characteristics of a population by openly observing a
portion of the entire population. The whole that the researcher wants to know something
about is the population is called a sample.
· SAMPLING TECHNIQUE:
The sampling technique used in the study includes both simple random sampling as well
as judgment sampling.
Respondent Size: 100
Tool for data collection: Structured questionnaire
Geographical area: around big bazaar, & those who are enter the store.
4.4. Data collection instrument
The primary data collection instrument for the survey is self administrated and
structured questionnaire which consists of preference and scaling questions. This method
of data collection is quite popular, particularly in case of big enquires. The questionnaire
consists of close-ended and open ended questionnaire.
The study includes questionnaire of 17 questions to determine the store
environment of the Big Bazaar and the merchandising in the Big Bazaar.
4.4.1. The modes of data collection:
· Interviewing face-to-face
· Interviewing by telephone
· Remote self-completion e.g. postal, internet.
· Face-to-face and telephone interviewing are often computer-assisted (CASIC).
· The amount
· The complexity

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· The quality of the data they can collect
· Interviewing is the most powerful mode in all these respects.
· But interviewing, particularly in the field, is also by far the most expensive.
· Choosing modes of data collection is a fundamental survey design decision.
· When survey aims are being defined in detail, strengths and limitations of modes
must be kept in mind.
DATA ANALYSIS AND INTERPRETATION
Questionnaire to the customer who shop at the store:
1. Do you frequently visit shops at Big Bazaar super
centre? Table: 1
Response No of customer
Yes 72
No 28
Chart 1:

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Inference:
From the above chart we can ascertain that majority of customers i.e., around 72% of
customers frequently visits to the store and 28% of the customer visits the store rarely.
2. How frequently do you shop at Big Bazaar super
centre? Table:2
Every week 16
Once in two week 24
Once in three week 34

Once in a month 26
Chart 2:
Inference:
From the above table we can analyze that the majority of the customer i.e. 34out of 100
customer visits store once in three week , followed by 26 customer once in a month. Thus
we can say that majority of customer visit big bazaar once in three week, may be during
weekends. We can conclude that the customer do not visit Big Bazaar for their petty daily
purchase, they are visit to other stores
3. Why do you shop at Big Bazaar super centre?
Table: 3
Reason No. of customers
Low price 42
Product variety 26
Quality 08
Location 24
Chart 3:

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Inference:
From the data collected we can determine that most of the customer visits the store by
perception that product are low price i.e. 42% and 26% for the product variety and 24%
for the location. From this we can say that Big Bazaar have expand their product
variety.and other 8% of the consumers are visit seeking the quality.
4. Do You feel that you find different variety of product’s in Big Bazaar super
centre?
Table: 4
Yes 69
No 31
Chart 4:

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Inference:
From the data collected , we can conclude that majority of the customer that is 69
customer out of 100 customer said that they find different variety of product in Big
Bazaar and 31 customer said they don’t.
5. Do you find the specific brand that you look in the Big Bazaar super
centre? Table: 5
Yes 57
No 43
Chart 5:

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Inference:
Here from the above pie chart, 57 customer said that they find specific brand that they
look in Big Bazaar and 43 customer said No, from this we can conclude that Big Bazaar
have different variety of product not that much variety of product and they have to rethink
about the brand available in their store and they have to expand their brand availability.
6. How much time do you spend while shopping at Big Bazaar super
centre? Table: 6
30-60 minutes 22
1-2 hrs 18
2-3 hrs 34

Above 3 hrs 26
Chart 6:
Inference:
From the chart , we came to know that 34 customer’s out of 100 customer shop up to the
period of 2-3 hour’s and by 26 customer shop up to the duration of above 3 hrs , this
means Big Bazaar have more product to shop.
7. Which section do you visit first when you enter Big Bazaar super centre?
Table: 7
Food bazaar 46
Apparels 16
Household utensils 28
Electronic section 10

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Chart 7:
Inference:
Most of the customer who visits to the Big Bazaar, would like to visit to the food bazaar
first which means it shows customer preference towards food bazaar and followed by
House hold utensils.
8. In which section do you spend more time while shopping?
Table: 8
Food bazaar 42
Apparels 19
Household utensils 29
Electronic section 10
Chart 8:

