Abstract :
The present study impact of supermarket on small retail outlets (mom and pop stores) was conducted in Hyderabad city during the year 2011. Majority of retailers (42%) profit and turnover decreased. 34% of retailers profit and turnover increased and 24% of retailers business remained same after the entry of supermarkets in the area Majority of retailers (52%) expressed that their profit and turnover decreased because of organized retail. Another 20 % felt the decreased because of other unorganized outlets started in the area and rest 29% experienced decreased due to other family reason. Most of the respondents (80%) extended credit to their customer which is the main reason to retain and hold the customer. No negative impact on employment was found due to the opening of more organized outlets in the city. Nearly 26% of small retailers increased the number of employees and another 74% having maintained same number of employees. Only a few number of retail shops have been closed as reported by the sampled retailers. The closing of those few retail shops is not because of organized retail but for other reason. Most of the retailers practiced different strategy like 10% retailers reduced prices, 12% reduced their expenses and 14% added new product lines to compete with the supermarkets.
Keyword :
Supermarket, Small retail, Profit, Turnover, Employment