Retailing: Moving towards cash and carry

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I became very happy when two days ago I was reading very nice article published in afaqs.com. the article was all about how retailers wants to move towards cash and carry(wholesale). recently our group was doing project on how big bazaar can sustain when world's largest retailer will come in India. At that time our group member has suggested that big bazaar should tie-up with small kiranawalas and vendors then we can convert these competitor into customer. In another way presently these are our competitor but when we convert these then they can become our customer.so, moral of this strategy is "kill two birds with one stone". secondly we had also suggested that for tapping this company should partly divide store in two ways one for daily customers and other for vendors/kiranawala who purchase in bulk. by doing this here is also same story apply, one side we are increasing sales volume and other side facilitating more customer services in terms of queue at cash counter. we had also recommended others strategy lets see how far it work.
coming to some highlights about articles- in this article mostly retailers are planning to enter in cash and carry these are some aditya birla group, store one retail, future group,reliance group, wadhwan''s group and others foreign retailers. why foreign retailers beacuse they do not have right to directly operate in retaling where as they have 100 percents right to operate in cash and carry.
we have to see how far it would be successful because in retailing retailer have margin of 14-15 percents whereas in cash and carry there is only 7-8 percents and also in this business retailer should have very nice back-end process with vast infrastructure.
we congratulate our group members and our hilarious faculty of retail management. on request we have published our presentation on scribd.com. follow link-http://www.scribd.com/doc/27877223/Big-Bazar-vs-Wal-mart

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