1

ABSTRACT

The purpose of this research is to examine the emotions young

compulsive buyers experience while shopping and target the college

student.Conduct a study of compulsive buying and the results show

that the emotions experienced by compulsive buyers are much more

complex than thought. The emotions young consumers go through

during the shopping process are not predominantly negative or

positive. Instead, young consumers move up and down on an

emotional continuum during the shopping. The trigger involved with

the emotions is linked to the different factors such as public self

conscious, post- purchase buyers, stress and anxiety, materialism,

power-prestige, peer communication, family pressures and credit card

usage. This study was focused on young consumers or college students.

Although this age group is considered suitable for conducting a study of

compulsive buying, the results cannot be generalized to other age

groups.

2

RELIANCE

"Growth has no limit at Reliance. I keep revising my vision. Only when you can dream it, you can do it."

Dhirubhai H. AmbaniFounder Chairman Reliance Group December 28, 1932 - July 6, 2002

RELIANCE GROUP

The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is India's largest private sector enterprise, with businesses in the energy and materials value chain. Group's annual revenues are in excess of USD 27 billion. The flagship company, Reliance Industries Limited, is a Fortune Global 500 company and is the largest private sector company in India.

Backward vertical integration has been the cornerstone of the evolution and growth of Reliance. Starting with textiles in the late seventies, Reliance pursued a strategy of backward vertical integration - in polyester, fibre intermediates, plastics, petrochemicals, petroleum refining and oil and gas exploration and production - to be fully integrated along the materials and energy value chain.

3

The Group's activities span exploration and production of oil and gas, petroleum refining and marketing, petrochemicals (polyester, fibre intermediates, plastics and chemicals), textiles and retail.

Reliance enjoys global leadership in its businesses; The Group exports products in excess of USD 15 billion to more than 100 countries in the world. There are more than 25,000 employees on the rolls of Group Companies. Major Group Companies are Reliance Industries Limited (including main subsidiaries Reliance Petroleum Limited and Reliance Retail limited) and Reliance Industrial Infrastructure Limited.

Reliance Industries Limited is India's largest private sector conglomerate (and second largest overall) with an annual turnover of US$ 35.9 billion and profit of US$ 4.85 billion for the fiscal year ending in March 2008 making it one of India's private sector Fortune Global 500 companies, being ranked at 206th position (2008). [1] It was founded by the Indian industrialist Dhirubhai Ambani in 1966. Ambani has been a pioneer in introducing financial instruments like fully convertible debentures to the Indian stock markets. Ambani was one of the first entrepreneurs to draw retail investors to the stock markets. Critics allege that the rise of Reliance Industries to the top slot in terms of market capitalization is largely due to Dhirubhai's ability to manipulate the levers of a controlled economy to his advantage.

Though the company's oil-related operation forms the core of its business, it has diversified its operations in recent years. After severe differences between the founder's two sons, Mukesh Ambani and Anil Ambani, the group was divided between them in 2006. In September 2008, Reliance Industries was the only Indian firm featured in the Forbes's list of "world's 100 most respected companies"

Subsidiaries of RIL

4

Reliance Petroleum Ranger Farms Limited Retail Concepts and Services (India) Private Limited Reliance Retail Reliance Global Management Services (P) Limited Reliance Biopharmaceuticals Reliance Ghatraj Services Reliance Engineering Associates (P) Limited

Reliance Retail Limited

Reliance is gearing up to revolutionize the retailing industry in India. Towards this end, Reliance is aggressively working on introducing a pan-India network of retail outlets in multiple formats.

A world class shopping environment, state of art technology, a seamless supply chain infrastructure, a host of unique value-added services and above all, unmatched customer experience, is what this initiative is all about.

The retail initiative of Reliance will be without a parallel in size and spread and make India proud. Ensuring better returns to Indian farmers and manufacturers and greater value for the Indian consumer, both in quality and quantity, will be an integral feature of this project. By creating value at all levels, we will actively endeavour to contribute to India's growth.

The project will boast of a seamless supply chain infrastructure, unprecedented even by world standards. Through multiple formats and a wide range of categories, Reliance is aiming to touch almost every Indian customer and supplier.

5

With a vision to generate inclusive growth and prosperity for farmers, vendor partners, small shopkeepers and consumers, Reliance Retail Limited (RRL), a subsidiary of RIL, was set up to lead Reliance Group’s foray into organized retail.

With a 27% share of world GDP, retail is a significant contributor to overall economic activity across the world. Of this, organized retailing contributes between 20% to 55% in various developing markets. The Indian retail industry is pegged at $ 300 billion and growing at over 13% per year. Of this, presently, organized retailing is about 5%. This is expected to grow to 10% by 2011. RRL has embarked upon an implementation plan to build state-of-the-art retail infrastructure in India, which includes a multi-format store strategy of opening neighbourhood convenience stores, hypermarkets, and specialty and wholesale stores across India.

