Pantaloon ready for Wal-Mart challenge

Global retail major Wal-Mart's entry into India through an alliance with Bharti Enterprises could change the market dynamics, but domestic player Pantaloon Retail India Ltd appears game to take on the competition.

"The market dynamics will change but we are prepared and plan to scale up our number of Big Bazaar stores to 100 by December 2007, before any international retailer opens up its store here," Kishore Biyani, managing director, Pantaloon Retail India Ltd, said in Mumbai.

He, however, said it needs to be seen how the partnership of Bharti Enterprises with the international player unfolds. "Wal-Mart will have an effect which will be a challenge for us.

"However, since the international counterparts have a different mindset, the partnership and strategy needs to be understood," he noted.

Talking to reporters on the sidelines of a press conference announcing the CII National Retail Summit, Biyani said the scale of operations will now depend on speed, which will pose a big challenge.

With the entry of foreign players, modern retail will soon corner upto 25 per cent of Indian consumer spend, he said.

"We believe in creating demand first and then supplies. Market size is not very big as perceived by many and this industry can only grow if consumption takes an upward turn," Biyani said.

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