Akbarallys

Pioneers in Indian Departmental Stores

25-Sep-11

Indian Retail School,

Akbarallys Supermarket, Woodhouse Road, Colaba, Mumbai.

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25-Sep-11

Indian Retail School,

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25-Sep-11

Indian Retail School,

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25-Sep-11

Indian Retail School,

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25-Sep-11

Indian Retail School,

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25-Sep-11

Indian Retail School,

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25-Sep-11

Indian Retail School,

V.N. Road, Departmental Store, Mumbai.Click to edit Master text styles Second level Third level Fourth level Fifth level

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Indian Retail School,

Key factsEstablished in 1897 by Akbarally Ebrahimji. First store was a size of 30 sq.ft near Gunbow Street in Mumbai. The store was fixed pricing concept. First store to introduce live Santa, Deepak Chacha and the concept of gift vouchers and wedding gift vouchers. Last chairman was Fakruddin T. Khorakiwala.

25-Sep-11

Indian Retail School,

SWOT AnalysisClick to edit Master text styles Second level Third level Fourth level Fifth level

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Indian Retail School,

STRENGTHSIt was one of the first stores that brought the idea of shopping under one roof. They had already established a strong brand image in the minds of their customers.

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Indian Retail School,

WEAKNESSIgnored the power of advertising. Fixed price concept conveyed wrong message. Products on the shelf were outdated. Ignored in purchasing land or properties. Only premium brands were introduced in apparel department. The concept of franchise arrangements were ignored. Indian Retail School, 25-Sep-11

OPPORTUNITIESMerging their business with their competitors would have been fruitful in future. Giving franchises would have fueled their expansion plans. Specializing in a particular product range would have made their brand stronger.

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Indian Retail School,

THREATSGrowing number of organized retail formats like Shoppers Stop, Pantaloons, Westside, Big Bazaar, Hypercity , Spar, etc FDI would collaborate with only known retail brands.

25-Sep-11

Indian Retail School,

Corporate Strategies

Growth Strategy

Seeking to increase the organizations business by expansion into new products and markets. Concentration Vertical integration Horizontal integration DiversificationIndian Retail School,

Types of Growth Strategies

25-Sep-11

Growth Strategies

Concentration

Focusing on a primary line of business and increasing the number of products offered or markets served.

Vertical IntegrationBackward vertical integration: attempting to gain control of inputs (become a selfsupplier). Forward vertical integration: attempting to gain control of output through control of the distribution channel or provide 25-Sep-11 Indian Retail School, customer service activities (eliminating

Growth Strategies (contd)

Horizontal Integration

Combining operations with another competitor in the same industry to increase competitive strengths and lower competition among industry rivals. Expanding by combining with firms in different, but related industries that are strategic fits. by combining with firms in Indian Retail School,

Related Diversification

Unrelated Diversification

Growing 25-Sep-11

Growth Strategies (contd)

Stability Strategy

A strategy that seeks to maintain the status quo to deal with the uncertainty of a dynamic environment, when the industry is experiencing slow- or nogrowth conditions, or if the owners of the firm elect not to grow for personal reasons. The basic approach is maintain present course: steady as it goes.Indian Retail School,

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Growth Strategies (contd)

Renewal Strategies

Developing strategies to counter organization weaknesses that are leading to performance declines.Retrenchment: focusing of eliminating noncritical weaknesses and restoring strengths to overcome current performance problems. Turnaround: addressing critical long-term performance problems through the use of strong cost elimination measures and largescale organizational restructuring solutions.Indian Retail School,

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Applications of growth, stability and renewal to Akbarallys future strategic decisionsGrowth: The store can expand its operation outside Mumbai which would result in a larger market served. It can merge with one of its major competitors in the market so as to gain competitive strengths over its other rival players in the industry. Stability: As the Company doesnt have the necessary human resources for its business expansion, it can concentrate on a specific market thereby developing meaningful competitive advantage consistent with the firms resources & market requirements. Renewal: Stores should have a better ambience and re-create the brand image. Advertising budget should be increased by the store to more than 2% . It should acquire the necessary human resources. 25-Sep-11 Indian Retail School,

Link

Akbarallys gift voucher ad http://www.youtube.com/watch?v=oTHjKIv5xak

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Indian Retail School,

25-Sep-11

Indian Retail School,