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Inference:
From the above chart , we can analyze that the customer spend more time in food bazaar
than any other section , which shows that food bazaar has different variety of product that
can customer buy. Next customers prefer households, next prefer to apparels, and lastly
electronic section.
9. Do you agree that this store has modern-looking equipment and fixtures?
Table: 9
Strongly disagree 06
Somewhat disagree 11
Neutral 31
Somewhat agree 47
Strongly agree 05
Chart 9:

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Inference:
From the above chart, we get to know that most of the customer is somewhat satisfied
with modern fixtures and equipment present inside the big bazaar.
10. This store has clean, attractive, and convenient public areas (restrooms, fitting
rooms).
Table: 10
Neutral 42
Somewhat agree 24
Strongly agree 10
Chart 10:

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Inference:
42 customers out of 100 customers are neutrally satisfied with the restrooms, fitting and
trail rooms, which mean Big Bazaar, can be improved more with theses aspects.
11. The store layout at this store makes it easy for customers to find what they need
Table: 11
Neutral 26
Somewhat agree 12
Strongly agree 08
Chart 11:

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Inference :
From the above that, we come to know that majority of the customer said that the store
layout is not up to the mark, i.e. they are not satisfied with the store lay out present in the
Big Bazaar.
12. The store layout at this store makes it easy for customers to move around the
store.
Table: 12
Neutral 28
Somewhat agree 41
Strongly agree 11
Chart 12:

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Inference :
From the data collected with this question, we come to know that may of the responses
was somewhat agree that, the store layout at this store makes it easy for customers to
move around the store.
13. Do you think, this store has good parking facilities?
Table: 13
Responses Number of customer
Yes 82
No 18
Chart-13

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Inference:
From the chart, we conclude that the most of the customer that is 82% are not satisfied
with the parking facilities.
14. How is the cleanliness/Hygienic of floor inside the
store? Table: 14
Excellent 30
Good 18
Ok 42
Bad 10

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Chart-14
Inference:
From the data collected with this question, 42out of 100 customer to respond about
cleaning of store is ok, 10 customer respond is bad, 30 customer is excellent, and 18
customer respond is good , the inside store cleanliness , so to improve the cleanliness
inside the store,
15. How is the internal environment of the
store? Table: 15
Excellent 42
Good 28
Ok 20
Bad 10
Chart-15

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Inference:
From the data collected with this question, we come to know that may of the responses
most of the customers responses is excellent, the inside store environment , but still to
improve the inside the store environment,
16. How satisfied are you with the background music played inside the store when
you are shopping?
Table: 16
It must 25
Good , can be played 43
sometimes ok 22
it is not needed 10
Chart-16

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Inference :
From the above chart, we can analyze that the customer prefer the playing the music is
good in during buy process. And 10out of 100 is respond is bad to playing music during
buying goods is to disturbing the customers minds.
17. How do you rate shopping in the Big Bazaar?
Table: 17
good for shopping 43
good environment inside big bazaar 39
Other 18
Chart-17

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Inference :
From this table and respones of the cutomer, out of 100, 43 customers are fell to enter
good shopping in supercentre, 39 customers fell good enviroment inside the bigbazaar
supercentre , and 18 customers fell other resons to enter the bigbazaar supercentre.
Findings and suggestions
FINDINGS
From the study done in Big bazaar on the merchandising and store environment, it was
possible various aspects some of them include:
· Big bazaar has following good merchandising mix
· People usually visit the store once in a week i.e. in weekends
· They have different variety of product in food bazaar and house hold utensils

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· But in apparels and in electronics section there are no variety of brands , which
means people expects more branded items in the store.
· Majority of the customers expects to have food court and gaming section in the
Big bazaar, which can be leads to increase the shopping duration.
· Most of the people who visits to the stores are of age group between 22-45 age
· The store environment in Big bazaar is neutrally satisfied to the customer
· The main dissatisfaction for the customer is in the billing section, which makes
them to wait long.
· The most of the customer who visits to the store are of lower middle class family.
· The Big Bazaar has no good parking area and convenient public areas. Especially
4 –wheelers parking,
The most of the customers who visits stores are having income between 1.5-3 lakhs.
· Inside the store employees interaction is very less with customers
· In men ware branded products is not available, it must available of branded
products to attract to customers.

