Retail Insight on December 16th 2009

December 16, 2009

News for the retail industry

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News

Shoppers Stop to raise Rs. 250 crore to hike stake in Hypercity  Daily News & Analysis Retail chain major, Shoppers Stop plans to raise Rs. 250 crore to increase stake in its hypermarket chain, Hypercity. "We have an option to increase our stake in Hypercity from the present 19% to 51% by June 2010, for Rs. 250 crore. The proceeds would be raised through a rights issue and warrants," Shoppers Stop President and CEO, Govind Shrikhande said.

Gloria Jean's Coffees to have 41 Indian outlets by 2011 indiaretailing.com The Australian coffee retail brand, Gloria Jean's Coffees plans to have 41 outlets by the end of 2011. Pankaj K Neeraj, Head of Operations at Citymax Hospitality (the master franchisee for the brand in India), confirmed that the chain is expanding and expects to have 41 outlets in India by 2011.

Landmark Group appoints Kabir Lumba as MD Lifestyle International domain-b The Landmark Group today announced the appointment of Kabir Lumba as managing director, Lifestyle International, effective from 1 December 2009.

Shoppers' Stop to set up 35 Mustang outlets in 3 yrs. Financial Express Having entered into an exclusive retailing arrangement with Germany-based Mustang Jeans GmbH for selling Mustang fashion branded jeans, Shoppers' Stop plans to set up 35 Mustang branded shop-in-shops in its stores.

Retail Trends

Retailers farm out training to beef up rural supply chain Hindu Business Line Retailers such as Bharti-Wal-Mart, Carrefour and Reliance are still trying to get their supply chain formula right by roping in farmers as stakeholders. These retailers are ploughing rural areas trying to find the best suppliers among the lot. With fresh fruits and vegetables being one of the most sought-after items in a retail store, mega retail chains are going all-out to build a high-quality supply chain.

Price hikes on fast-food chains' menu Economic Times Feeling the pinch from soaring food prices, the Rs 3,000-crore fast-food industry is revisiting the menu. Walking the tightrope between margin pressures and hiking prices that could hurt volumes, food chains are now either increasing rates or reworking strategies.

Retail Insight

Retailer Trend: Localization and Limited Buys Carol Spieckerman Back in the early '80s, J.C. Penney was considered to be one of the larger accounts on any suppliers' books (believe it or not, Walmart was still largely dismissed as a pure discount player that wouldn't pose a threat outside of that channel!). J.C. Penney held another distinction as well: it was the only retailer of its size that maintained a decentralized buying structure.