ABHITA JOSEPH: 06 KEDAR PAWAR:28 SANGEETA FULWANI:66 HARJINDER KAUR: SAGAR SONAWALE: SHRINATH K: SHWETA PAWAR:70

                    

Dhirubhai H. AmbaniFounder Chairman Reliance Group December 28, 1932 - July 6, 2002

The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002),

India's largest private sector enterprise

Businesses in the energy and materials value chain.

Group's annual revenues are in excess of USD 22 billion.

Currently, selling through company-owned stores currently totals just $8 billion in India. Industry estimates say that the country’s retail industry is worth $300 billion, that is about Rs 13,50,000 crore. This stands a chance to blossom to $427 billion in the next four years. Organised retail accounts for just over Rs 35,000 crore.

RIL's Retail Project will be through the following companies:◦ Reliance Retail Limited ◦ Subsidiary of RILRanger Farms Private Limite ◦ Subsidiary of Reliance Retail Limited◦ Retail Concepts and Services Private Limited◦ Subsidiary of Reliance Retail Limited◦ Reliance Retail Insurance Broking Limited◦ Subsidiary of Reliance Retail Limited◦ Reliance Dairy Foods Limited◦ Subsidiary of Reliance Retail Limited◦ Reliance Retail Finance Limited◦ Subsidiary of Reliance Retail Limited◦ RESQ Limited◦ Subsidiary of Reliance Retail Limited◦ Reliance digital Retail Limited◦ Subsidiary of Reliance Retail Limited◦ Reliance Service Solutions Limited◦ Subsidiary of Reliance Retail Limited

Reliance Retail Limited is the vision of Mukesh Dhirubhai Ambani who is also the Chairman & Managing Director of RIL.

The Executive Directors are Nikhil R. Meswani, Hital R. Meswani, Hardev Singh Kohli, PMS Prasad and R. Ravimohan.

Ramniklal H. Ambani is the non-executive and non-independent director.

To be the most admired and successful organized retail company in

India that materially enhances the quality of life of every Indian By Providing unprecedented affordability, quality and choice Being the partner of choice in creating prosperity for Indian

farmers and other vendor partners Unleashing the power of the Indian workforce through the generation of new & attractive employment opportunities

Slogans/Mission Statements – RELIANCE RETAIL LTD“Growth is Life”

Throughout the years RRL has been successful in setting up more than 900 stores in 80 cities across 14 states in India to facilitate its multi-format store strategy.

* To work constantly to encourage employees to develop professional competency and to accept social responsibility through the company's safety, environmental, productivity, and quality efforts.

Reliance Retail - Formats Food & Grocery Apparel & Footwear Consumer Durables & Electronics Furniture & Furnishings FMCG & Personal Care Lifestyle Products and Services Healthcare, Financial, Membership, Travel, Auto and Entertainment Services

Reliance World (formerly Reliance WebWorld) is a world-class nationwide chain of retail outlets for products and services of the Reliance – Anil Dhirubhai Ambani Group.

Digital world of information, communication, entertainment and utility services.

Connected to Reliance’s countrywide optic fibre network.

Reliance Retail Ltd. has a number of company-owned outlets along with a franchisee format that would be in collaboration with Kirana shop owners. Its various divisions are:

Reliance Mart Reliance Fresh Reliance Super Reliance Digital Reliance Trends Reliance Wellness Reliance Jewels Reliance Timeout

Reliance Mart (1,50,000-3,00,00 sq. ft.) is the company's hypermarket format

It is designed to be an all under one roof supermarket that again caters to household needs.