RRL launched its first store in November 2006 through its convenience store format ‘Reliance Fresh’. Since then RRL has rapidly grown to operate 590 stores across 13 states at the end of FY 2007-08. RRL launched its first ‘Reliance Digital’ store in April 2007 and its first and India’s largest hypermarket ‘Reliance Mart’ in Ahmadabad in August 2007. This year, RRL has also launched its first few specialty stores for apparel (Reliance Trends), footwear (Reliance Footprints), jewellery (Reliance Jewels), books, music and other lifestyle products (Reliance Timeout), auto accessories and service format (Reliance AutoZone) and also an initiative in the health and wellness business through ‘Reliance Wellness’. In each of these store formats, RRL is offering a unique set of products and services at a value price point that has not been available so far to the Indian consumer. Overall, RRL is well positioned to rapidly expand its existing network of 590 stores which operate in 57 cities.

During the year, RRL also focused on building strong relationships in the agri-business value chain and has commenced marketing fruits, vegetables and staples that the company sources directly to wholesalers and institutional customers. RRL provides its customers with high quality produce that has better shelf life and more consistent

6

quality than was available earlier. RRL has made significant progress in establishing state-of-the-art staples processing centres and expects to make them operational by May 2008.

Through the year, RRL also expanded its supply chain infrastructure. The Company is fully geared to meet the requirements of its rapidly growing store network in an efficient manner.

Recognizing that strategic alliances are going to be a key driver to its retail business, in FY 2007-08, RRL established key joint ventures with international partners in apparel, optical and office products businesses. Further, RRL will continue to seek synergistic opportunities with other international players as well. This year, RRL will continue its focus on rapid expansion of the existing and other new formats across India.

Popular Profiles at Reliance Retail

7

Management team

Name DesignationMr. Mukesh Ambani Chairman&Managing DirectorNikhil R Meshwani Executive DirectorHital R Meshwani Executive DirectorMadhumita Mohanti Deputy General ManagerAkashay Lokhande Area Manager-Operation &Sales

and NSODevandra Chawla Vice-President-Business Head,

Merchandise HeadZubin Nowrojee, Mangement State Head Category

Formats of Reliance RETAIL

Reliance Fresh,

Reliance Mart,

Reliance Digital,

Reliance Trendz,

Reliance Footprint,

Reliance Wellness,

Reliance Jewels,

Reliance Timeout and Reliance Super,

8

RELIANCE fRESH

APKA FRESH APKE PADAOS ME

Reliance fresh is the retail chain division of reliance industries of India which is headed by Mukesh Ambani. Reliance has entered into this segment by opening new retail stores into almost every metropolitan and regional area of India. Reliance plans to invest rs 25000 crores in the next 4 years in their retail division and plans to begin retail stores in 784 cities across the country. The reliance fresh supermarket chain is ril’s rs 25,000 crore venture and it plans to add more stores across different g, and eventually have a pan-India footprint by year 2011. The super marts will sell fresh fruits and vegetables, staples, groceries, fresh juice bars and dairy products and also will sport a separate enclosure and supply-chain for non-vegetarian products. Besides, the stores would provide direct employment to 5 lakh young Indians and indirect job opportunities to a million people, according to the company. The company also has plans to train students and housewives in customer care and quality services for part-time jobs

BACK GROUND

We can see many examples of businesses where, first we grow and then think of expanding but Reliance is quite different. Reliance has developed such huge amount of resources and capital over the years that whenever it steps into any segment it is not required to wait for growing signal, that’s why it always thinks of expanding without any boundaries. Reliance retail is next Step by RIL which will be a pan India project.

