Reliance realized some problem in their plan for Reliance Fresh growth. They understand they are earning less than they are losing brand name (Retail) in India due to Reliance Fresh. They are thought of as anti-people due to politics in vegetable retailing. So they are now shifting their focus in plan.
Tata also faced this kind of problem when they promised Rs. 100000 car. They faced problem due to land acquisition for SEZ (Special Economic Zone) in West Bengal. But they cannot shift their factory.
Reliance Fresh will position as a pure super market focusing on nine categories including food, FMCG, home, consumer durables, IT, wellness and auto accessories, with food accounting for the bulk of the business.
“The company underestimated the might of the middlemen and the small vegetable vendors in the current political scenario,’’ said a source. “Also, the strategy to constantly talk about low prices was not such a great idea after all,’’ the source added.
Source:
IndiaTimes