English Quiz for Upcoming IBPS Bank Exams – Set 37 | Comprehension

India, like Britain, is also a nation of shopkeepers. With over 12 million retail outlets, India has one of the highest densities of retail outlets in the world with one retail outlet for around 90 persons. Retailers inspired by the Walmart story of growth in small town America are tempted to focus on smaller towns and villages in India. However, a careful analysis of the town strata-wise population, population growth, migration trends and consumer spend analysis reveals a very different picture for India. After long spell of shortages, which shackled consumer buying for decades, retail is becoming India’s new mantra. While the retailing industry itself has been presented through history in our country, it is only the recent past that has witnessed so much dynamism.

This is a time when the demography of our population is changing significantly to drive organized retail growth. India now has a large young working population with a median age of 24. The number of nuclear families in urban areas is growing fast. Then there is the increase in working women population. Add to these the emerging opportunities in the service sector. Lifestyle habits are shifting from austerity to complete self-indulgence and Indians are now unapologetic about spending lavishly on non-essential goods such as luxury watches, cars, and hi-tech products.

India can be said to have entered the second phase of retail growth when there is high speed growth. There are retail chains along with global players which are trying to tap the country’s vast potential. Bringing all these under one roof are mega malls. Now, top names in international malls are also eyeing the Indian market. It is only later that the retailing scene will move to the other phases when the fruits of rapid growth will result in economies of scale and greater efficiency leading finally to consolidation through mergers and acquisitions. Thus, retailing in India has a very long haul ahead. In India for a long time a large chunk of retail outlets were grocery shops. This pattern had been changing in recent years, in urban and rural markets. Of late, India’s largely rural population has also caught the eye of retailers looking for new areas of growth. A slew of supermarket chains are set to storm the rural areas of the country as corporates realize the huge potential of the untapped market. A well-know brand launched the country’s first rural mall, offering a diverse product range from FMCG to electronic appliances to automobiles, attempting to provide farmers a one-stop destination for all of their needs. Other companies are launching ‘one-stop shops’ for farmers and their communities too.

As clear from the story of some of the companies already established, organized retail sector can bring a revolutionary change in rural India unless it goes for quick short-term gains. With Walmart famous for its ‘Always Low Prices’ coming to India. Indian farmers and rural craftsmen can hope for a better direct deal. Retailing does not benefit just the consumer. If can give huge benefits to other industries, to government, and to the entire economy. The rural market is not longer a non-player in the retail game. It is now accounting for about one-third of the market for most durable and non-durable products. Even manufacturers are developing new products with the rural consumer in mind besides using village-oriented marketing strategies for brand promotions. Whether it is an actress promoting a chocolate or a cricketer wowing village lads with a soft drink, both ad makers as well as top company honchos know where to put their money and how. The rural market is no longer of hypothetical empirical value but is well researched and reached by most companies looking to tap India’s vast and abundant bounty.

The Indian retail scenario is poised for a quantum leap. Not only are newer names set to dot the retail landscape but also new and emerging retail formats will drive the diversity of the fast-changing retail backdrop. Organized Retail means ‘Big Stores’ a common myth ….. nothing can be further from the truth. In its very essence, organized retailing is about “aggregating value” and what shape, size and configuration your customer facing entity takes is largely a function of your customer facing entity takes is largely a function of your offer and proposition. A growing population, a young workforce and zooming consumer confidence will fuel the expansion of the retail sector. As organized retail in rural India awaits the arrival of known companies, current majors are expanding their retail operations by setting up more stores, entering new states and offering newer product categories. A shift from selling agri-inputs will help these stories target the non-farming segments. It is a little known fact that, while 25% of the rural population is not engaged in agriculture, it earns 50% of the rural income. The retail market is the next growth frontier for corporate India. It offers an opportunity for a large player to build a 40000 Cr retail business spanning multiple categories by 2015 (at current price). However, to capitalize on the opportunity, a player needs to be aggressive in his outlook and build scale quickly.

1. What according to the author is ‘Organized retailing’?

1) Setting up a number of stores in a short span of time in order to achieve visibility

2) Selling the same products under different names

3) Assigning a higher value to all products so that a greater margin of profit is attained in a shorter span of time

4) Adapting one’s strategy of selling or making products according to customer needs and demands

5) Building bigger stores to attract more number of people

2. What, according to the author, is not well know?

1) Encouraging the retail industries to set up stores in the rural areas will lead to disaster

2) half of the income in rural areas comes from people engaged in non-agricultural activities

3) People in the rural areas are unwilling to spend on products other than those related to agriculture

4) People in the rural areas have a very limited spending capacity because of low income

5) Rural areas have a high potential for success of retail industries

3. Which of the following, according to the author, is/are the reason/s for the change in the spending habits of Indians?

(A) Increase in the number of youngsters securing jobs

(B) Increase in the number of employed women

(C) Increase in the number of nuclear families

1) Only (A)

2) Only (A) and (C)

3) Only (C)

4) Only (A) and (B)

5) All (A), (B) and (C)

4. Which of the following can aptly replace the phrase ‘caught the eye of’ as used in the passage?

1) made a demand for

2) been painful to

3) been noticed by

4) paid attention to

5) sought approval of

5. Which of the following is possibility the most appropriate title for the passage?

1) Retail Industry – The Way Ahead for Farmers

2) Retail Industry – Growth Opportunities

3) Walmart and the Retail Industry

4) Challenges faced by the Retail Industry

5) The History of Retail Industry

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6. Which of the following true about rural market, as given in the passage?

(A) Products are being designed to suit requirements

(B) Companies are taking into account rural settings while conceptualizing advertisements

(C) It forms around 33 percent of the consumers of most retail products

1) Only (A) and (C)

2) Only (A) and (B)

3) Only (A)

4) Only (B) and (C)

5) All (A), (B) and (C)

7. Which of the following is true about Walmart, as given in the passage?

(A) Walmart achieved a fair amount of success in smaller towns of the US.

(B) Walmart has presence in all the countries.

(C) Goods sold at Walmart are priced low.

1) Only (A) and (C)

2) Only (A) and (B)

3) Only (A)

4) Only (B) and (C)

5) Only (C)

8. What is the present situation of retail growth in India?

1) The growth of the retail sector is progressing at a medium pace and India lacks the resources to capitalize on the potential market

2) India’s growth in retail sector can be compared to the growth of the US in the same

3) India has a huge untapped market for the retail sector which at present only the international companies are using to their advantage

4) India is witnessing rapid growth in the retail sector with most companies trying to make maximum of the available market

5) India is witnessing a lot of mergers and acquisitions in the retail sector

Directions (9-12): Choose the word/group of words which is most similar in meaning to the word/group of words printed in bold as used in the passage.

9. DYNAMISM

1) Twist 2) Interweaving 3) Vitality 4) Distortion 5) Deformation

10. ZOOMING

1) Fast 2) Whizzing 3) Increasing 4) Burning 5) Quick

11. AGGRESSIVE

1) Forceful 2) Hostile 3) Violent 4) Antagonistic 5) Destructive

12. SHACKLED

1) Tied 2) Destroyed 3) Chained 4) Restricted 5) Imprisoned

Directions (13-15): Choose the word/group of words which is most opposite in meaning to the word/group of words pointed in bold as used in the passage.

13. DIVERSITY

1) Fairness

2) Uniformity

3) Reliability

4) Difference

5) Equality

14. UNAPOLOGETIC

1) Guilty

2) Reformed

3) Unrepentant

4) Ignorant

5) Accountable

15. UNTAPPED

1) Over – insistent

2) More frequent

3) Available

4) Infect

5) Over – exploited