9

Reliance Fresh is the retail chain division of Reliance Industries of India which is headed by Mukesh Ambani. Reliance has entered into this segment by opening new retail stores into almost every metropolitan and regional area of India. Reliance plans to invest Rs 25000 crores in the next 4 years in their retail division and plans to begin retail stores in 784 cities across the country. The Reliance Fresh supermarket chain is RIL’s Rs 25,000 crore venture and it plans to add more stores across different g, and eventually have a pan-India footprint by year 2011. The super marts will sell fresh fruits and vegetables, staples, groceries, fresh juice bars and dairy products and also will sport a separate enclosure and supply-chain for non-vegetarian products. Besides, the stores would provide direct employment to 5 lakh young Indians and indirect job opportunities to a million people, according to the company. The company also has plans to train students and housewives in customer care and quality services for part-time jobs.The company is planning on opening new stores with store-size varying from 1,500 sq ft to 3,000 sq ft, which will stock fresh fruits and vegetables, staples, FMCG products and dairy products. Each store is said to be within a radius of 1-2 km of each other, in relation to the concept of a neighbor store. However, this is only the entry roll-out that the company has planned. Bangalore is said to have 40 stores in all by the end of the year.In a dramatic change due circumstances prevailing in UP, West Bengal and Orissa, It was mentioned recently in News Dailies that, Reliance Retail is moving out stocking. Reliance Retail has decided to minimize its exposure in the fruit and vegetable business and position Reliance Fresh as a pure play super market focusing on categories like food, FMCG, home, consumer durables, IT, wellness and auto accessories, with food accounting for the bulk of the business. The company may not stock fruit and vegetables in some states, Orissa being one of them. Though Reliance Fresh is not exiting the fruit and vegetable business altogether, it has decided not to compete with local vendors partly due to political reasons, and partly due to its inability to create a robust supply chain. This is quite different from what the firm had originally planned. When the first Reliance Fresh store opened in

10

Hyderabad last October, not only did the company said the store’s main focus would be fresh produce like fruits and vegetables at a much lower price, but also spoke at length about its “farm-to-fork’’ theory. The idea the company spoke about was to source from farmers and sell directly to the consumer removing middlemen out of the way.

FARM TO FORK

The Reliance retail company sources say it is setting aside Rs 50,000 crore to build its farm-to-fork linkage. Reliance has drawn up plans for a presence in 784 towns and 6,000 mandi (wholesale market) towns with 1,600 rural business hubs to service these. It has already rolled out 177 Reliance Fresh stores across major towns in 11 states. According to a company report, RIL is targeting a turnover of Rs 40,000 crore in the next few years.

11

TRADITIONAL MODEL OF RETAIL RELIANCE “FARM TO FORK”

SUPPLY CHAIN MODELS of Reliance Retail

Reliance started its retail operations of Reliance Fresh stores with following supply chain model. Procuring directly from the farmers and operating with moderate margin but mass selling was key to Reliance fresh operation for first few months. The following figure depicts the first Reliance fresh model

12

RELIANCE FRESH

WHOLESALE TRADING (WST) : Reliance formalized its second supply chain model to shift itself from grocery retailer to grocery supplier by focusing and establishing itself in Mandi’s.

STEPS IN WTS MODEL:

1) Reliance has owned farms on contract basis for production of specific crop which is decided after extensive research depending on

SOIL CONDITIONS, CLIMATE CONDITIONS,

13

RELIANCE OWNLOGISTICS

RELIANCE FRESH

OUTLETS

RELIANCE FRESH

OUTLETS

RELIANCE FRESH

OUTLETS

PROCESSING

UNIT/POINT

COLLECTION

POINT/UNIT

Farmers Own Transportation

Reliance own Logistics Reliance own Logistics

Farmers Own Transportation

RFRF

FARMERSCATEGORY

1

FARMERSCATEGORY

2

FARMERSCATEGORY

3

RETURN OVER COSTS INCURRED. So as to yield best possible results.

2) Different vegetables and fruits from such farms are collected through reliance own Logistics and brought to collection Processing centres where quality check and other required processing is done. In processing centres workers wearing balaclavas, woollen trousers and bulky jackets work inside a room kept at a constant 3oC, peeling and chopping vegetables, spinning them dry and then heaping them in small plastic packets before placing them in plastic transport crates. At the other end of the 5,000-sq-m warehouse, men unload crates of fruits from a truck pulled up to a spotless loading dock. A quality-control expert samples every tenth crate; if the fruits are good a team will ready them for delivery within hours to Reliance fresh stores around different places like U.P and as far away as Hyderabad and even Mumbai (formerly Bombay). If they are not, workers will inspect the entire shipment and discard anything below standard.

3) Merchandise from these collection processing centers are collected and loaded for Wholesale mandi’s. As this merchandise is to be made available by 4 A.M in morning thus deliveries in trucks are sent at time depending upon:

TRANSIT TIME. – Time required reaching destination i.e. mandi’s.

MARGIN TIME. – Time period between a truck reaching mandi and then Unloads. Can be 2 to 3 hours.

LOADING AND UNLOADING TIME.

14

4) From mandi’s where the trucks have been unloaded, roadside vendors and pull carters Buy fruits and vegetables to supply in households.

5) In case still some vegetables and fruits are not sold reliance logistics own Transportation sends them to reliance fresh stores.

Research Methodology

Research Problem

15

To make a comprehensive study of Reliance Fresh &know the Buying behaviour & of Reliance Fresh customers.