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SUGGESTIONS
With the study done in big bazaar it was possible to determine the problem to weak
merchandising mix and store environment
· The following suggestion can be given to Big bazaar,
· Increase the brand variety in the store
· Keep the brands like Levis, Wrangler, Adida’s in the store.
· In the ladies apparels increase the new trendy clothes and branded clothes
· In the electronic section increase different type of product like mp3 players,
I-pods, new audio released CD’s, some good brands in mixer, iron box etc.
· The product assortment should increase in the house hold utensils.
· Store environment like hygienic should be increase.
· The restrooms, fitting rooms should be still more improved.
· External environment like parking area should be increase as most of customer
refuse to visit to the store mainly because of parking problem.
· Level parking can be installed.
· The billing time should be reduced.
· To improve home delivery service
· The sign boards to show restrooms and trail rooms should be visible good. and
customers wants more trail rooms,
· The movement of customer should be clearly defined.
· With these steps taken the customer satisfaction level can be improved.

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CONCLUSIONS
Advantages:
 Variety: Big Bazaar offers a wide variety of products of different prices and
different qualities satisfying most of its customers.
 Quality: Providing quality at low prices and having different types of products for
different income customers is another advantage.
 Price: As noted the prices and offers in Big Bazaar have been one of the main
attractions and reasons for its popularity. The price ranges and the products
offered are very satisfying to the customers.
 Location: The location of Big Bazaar has been mainly in the heart of the city or in
the out skirts giving a chance to both the City and the people living outside the
city to shop.
 Advertisements: Big bazaar has endorsed very popular figure like M S Dhoni and
other famous personalities which has attracted a lot of customers. This has
resulted in increase of sale and the outdoor advertising techniques have also
helped Big Bazaar.
 Middle class appeal: Considering the fact that there are a lot middle class
families in India, Big bazaar has had a huge impact on the middle class section of
India, the prices, quality and sales strategy has helped in getting the middle
income groups getting attracted towards Big Bazaar.
 Attractive sales: Big bazaar has been known for its great sale and great offers.
Big bazaar has had long lines of people waiting to get into the store for the sale.
Therefore, the sales that Big Bazaar has had has increased sales in a huge way due
to the sales and offers, thus this has been one of the main advantages of Big
Bazaar.

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Disadvantages:
 Store layout: The store layout and the assortment of goods is not the best at Big
Bazaar, as the quantity of goods sold is more the arrangement and assortment of
goods in the store is the greatest. Hence at times customers find it hard to find
what they require, this leads to dissatisfaction of customers.
 Lower quality of goods: As Big bazaar aims more toward the middle income
group, the quality of goods is not of the highest quality, and this is sometimes a
disadvantage as some would prefer better quality to the price, making customers
to search for different places.
 Does not appeal to the elite: As mentioned above, the main customers are middle
income and a few high income groups, The elite do not like to shop at Big Bazaar
as the quality of goods is lower and they would prefer a higher price and get a
better brand, this decreases sales from the elite class
 Not acclaimed for very good service: Big Bazaar is not known for high class
service. The staff recruited is not very well trained and the billing queues take a
long time to move, this irritates customers which makes them visit the store more
seldom
 Consumer Satisfaction: Long queues and lower quality leads to dissatisfaction of
customers. Due to factors mentioned above Big Bazaar shoppers are not always
satisfied, this is not a positive for the store.
· Big Bazaar, a part of the Future Group, is a hypermarket offering a huge
array of goods of good quality for all at affordable prices. Big Bazaar with
over 140 outlets in different parts of India is present in both the metro
cities as well as in the small towns.
· The customer get all kind of products in the Big Bazaar, i.e. they are
following good merchandising mix, but in some section like apparels they
have to keep different brands in order to attract more customer.

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· Big Bazaar can attract more customers by increasing the product variety,
product assortment.
· They can improve their customer satisfaction level, by providing netter
service like home delivery etc.
· We conclude that Big Bazaar has attracting more number with their
product variety and they also improve the satisfaction level of the
customer.
To improve the store environment and product verity, good merchandising mix
inside the big bazaar, to attract the customer, its helps to increase the sales, to
improve the good relationship between the employee and consumer, to provide the
good service to the customer and in the apparels section to increase the branded
goods it’s also increase the sales.

