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Corporate Retail Outlets are Blessings in Disguise for Unorganized Retail Outlets: An Empirical Analysis in the Indian Context

Listed author(s):
  • Kaliappa Kalirajan
  • Kanhaiya Singh

The objective of the present study is to answer the question whether the corporate organized retail outlets (ORO) have exerted any harmful effects on the small unorganized retail outlets(URO) in India. Answer to this question will facilitate us to gauge the impact of corporate FDI in retail on the survival of the small unorganized retail outlets, which is currently debated rigorously in India. Based on the primary survey data collected from the National Capital Region and Chennai between November 2008 and March 2010, the analysis in this study shows that the emergence of ORO did displace some URO, but increased employment in urban areas. The displaced URO, which opened businesses away from ORO have increased their profits. This indeed is a blessing in disguise for the small unorganized retail outlets. Thus, the total effects produced net social benefit in terms of income and employment generation in the concerned region

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Paper provided by The Australian National University, Australia South Asia Research Centre in its series ASARC Working Papers with number 2013-04.

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Length: 24
Date of creation: 2013
Handle: RePEc:pas:asarcc:2013-04
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  1. Anon-Higon, Dolores & Vasilakos, Nicholas, 2008. "Productivity, Multinationals and Knowledge Spillovers: Evidence from the UK Retail Sector," MPRA Paper 7181, University Library of Munich, Germany.
  2. Lorenzo Cappellari & Stephen P. Jenkins, 2003. "Multivariate probit regression using simulated maximum likelihood," Stata Journal, StataCorp LP, vol. 3(3), pages 278-294, September.
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