Boost your Grades with us today!


With a need to feed more than 1.1 billion consumers— many of whom are desperately poor—India is a country that takes food distribution very seriously. Not only is ensuring the availability of affordable staples a social and political imperative, but given the large number of small grocers who make their living selling food, the sector’s organization is also economically crucial. The problems arise when these two considerations conflict.

India’s population centres are traditionally organized around a vast network of family-owned shops. These stores are often too small to bulk-purchase large volumes at a cheap price, much less invest in the kinds of modern logistics capabilities that make huge global players like Walmart, Carrefour, Tesco, Metro, or Shiseido so effective. The consequence of India’s shop network being so fragmented is that the country suffers from poor retail infrastructure (Bharee 2011), exemplified by a severe shortage of the refrigerated lorries needed to transport perishables to market before they rot. The problem is particularly acute given India’s growing population and because consumers’ rising standard of living increases their expectation of improvements in this area. The question for the government has been how to achieve this.

Although the country as a whole famously changed course in 1991 to open up many previously closed sectors of activity to international business, the Indian government had protected the food retailing sector for the simple reason that it feared that competition from efficient foreign companies with global experience in this activity would put millions of domestic grocers out of business. In line with the new philosophy, however, some change was welcomed, resulting in a situation that might be described as partial globalization: food retail MNEs would henceforth be allowed to invest in India, but they had to do this via a domestic partner and could not take a majority stake in a local company

Several companies pursued this option, most notably Walmart, which teamed up with rising Indian giant Bharti to develop a wholesale cash and carry business, the kind of integrated supply chain that had been lacking in the country until now. Progress towards greater efficiency was slow, however, and as global commodity prices began to rise, India suffered high food inflation. Conscious of the social problems this might cause, the government decided to accept a full globalization of the sector and amended legislation in late 2011 to let MNEs become majority owners of Indian retailers. This move will not have been to the liking of certain constituencies but the decision was taken that it is in the greater national interest.


15% off for this assignment.

Our Prices Start at $11.99. As Our First Client, Use Coupon Code GET15 to claim 15% Discount This Month!!

Why US?

100% Confidentiality

Information about customers is confidential and never disclosed to third parties.

Timely Delivery

No missed deadlines – 97% of assignments are completed in time.

Original Writing

We complete all papers from scratch. You can get a plagiarism report.

Money Back

If you are convinced that our writer has not followed your requirements, feel free to ask for a refund.