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BIBLIOGRAPHY
BOOKS:
1). PHILIP KOTLER, “The principles of marketing”, Tata Mc Grew-Hill Publishing
13Th
Edition, 2008, page 441-page457
2). Willian.D.perreault, Jr. “Basic Marketing” E.J.erom.e.mccarthy, 15th
Edition.
Pages-347, 351-354
3). A.SIVAKUMAR “Retail Marketing” Excel book’s publication, 1st
Edition
Page 91- page105
4). C.R.KOTHARI, “Research Methodology” New age international publication, 2nd
revised edition, page-2-4, 31-32, 15-67, & 95-105
Web sites:
Google Search.
www.pantaloon.com
www.Futuregroup.com
Slide share.com

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ANNUXERES
A STUDY ON STORE ENVIRONMENT AND MERCHANDISING AT BIGBAZAAR:
Dear respondent, I am Sukesha .H.K a student of H.R.INISTITUTE OF HIGHER
EDUCATION pursuing my 4th
semester MBA. As a part of our academic curriculum, I
am taking major concurrent project on “Store Environment and Merchandising Mix” I
kindly request you to co-operate in my research work by responding to the questionnaire
provided to you. The information gathered will be strictly confidential. We highly
appreciate your cooperation in this regard.
1. Do you frequently shop at big bazaar?
A). Yes ( ) B). No ( )
2. How frequently do you shop at big bazaar?
A) Every week ( ) B). Once in two week ( )
C). once in three week ( ) D). Once in a month ( )
3. Why do you shop at big bazaar?
A). low price ( ) B). Product variety ( )
C). quality ( ) D). Location ( )
4. Do you feel that you find different variety of product in big bazaar?
A). yes ( ) B). No ( )
5 How do you feel when entering the Big Bazaar?
A) good shopping ( ) B)good environment in side big bazaar( )
C) Other ( )
6. Do you find the specific brand that; you look in the big bazaar?
A) Yes ( ) B). No ( )

7. How much time do you spend while shopping at big bazaar?
A). 30-60 minutes ( ) B) 1-2 hrs ( )
C). 2-3 hrs ( ) D) Above 3 hrs ( )
8. Which section do you visit first when you enter to big bazaar?
A). Food bazaar ( ) B). Apparels ( )
C). Household utensils ( ) D). Electronic section ( )
9. In which section do you spend more time while shopping?
A). Food bazaar ( ) B). Apparels ( )
C). Household utensils ( ) D). Electronic section ( )
10. This store has modern-looking equipment and fixtures
A) Strongly disagree ( ) B) somewhat disagree ( ) C). Neutral ( )
D) Somewhat agree ( ) E) strongly agree ( )
11. This store has clean, attractive, and convenient public areas
(Restrooms, fitting rooms).
A). strongly disagree ( ) B). Somewhat disagree ( ) C). Neutral ( ) D).somewhat agree ( )
E). strongly agree ( )
12. The store layout at this store makes it easy for customers to find what they need
A). strongly disagree ( ) B). Somewhat disagree ( ) C). Neutral ( ) D). Somewhat agree ( )
E). Strongly agree ( )
13. The store layout at this store makes it easy for customers to move around the store.

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A). strongly disagree ( ) B). Somewhat disagree ( ) C). Neutral ( ) D). Somewhat agree ( )
E). strongly agree ( )
14. Do you think, this store has good parking facilities?
A). Yes ( ) B). No ( )
15. How is the cleanliness of floor inside the store?
A) Excellent ( ) B) good ( ) C) ok ( ) D) bad ( )
16. How is the internal environment of the store?
A) Excellent ( ) B) good ( ) C) ok ( ) D) bad ( )
17. How do you feel about playing music inside the store when you are shopping?
A) It must ( ) B) good, can be played ( ) C) sometimes ok ( ) D) it is not needed ( )
18. Your suggestion to the big bazaar for better improvement of store environment:
19. Please fill your personal information:
Name: ………………………….. Age: ………
Area: ………………………….
Contact no: …
Gender: a) Male ( ) b) Female ( )
Marital status: a) single ( ) b) married ( )
Occupation: a) student [ ] b) professional [ ]
c) Business man [ ] d) Home maker [ ]
e) Govt employee [ ] f) any other (please specify): ……………..........

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Annual Income:
1) Less than 150000 [ ] 2) 1.5 lakhs – 3 lakhs [ ] 3) 3 lakhs - 5 lakhs
4) More than 5 lakhs [ ] 5) none [ ]

Study on Store Environment and Merchandising Mix at Big Bazaar

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