Impact of Organized and Unorganized Retailing on Employment and Policies to Transform Unorganized Retailing into Organized Retailing

ABSTRACT

The retail scene in India has been through a significant transformation over the past few years, which has improved the overall shopping experience to varied degrees. This change has been going on for a very long time. One of the five most important retail marketplaces in the world, the Indian retail sector is estimated to be worth $500 billion and has a niche position in the top spot. It is also the one with the most rapid expansion, with an anticipated increase reaching $1.3 trillion by the year 2020. The retail industry in India is one of the most important contributors to the country’s overall gross domestic product, making up somewhere around 15% of the total. The retail industry in India is unquestionably one of the most complicated in the world due to the large geographical spread of the country and the diverse consumer tastes that vary greatly from region to region. Due to the high level of diversity, there is an increasing demand for increased levels of specialisation within each of the geographic zones. In addition, given the current state of affairs, where a majority of the market is comprised of unorganised retail formats such as traditional family-run stores and tiny shops, the obstacles that are faced can be extremely intimidating. Because of infrastructure bottlenecks, more than thirty percent of the food staples and perishable items produced in India are lost or wasted. In addition to this, the presence of tiny retail stores makes it impossible to properly store commodities in a sanitary manner and to transport them from farmers to customers.

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