Around 23 percent of the hypermarket floor space will be allocated to garment brands, while the rest will stock footwear, home goods and other products. Luxury products will cover a floor space of 11 percent

Reliance Fresh was the first amongst various format stores to be launched by Reliance Retail Ltd

The stores would typically be of an area of around 3,000-5,000 sq ft. Each store is to provide fresh fruits, vegetables and also products of Reliance Select and other related groceries

Presently the Reliance Fresh store sizes are between 1100 sq ft and 7500 sq ft depending upon the location

It currently has 453 stores operational across India and the ideology behind the initiative has been to bring “Farm to Fork” thereby removing middle men and benefitting both farmer and consumer

It currently has 453 stores operational across India and the ideology behind the initiative has been to bring “Farm to fork” thereby removing middle men and benefitting both farmer and consumer

It is to offer over 10,000 products in various categories like grocery, home care, stationery, pharmaceutical products, apparels & accessories, FMCG, consumer durables & IT, automotive accessories and lifestyle products

Reliance Super stores are to be large supermarkets with an area of 4,000 to 10,000 sq. ft. and will not sell fruits and vegetables like Reliance Fresh

• Reliance Digital is a consumer electronics concept mega store

• It is designed to be a one stop shop for all technology solutions in the field of consumer electronics, home appliances, information technology and telecommunications.

• The stores are to cover an area of more than 15,000 sq. ft. and offer a variety of over 4,000 products spread across 150 brands

• It shall also provide finance options for purchases• Reliance Digital is to be a large format store

spread across 15,000 to 35,000 sq. ft. and is scheduled to come up in 70 cities in India in the near future

Reliance Trends is a specialty apparel store that will sell men, women and children’s garments

The store will carry the best of national and international brands like John Players, Peter England, Indigo Nation, Wrangler, Reebok, and Lee, apart from in-house brands

By 2010, Reliance has planned to open 100 more stores across the country with focus on major cities

The company is targeting a turnover of Rs. 20,000 crore ($5 billion) from this format. This is a part of the US$ 25 billion (Rs. 100,000 crore) overall sales from retail business.

Reliance Wellness is a chain of specialty wellness stores that would offer pre-emptive, curative as well as health and beauty solutions

It will sell international and national brands like H2O, Neutrogena, Olay, Sports Nutrition, etc. They will also house alternate medicine, health books & music

It is to house world class products under one roof and also educate consumers on their health needs, thus enabling them to take charge of their health

Reliance Footprints is a specialty footwear store that would offer over 25,000 pairs of formal, casual, ethnic, party wear and sports wear in men, women and children footwear

The store is to be spread over 7,500 square feet and be dedicated to footwear, handbags and accessories.

The design of Footprint was conceptualized by Pavlik of USA which is one of the best design houses in the world keeping in mind the taste and preferences of the Indian consumer

The store plans a pan-India presence by opening over 15 more specialty stores

Reliance Jewels is a stand-alone fine jewelery format

Reliance Retail ventured into gems and jewelery trade with the aim of launching 300 stores all over India within a 3 year time frame

With a growing demand for jewelery and lower competition, Reliance Retail Ltd. plans to overtake Tata’s Tanishq by 2010

In Diamond jewelery, Reliance Jewels will offer the finest quality of diamonds and the widest range of daily wear, party wear and wedding designs.

Reliance Timeout - With over 56,000 products Reliance Timeout will offer customer an extensive range of merchandise in books, music, stationery, toys and gifts

Reliance Timeout will offer a comprehensive range of products in these categories along with an attempt to create a fascinating customer experience with a warm, lively ambience.

Private label sale – own products (Reliance Select)

Contract Farming

Network – 1600 channels in villages

Poor inventory control Staff – Lack of knowledge about products Parking

Opportunities: Farm to fork, No middlemen,

Farmers – Customer Hundreds of farmers – 1 million

farmers – next five years

International Retail Giants: Carrefour, Metro AG, Tesco.

