What is vmart’s spread on rentals – how many stores are at 4-5% of sales, how many are at 5-8% of sales, how many are at greater than 10% of sales? How many of their stores are breaking even ? What is the working capital in terms of days of sale? How did the working capital change over the last 5 years? How is their model superior to big bazaar or reliance trends or dmart (other than lower real estate costs in small costs ) Today they are not looking at small towns because they are yet to saturate tier 2 and tier 3 cities. Once they complete the expansion in larger urban centre, they will change their focus to tier 3 and tier4 cities. What is v mart doing better which will enable them to compete against the above stores when they open in same towns?
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