Organizational Structure
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‘SETTING UP A CHAIN OF MALLS PAN INDIA’ Standing ‘mall’
Industry analysis "India will be tomorrow what China is today." There are 420 million people under the age of 25 in India, 22 million people who join the ranks of the middle classes every year and 67 million who have an average annual income of 25,000, the same as in Milan. India’s middle class population is greater than the total population of the USA. These figures alone explain that India has the highest consumer potential in the immediate future.
Industry analysis
As the contemporary retail sector in India is reflected in sprawling shopping centers, multiplex- malls and huge complexes offer shopping, entertainment and food all under one roof, the concept of shopping has altered in terms of format and consumer buying behavior, ushering in a revolution in shopping in India. The trends that are driving the growth of the retail sector in India are
Low share of organized retailing Increase in disposable income and customer aspiration Increase in expenditure for luxury items
The Vision Vision: To provide our customer a superior shopping and entertainment experience. Our offerings are:
Shopping arcade Gaming arcade Eateries and Coffee bars Movie Theatres
Strategy - SOSTAC Situation: Initially, most malls were set-up in Metros which has led to a congestion of space also leading to this a level of saturation in the market. . The congestion in realty structures in Tier I/ Metros has forced the governments and many investment companies to seek out for alternative smaller cities leading to a demand for Tier II and III cities. Some of these Tier II and Tier III cities are very close to the metros in proximity. The proximity ensures that these cities are getting rich in Jobs as well as disposable incomes.
Strategy - SOSTAC
Situation:
This is causing the overall spread of malls in India to change, If development plans till 2007 is studied it shows the projection of 220 shopping malls, with 139 malls in metros and the remaining 81 in the Tier II cities.
Strategy - SOSTAC
Opportunity :
The situation has led to these Tier II and Tier III cities to be rich in opportunity for retailing and the entertainment industry.
Strategy - SOSTAC
Strategy:
The objective is to provide the customer a superior experience and ensure profitability of business.
There is a need to increase the reach of the network of malls to ensure profitability on scales. We need to grow to 100 malls within 5 years.
Most of the malls will be set up in the Tier II and Tier III cities to take advantage of these relatively young markets.
Strategy - SOSTAC
Tactics: We
first set up malls in the following Cities by 2009:
Ahmadabad, Agra, Alwar, Amritsar, Bhiwadi, Bhopal, Bhubaneshwar, Coimbatore, Faridabad, Greater Noida, Greater Bangalore, Delhi, Panjim , Ghaziabad, Indore, Jaipur, Jalandhar, Jamshedpur, Kochi, Kanpur, Ludhiana, Mangalore, Mysore, Manesar, Mohali, Nagpur, Nashik, Panipat, Rudrapur, Sonepat, Thiruvananthapuram, Raipur, Darjiling, Visakhapatnam.
There would be a total of 20 malls.
Take the company public to get capital to further expand, in this phase of expansion the focus will be more of specialty formats from detailed customer study.
Strategy - SOSTAC
Action : Research needs to be done on the cities shortlisted (state of mart, state of state and state of mind). We need to acquire land, after the need gap analysis, where these malls will be built. There need to be contracts made with builders for building malls. The space needs to be rented out to retailers.
Strategy - SOSTAC
Control: Organizational
structure and the flow of reporting will be an important control tool. The nature of the business and its geographical spread demands Geographical Business Units.
Four Zones
The Organizational Structure
Corporate Services
Operations
Business Service Unit
Paving The Way Ahead
The HO is based in Delhi. As the organization will grow, more job roles and responsibilities will be defined. The service Unit would be a separate function that looks into the property management.
Submitted by Siddar: Darshika Rathore (7) Siddharth Ravindran (26)
Industry analysis "India will be tomorrow what China is today." There are 420 million people under the age of 25 in India, 22 million people who join the ranks of the middle classes every year and 67 million who have an average annual income of 25,000, the same as in Milan. India’s middle class population is greater than the total population of the USA. These figures alone explain that India has the highest consumer potential in the immediate future.
Industry analysis
As the contemporary retail sector in India is reflected in sprawling shopping centers, multiplex- malls and huge complexes offer shopping, entertainment and food all under one roof, the concept of shopping has altered in terms of format and consumer buying behavior, ushering in a revolution in shopping in India. The trends that are driving the growth of the retail sector in India are
Low share of organized retailing Increase in disposable income and customer aspiration Increase in expenditure for luxury items
The Vision Vision: To provide our customer a superior shopping and entertainment experience. Our offerings are:
Shopping arcade Gaming arcade Eateries and Coffee bars Movie Theatres
Strategy - SOSTAC Situation: Initially, most malls were set-up in Metros which has led to a congestion of space also leading to this a level of saturation in the market. . The congestion in realty structures in Tier I/ Metros has forced the governments and many investment companies to seek out for alternative smaller cities leading to a demand for Tier II and III cities. Some of these Tier II and Tier III cities are very close to the metros in proximity. The proximity ensures that these cities are getting rich in Jobs as well as disposable incomes.
Strategy - SOSTAC
Situation:
This is causing the overall spread of malls in India to change, If development plans till 2007 is studied it shows the projection of 220 shopping malls, with 139 malls in metros and the remaining 81 in the Tier II cities.
Strategy - SOSTAC
Opportunity :
The situation has led to these Tier II and Tier III cities to be rich in opportunity for retailing and the entertainment industry.
Strategy - SOSTAC
Strategy:
The objective is to provide the customer a superior experience and ensure profitability of business.
There is a need to increase the reach of the network of malls to ensure profitability on scales. We need to grow to 100 malls within 5 years.
Most of the malls will be set up in the Tier II and Tier III cities to take advantage of these relatively young markets.
Strategy - SOSTAC
Tactics: We
first set up malls in the following Cities by 2009:
Ahmadabad, Agra, Alwar, Amritsar, Bhiwadi, Bhopal, Bhubaneshwar, Coimbatore, Faridabad, Greater Noida, Greater Bangalore, Delhi, Panjim , Ghaziabad, Indore, Jaipur, Jalandhar, Jamshedpur, Kochi, Kanpur, Ludhiana, Mangalore, Mysore, Manesar, Mohali, Nagpur, Nashik, Panipat, Rudrapur, Sonepat, Thiruvananthapuram, Raipur, Darjiling, Visakhapatnam.
There would be a total of 20 malls.
Take the company public to get capital to further expand, in this phase of expansion the focus will be more of specialty formats from detailed customer study.
Strategy - SOSTAC
Action : Research needs to be done on the cities shortlisted (state of mart, state of state and state of mind). We need to acquire land, after the need gap analysis, where these malls will be built. There need to be contracts made with builders for building malls. The space needs to be rented out to retailers.
Strategy - SOSTAC
Control: Organizational
structure and the flow of reporting will be an important control tool. The nature of the business and its geographical spread demands Geographical Business Units.
Four Zones
The Organizational Structure
Corporate Services
Operations
Business Service Unit
Paving The Way Ahead
The HO is based in Delhi. As the organization will grow, more job roles and responsibilities will be defined. The service Unit would be a separate function that looks into the property management.
Submitted by Siddar: Darshika Rathore (7) Siddharth Ravindran (26)
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