Bharti – Wallmart (Farm to Fork)

Operating cost are too high

RELIANCE FRESH - FARM TO FORK STRATEGY:They aggressively partnered farmers by following a farm-to-folk strategy to ensure fresh fruits and vegetables at affordable prices

They selected the cream crowd from pioneers in organized retailers to head the organization. With such a strong foothold, they ventured and their cash counters clicked Rs 3.5 to Rs 6.5 lakh per day and some outlets at prime locations are averaging Rs 5 lakh per day

But Vegetable vendors and small retail shop-owners are accusing Reliance of directly hitting their business

In states like Kerala, West Bengal and Orissa, where they face opposition, they have changed their retail strategy by introducing large supermarkets (i.e Reliance Super Stores) , where they will not trade in fruits and vegetables

Fresh Cheap

Jharkhand, Uttar Pradesh, Madhya Pradesh, Orissa,West Bengal, Kerala.

In the foods business, they have consciously segregated its vegetarian and non-vegetarian items by having a separate brand - Delight for the latter, with a separate distribution centre - A smart move as vegetarians are sensitive to these issues

Seeing huge opportunities, they have introduced own brands like ‘Dairy Pure’ for milk, ghee, (the only other major player being Amul) and ‘Reliance Select’ for other categories like staples

This will optimize margins and streamline supply chain because of bulk procurement.

Reliance Retail Limited (RRL) announced a Joint Venture with Pearle Europe for the launch of a chain of optical stores. This will bring a world-class range of private label frames, lenses and sunglasses. The optical industry is on the brink of major growth and has few organized players. Even the Tatas have ventured in this segment

Reliance has bought properties ranging from Rs 1,000 per sq ft to as high as Rs 22,000 per sq ft or more for their expansion

Reliance now plans the franchisee route for further expansion as faced with expensive real estate costs and delays in retail space acquisition

The company is co-opting existing small retailers in all formats other than Reliance Fresh and Reliance Hypermarket. This is yet another success formula for giant retailers

RETAIL MIX – RELIANCE FRESH

Vegetables and fruits House hold items Food and beverages – All

premiere brand + Private label

Groceries – only private label

Dairy products Non veg food items Ready to eat items

Located in small commercial complexes close to 3-4 residential areas

Observation: Close to cross roads Almost in all Major areas: Vidya nagar,

Habsiguda, Nallakunta, HMT nagar, Banjara hills, Panjagutta, Shivam Road etc.

Main idea – make bulk purchase

Discount scheme days – Saturday and Sunday

Reliance fresh membership card – Reliance One

Low prized private labels Discount on bulk buying

Private Labels: Maximum Space: Own Products Less Space: Nestle Maggi, MTR Masala, Pepsi,

Lay’s Chips.

Reasons: High Margin

Reliance and Future Group are the early birds at making a dent in the large profit from the retail sector in India, at excellent real estate rates for properties in prime locations

Reliance Retail gears for takeovers to dwarf competition Reliance Retail, already creating ripples in the organized

domestic retail market, is poised to acquire smaller rivals in order to take on serious competition from the likes of Bharti-Wal-Mart combine

The Mukesh Ambani-spearheaded venture is bidding to buy out smaller competitors such as Adani Retail and also has plans to gobble up other well-known brands including Subhiksha and Landmark, the book and music store chain in which corporate behemoth Tata has a controlling stake through its retail arm Trent

Reliance Brands a subsidiary of Reliance Retail has entered into an alliance with Timberland Footwear and Accessories of the US to license and distribute its products in India.

According to RIL’s Annual Report for 2008-09 Reliance Retail Ltd reported a net loss of Rs. 20.24 crore on a revenue of Rs. 622.31 crore

Reliance Fresh reported a net loss of Rs. 249.30 crore on a revenue of Rs. 1,778.06 crore

Reliance Hypermart Ltd reported a loss of Rs. 51.84 crore on a revenue of Rs. 372.32 crore

Reliance’s retail businesses closed the year with an aggregate loss of Rs. 557 crore on a revenue of about Rs. 4,000 crore

Both the retail giants do not vary much in their offerings and image

It may be possible in the near future that they are left with no differentiation but still create a loyal customer base for themselves

According to analysts, in the long run, this would develop niche markets .