Pantaloon Retail India Ltd

The case highlights the emergence and evolution of PRIL from a small garment manufacturer to the #1 retailer in India by the early 21st century. It examines the evolution and growth of PRIL until the mid 1990s, and then traces the rationale behind the launch of its first retail format Pantaloons, a family departmental store. It discusses in detail the marketing and promotional efforts undertaken by PRIL for Pantaloons, which made the store one of the most successful lifestyle stores in India in the early 2000s. The case then examines the reasons for PRIL's entry into discount store and food store businesses through Big Bazaars and Food Bazaars and discusses in detail the strategies and marketing efforts put in place by PRIL to promote these formats.

Issues:• Recent trends in the Indian retailing industry, changing requirements and preferences of consumers, Understanding changing consumer lifestyles and fulfilling their needs, Successful retailing formats

Background NoteThe organized retail industry in India did not evolve till the early 1990s. Until then, the industry was dominated by the un-organized sector. It was a sellers market, with a limited number of brands, and little choice available to customers.

Lack of trained manpower, tax laws and government regulations all discouraged the growth of organized retailing in India during that period. Lack of consumer awareness and restrictions over entry of foreign players into the sector also contributed to the delay in the growth of organized retailing.

This allowed the un-organized sector to rule the Indian retailing industry. It was during this time that the foundation of PRIL was laid by Biyani. Biyani was a commerce graduate with a post-graduate diploma in marketing. After spending five years in managing his family business of trading textile and yarn, he started with apparel manufacturing in the mid-1980s.

In 1987, he launched Manz Wear Pvt. Ltd. for making the country's first readymade trousers with 'Pantaloon' as the brand name. In 1989, the company launched its first jeans brand, 'Bare.'

On September 20, 1991, Manz Wear Pvt. Ltd., went public and on September 25, 1992, it changed its name to 'Pantaloon Fashions (India) Limited' (PFIL).

In 1993, PFIL launched its first formal shirt brand, 'John Miller,' and began distribution of its branded garments through multi- brand retail outlets across India. It also established a chain of franchised Pantaloon outlets, called 'Pantaloon Shoppe,' to market its readymade trousers.