India

India is the second most populated country in the world, with an estimated annual growth rate of 1.7%. Estimated at 950 million, India's population is expected to breach 1.15 billion within the next four years. The country's three largest states ( Bihar, Uttar Pradesh and West Bengal) located in the North. Although cities such as Greater Bombay and Delhi are home to more than 10 million persons each, the majority of the population lives in rural areas. * About three-quarters of the population live in rural areas. Although industry and commerce constitute the basis of the Indian economy, agriculture employs the majority of the labor force (about 70% of the labor force is engaged in agriculture and cultivation). Major industries include textiles, chemicals plants, food processing, mining, manufacturing of transportation equipment. Retailing is the second largest industry in the region in terms of number of people employed. Wal-Mart, the largest retailer in the world with annual sales of US$ 284 billion is also the largest employer in the US. The retailing industry in the US employs more than 22 million Americans and generates more than $3 trillion in sales annually had recently expanded operations in the area.

In India, the retail industry is broadly divided into the organized and unorganized sectors. The total market in 2005 stood at Rs. 10,000 billion, accounting for about 9-10% of the country's gross domestic product (GDP). Traditionally, the retail industry in India comprised of large, medium and small grocery stores and drug stores which could be categorized as unorganized retailing. Most of the organized retailing in India had recently started and was mainly concentrated in metropolitan cities.

The retailing industry seems poised for a significant growth in the coming years owing to the presence of a vast market, growing consumer awareness about product quality and services, higher disposable income of consumers and the desire to try out new products.

India is mostly Hindu (83%), Buddhists, and Jains represent important minority religions. The cast system still plays an integral role in the society, however upward social and economic advancement for lower castes is more common than in the past.

Hindi is India's official language and is spoken by approximately one-third of the population. There are more than a dozen other" official" languages in India. English is an "associate" language, but is the primary language for business, commerce, and politics.

Marketing Challenges

* Different climatic conditions in different regions

* Variety of languages spoken in different states

* Variety of culture

* Multi pattern of social, family and personal lifestyle

* Market place is not confined to few metros and cities but spread across

urban and rural areas

* Vast poverty in rural areas

* Factories, Works are also located in interiors

* Comparatively longer distances to travel by air, rail or road

Target Marketing

All but recently the regions primary concerns have been internal maintanace such as irrigation, energy, transport, communications and social reform. India's growth to this point has been severely

stiffled by corrupt a Government that creates poor living conditions

Market growth - Metropolitan areas of the region are experiencing the fastest growth. Prominate services include: communication services, financial services, hotels and restaurants.

Segments unserved - The majority of India remains impoverished: however metro area'a are over populated and becoming more tolorant to diversity and new thinking.

Rual India has no opportunity for the business.

Product match - Metropolitan markets may produce maginal sales Overwhelming unemployment rates and the main economic trade chiefly centered on agriculture. retail sales in it's historical since is best suited for market at this time. There are potential product market stategies for the area that could be used to introduce the new brands to the region in expectation of future consumer needs (media technology, pharmacuiticals)

Anticipated changes for the environment - India has surfaced stronger