Type of research

Descriptive type research has used to complete the project. This research is base on fact finding enquires and the variables are totally independent and uncontrollable.

Data collection:

Primary Data Primary data of research are collected from direct resources (customer of Reliance fresh) through questionnaire.

Secondary Data

Secondary Data which are used for research to know the history scop of Retail industry are collected from already available resources like net and other sourcesUniverse

Universe of this research is reliance fresh customer of Delhi.

Sampling technique

Random sampling is used for research project. I have given equal weightages to my all respondent and chose them randomly without any biased like gender, age, income culture.Sample size 100 respondents has selected as sample size for research.

Data representation technique and tools

16

Columns chart & Pie chart has used for representation.

(1). Gender of the consumer

Data Collected- Data collected for this questionnaire to know the gender of customer of reliance fresh.

(2). Age of customer

10-20 21-50 51& above

25 50 30

Data Collected- Data collected for this questionnaire to know the age of customer of reliance fresh.

17

Male & Female

40 60

(3). How offer do you shop

Daily ( ) week ( ) fortnightly ( ) once in month ( )

Data Collected- Data collected for this questionnaire to know the shopping behaviour of customer of reliance fresh.

(4). What do you mostly shop for at mentioned store?

Vegetables ( ) Grocery ( ) cosmetic product ( ) all product ( )

Vegetable

Grocery

Cosmetic product

All product

10 40 20 30

18

Daily Week Fortnightly Once in month

10 20 50 20

Data Collected-

Data collected for this questionnaire to know the products which are like to purchase by the customer.

(5). Preference of shopping?

Quality ( ) Brand ( ) Price ( ) one stop shop

Quality brand Price One stop shop

20 20 20 20

Data Collected- Data collected from this questionnaire to know the preference the shopping

are like to purchase quality product which are 24.00%, only 59 respondent consider price which are 13.08.%.

(6). which store do you kept in preference for purchasing

19

Reliance Fresh ( ) Big apple ( ) other ( ) Local market

Local market

Reliance fresh Big apple Other

35 20 25 40

Data Collected- Data collected from this questionnaire to know the preference of the purchasing (comparison of store to other).

(7). Do advertisement and promotion influence your shopping decision?

Yes ( ) No ( )

Yes No75 25

Data Collected- Data collected from this questionnaire to know the effect of promotion scheme on purchasing.

(8). Are Promotion scheme easy to understand

Yes ( ) NO ( ) some time ( )

Yes no Some time

20

55 35 10

Data Collected- Data collected from this questionnaire to know display of promotion scheme..

(9). How likely are you to recommend Reliance Fresh to a friend or relative? Would you say the chances are? Excellent ( ) Good ( ) Fair ( ) Poor ( )

Excellent Good Fair Poor

20 60 15 5

Data Collected- Data collected from this questionnaire to know the satisfaction level of customer.

(10). Which form of advertisement do you think is most effective?

Print ( ) TV ( ) Radio ( ) telephone ( )

21

Print TV Radio Telephone30 50 20 0

Data Collected- Data collected from this questionnaire to know the better advertisement mode of promotion.

OPINION:

1- More promotion scheme should be used to penetrate the market.

2- Skilled employees should be higher because mostly customers are young.

3- Promotion scheme should in such way that customer can understand easily.

4- Service of store should be providing in such way which full the need of the customer.

Reliance Fresh Questionnaire

NAME-

GENDER-

22

AGE - Monthly income-

1- How offer do you shop

Daily ( ) week ( ) fortnightly ( ) once in month ( )

2- What do you mostly shop for at mentioned store

Vegetables ( ) Grocery ( ) cosmetic product ( )

3- Which store do you shop?

Reliance Fresh ( ) Big apple ( ) other ( ) Local market

4- Preference of shopping

Quality ( ) Brand ( ) Price ( ) one stop shop

5- Do advertisement and promotion influence your shopping decision

Yes ( ) No ( )

6- Are Promotion scheme easy to understand

Yes ( ) NO ( ) some time ( )

7- How likely are you to recommend Reliance Fresh to a friend or relative? Would you say the chances are?

Excellent ( ) Good ( ) Fair ( ) Poor ( )

8- Are the Price of Reliance fresh is lower than the other competitor Yes ( ) No ( ) Equal ( ) no idea ( )9- Which form of advertisement do you think is most effective?

Print ( ) TV ( ) Radio ( )

23

10- Did you get help from CSA when asked?

Yes ( ) No ( ) some time ( ) Never ( )

References

Referred books-

Marketing Research – PaneerselvamResearch Methodology – C.R KothariPrinciples of Marketing – Philip Kotler

Referred site-

www.ril.com www.google.com www.wickipedia.com

24

25