The RPG group company has 32 large-format stores in 66 cities across India at present, spread over 1.5 million square feet. It claims to be on track to achieve its targets, according to a report.
The retail chain has earmarked a Rs 15 billion investment for the expansion over a two-year period up to March 2009. It achieved revenue of Rs. 8.2 billion in 2007-08.
A company spokesperson said upmarket stores such as Spencer's would not be affected due to the present global scenario. "Upmarket stores such as Spencer's, which are not price-driven as much as others, will not be impacted by inflation and the global meltdown," he said.
The ones most likely to be affected are retail chains such as discount stores, catering to the low-income group, he said.
Consumer spending is likely to shift from luxury goods to essentials with a slowdown in the economic cycle impacting demand negatively. |