The Challenges of Traditional Fast Moving Consumer Goods (FMCGs) Retailers of Sylhet in Emergence of Organized Retailing
Organized retailing in Bangladesh is growing rapidly. Though the researchers and academicians studied the retail industry of Bangladesh in different dimension, very few of them intended to explore the challenges of traditional retailers so far. In line with this problem, the objective of this study is to identify the challenges of the traditional FMCGs retailers in emergence of organized retailing in Sylhet city. The study is quantitative in nature, data were collected from 400 traditional retailers on the basis of convenience with a semi-structured questionnaire. In analyzing data, descriptive statistics and factor analysis were used with the SPSS software. The traditional retailing is male dominated, low capital and turnover, small sized business in Sylhet and are facing challenges like decrease in sales and revenue, maintaining more hygienic environment, ensure the availability of quality products, launching the use of technology etc. in emergence of organized retailing. To minimize the challenges, the traditional FMCGs retailers need to be educated to obtain knowledge on business, ensure quality products and services, establish joint venture or partnership with other retailers to create chain stores, design effective loyalty programs and arranging customized merchandize for the loyal customers etc. The present study will help the traditional retailers in identify the real challenges of their business and designing strategies to minimize those. The policy makers and stakeholders may also get insight from the study in formulating policies to protect the traditional retail business from the competition of organized retail.
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