Organized Chains not Hurting Local Kirana Stores

The myth about Organized Retail Chains throwing your neighborhood Local Kiarana like stores out of business is not completely evident yet, as per a report by ICRIER. The majority of the mom-n-pop stores are keen to compete and stay in business. Additionally, there is no evidence that employment has declined in this unorganized sector.

There is some decline in the employment in Northern and Western regions, which has weakened over period of 3 years. Rate of closure of unorganized retail in gross terms has been at 4.2% and unorganized players in the vicinity of organized retail stores witnessed decline in volumes and margins initially and are determined to compete. As a direct competition of these large chains only 1.7% of retailers have shut down.