E.Schrodinger and its First Retail Store in India
By the early 1990s, with 126 stores across Germany, E.Schrodinger began to witness the first signs of saturation in the German retail industry. It was then that the company decided to explore new markets.
By 1997, Schrodinger had set up five stores outside Germany. Despite being largely a European chain, Schrodinger realised that the real action was happening in Asia.
With a bustling economy and rising income levels, India in particular, was emerging as the blue-eyedbaby of retailing. It was only by the fall of 2014 that the senior management at Schrodinger drew up a strategic roadmap to make its foray into the Indian retail market. According to the road map, the company would focus on the four largest metropolitan cities in the country and try to understand the psyche of the Indian consumer. Schrodinger decided to make its foray into India by setting up shop in Arcadia, one of the largest metropolitan cities in the country, which was at the forefront of the retailing revolution.
Schrodinger identified seven prospective location sites and Rohit C Suresh, Vice President, Real Estate, was expected to recommend to the management its first location in the
Sugandh Shoppe country. The company operated in four formats – hypermarkets, supercenters, supermarkets and convenience stores. Hypermarkets, of which Schrodinger had 46, was the most operated and preferred format.
However, the location of the first store was a crucial decision from the company’s perspective since the right location would give the right headstart to the company and set the foundation for future location decisions. The location decision must take into account several issues, including convenience to customers and the company’s revenue and profitability goals. The store location requires a judicious mix of data techniques as well as an assessment of qualitative factors of the site for the final decision to be taken. Rohit had to make a presentation for the senior managers of his company and he wanted to explore setting up a hypermarket. Which site must Rohit choose in Arcadia for Schrodinger’s first store in India?