Consumer perception of local store and supermarket in Indian retail industry

By

ACKNOWLEDGEMENTS

My thanks go out to all who have helped me complete this study and with whom this project may have not been possible. In particular, my gratitude goes out to friends, facilitator and family for extensive and helpful comments on early drafts. I am also deeply indebted to the authors who have shared my interest and preceded me. Their works provided me with a host of information to learn from and build upon, also served as examples to emulate.

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DECLARATION

I, (Your name), would like to declare that all contents included in this thesis/dissertation stand for my individual work without any aid, & this thesis/dissertation has not been submitted for any examination at academic as well as professional level previously. It is also representing my very own views & not essentially which are associated with university.

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ABSTRACT

This study is about the consumer perception of local stores and supermarkets in India. Many multiple-store operations began with a single, small retail store and then expanded in size and number into a small chain of supermarkets. Many local store operations did adequate business to secure niches in local markets but not enough to warrant expansion into chain operations. All of the chain supermarkets, however, are no longer in operation or owned by Indians. Only few supermarkets are still in the hands of Indians and they are vanishing. There were numerous conventional particular and timely factors that contributed to their rise and prosperity as well as their decline and passing. As this dissertation will detail many of the factors that facilitated the rise and prosperity of the Indian supermarkets were the same factors that contributed to the decline and passing of these operations. In other words, many operators were unwilling or unable to adapt to the rapid changes of the retail food industry. The questionnaire was used for the survey in order to determine the perception of the consumers about local stores and supermarkets.

TABLE OF CONTENTS

ACKNOWLEDGEMENTSII

DECLARATIONIII

ABSTRACTIV

LIST OF TABLESVII

CHAPTER 1: INTRODUCTION1

Background1

Significance of the study1

Theoretical framework2

Rationale (foundation)3

Research questions4

CHAPTER 2: LITERATURE REVIEW5

Introduction5

Retailing in India6

Differentiating local stores and supermarket8

Changing scenarios13

Moderator Variables and Shopping Motivations14

Strength of supermarket (price promotion, bulk buying)14

Perceived Behavioural Control18

Local stores and supermarkets18

Effects on local stores19

CHAPTER 3: METHODOLOGY21

Research Design21

Research Philosophy21

Research Process22

Instrument22

Data Collection Method22

Likert Scale23

Interview Questionnaire23

Research action plan24

Reliability and validity24

Ethical issues26

Research Limitations27

Informed Consent27

CHAPTER 4: DISCUSSION/FINDINGS29

Cross-tabs29

Independent sample t-test32

Interview results32

Supermarket environment33

Supermarket patronage35

Surpassing local stores36

CHAPTER 5: CONCLUSION38

Conclusion38

Recommendations39

Influence perception40

Consumer perceived value41

Research Limitations42

REFERENCES43

APPENDICES A47

Questionnaire47

APPENDICES B49

LIST OF TABLES

Cross tab Table 147

Cross tab Table 248

Cross tab Table 349

Cross tab Table 450

Cross tab Table 551

Cross tab Table 652

Cross tab Table 753

Cross tab Table 854

Cross tab Table 955

Cross tab Table 1056

Cross tab Table 1157

Cross tab Table 1258

Cross tab Table 1359

Cross tab Table 1460

Cross tab Table 1561

Descriptive statistics Table 1662

Independent sample t-test Table 1762

CHAPTER 1: INTRODUCTION

Background

Indian retail sector is expecting a gross of $427 billion in 2010 and $635 billion in 2015 (Monroe 2010, 209). India is, in fact, one of the fastest growing economies worldwide. India GDP gross domestic product (GDP) is growing at ...