FDI in Fashion Industry

Im sorry , that seems to be a very short term way of looking at things, what opening up the market usually does, is that it forces these small shop owners to either get their act together - fast ,  or fold up and get jobs with the larger organized giants.

The large retail brands will only be interested in Tier 1 and 2 cities for now.In these cities ,these giants will create more jobs than they will destroy. This is the only way things will  have to be if India really wants to be a serious global economic power. What is India supposed to do ? Defy the global economy and pretend that we are progressing by singing 'India shining' songs?

Tomorrow one of India's large retail giants might enter into international markets ,but that will never happen if we close up like this and refuse to grow and learn by taking on competition.

Having said that , the truth remains that all the small kirana shops will never be wiped out because in very small towns and villages, they are still the only type of retail outlets that work.

I believe the more FDIs come into the country will not only bring more about knowledge the latest fashion but also generate more revenue in the country. I think this should surely be done

Opening more FDI limits to the Retail industry will not only bring more money in the country but also it comes with a lot of knowldge and inputs to our existing sturcture. Retail as a organized industry is not so old in our country. However, seeing the past few year performance and growth of indian based retailers many regional players have joined the bandwagon. Though these regional and small players have succeeded in building there own market presence, they always have been seeking for more support in terms of financing, knowledge, brand building and customer loyalty. And her FDI can create more opportuinty for them.

all i can say is that the government is insensitive to the employment generation in the country.

it will undoubtedly have helped lot many people earn their breads.the govt. is neither taking

adequate steps in meeting the basic needs like naukri, nor it is allowing the private sector to do it.

anyways the govt has really disappointed us heavily.

Before I submit my in-favour argument ,would like to present this report :

"India has been ranked as the most attractive nation for retail investment among 30 emerging markets by US-based global management consulting firm A T Kearney. According to the entity's Global Retail Development Index (GRDI), India is followed by Russia (2), China (3), United Arab Emirates (4) and Saudi Arabia (5). India was placed at the second spot last year while the United Arab Emirates has jumped 16 places from previous year's 20th rank. Noting that "larger, resilient developing countries sit atop the 2009 Index as they are most likely to lead the economic recovery," the report said that India has become the most attractive destination for retail investment for the fourth time in five years. In India, slower retail sales are causing Indian retailers to delay expansion plans and restructure their operations. But this has opened the window of opportunity for global retailers and many, including Wal-Mart, Carrefour and Tesco, are continuing expansion plans as Indian consumers grow increasingly affluent, brand-conscience and familiar with global retail formats."

If study past 25 years China Economy, You'll observe that the Retail Industry has paid & made them strongest economy in the World.They understood and foresee the future of Retail industry benefiting their economy & people of China to enchance there standard of life.

Similarly,there has been lots of News & political views to safegaurd "Mom & Pops" store in India.If you see the report submitted to Govt. on Retail  Industry & FDI for Multibrand have given favourable decision and also said that "Mom & Pops" Store had done much better after 2002,when retail revolution started.

I believe allowing 100% FDI in multibrand Retail Industry will empower and strengthen our economy post this recession phase.

regards,

Rajeev Jha

True Shalini, it would have been great if the Government would have allowed the FDI/FII investments in the form of Single brand and multi brand retail chains to India, Walmart and Bharti was all making new till now with their tie up coming but now with the Government taking a stance towards only to wholesale and not the otherway around is affecting the the investment from all those companies and if they do not allow them to come then large number of jobs and huge amounts of investments will be lost...that would have given a real boost to the economy and cash stripped exchequer.....hope they change their decision on this one....