Professional Documents
Culture Documents
Submitted To: Prof. Amit Tyagi Submitted By: Ratnesh Rashmi Raspinder Ravinder Sahiba
Answer-1
Biyanis Vision- To give the Indian customer the feel of a local market place-narrow lanes, crowded market place and customers bumping into each other and into commodities. Saving is the key to the Indian middle class consumer. The concept of Bazaar, As the store offers large mix of products at a discounted price, the name Big Bazaar was finalized The idea was to recreate a complete bazaar, with a large product offering and offer a good depth and width in terms of range
In long run Big bazaar layout will face problems, in the wake of entry of big players such as Wal-Mart in Indian .
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Biggest problem lies with Big Bazaar is the Inventory level Management. Still they follow Traditional supply chain. Low in Technological upgradation. Delivery not in Time. High Debt exposure. In-house brands occupy 40% of equity.
Through this system Wal-Mart continuously sends orders for new merchandise directly to suppliers as soon as customer pays for purchases at cash register. By this Wal-Mart does not have to spend money on maintaining large inventories of goods in its own warehouse and can adjust with customer demand. By this customer response system Wal-Mart easily manages to keep its operational costs low.
Answer-2
NO BIG BAZAAR WILL HAVE TO CHANGE TO EXCLUSIVE SUPPLY CHAIN FROM TRADITIONAL SUPPLY CHAIN. TRADITIONAL SUPPLY CHAIN HAS A SEQUENTIAL PROCESS, ANY GLITCH AT ANY STEP CAN DISRUPT THE WHOLE CHAIN. EXCLUSIVE SUPPLY CHAIN BEING FOLLOWED BY REALIANCE AND BHARTI-WAL MART CONSISTS OF MESH LIKE NETWORK IN WHICH EACH ENTITY IS CONNECTED TO EVERY OTHER ENTITY.
Answer 3
Having a farm near the place of sale is a VERY good idea. This can be attributed to the following factors: Reduction in prices. Reduction in transportation cost. Provision of fresh goods. Reduced dependency on middlemen. Low Inventory due to frequent deliveries. Low Inventory Carrying Cost.
Answer 4 (for)
Keeping in-house brands is a good idea as long as demands can be easily met.
Prices can be kept in control. Quality is maintained.
Brand Recognition increased visibility of Brand lowered marketing, advertising & promotion costs. Market Capture. Reduced dependency on external factors. Product Line Extension
Answer 4 (against)
Keeping in-house brands is not a good idea since it is an overhead for the Company
Increased overhead expenses for production. Extra space needed to accommodate over and above existing brands. Increased labor costs, inventory, maintenance etc.