Kumar Birla is most likely to copy Mukesh Ambani’s retail plans by going it alone. Birlas are also likely to go for multi format stores, neighborhood stores, lifestyle stores, hypermarket and supermarket. The first store is likely to open in Mid 2007.
However, one question remains unanswered. The funding for this ambitiousproject ? Mukesh has RIL as his cash cow, however, in case of Birla’s, they are likely to launder money from group companies like Indian Rayon(Aditya Birla Nuvo), Grasim and sacrifice the interest of those companies. The move will only help fill the coffers of Kumar Birla and not shareholders.