Driving Retail Success through the Sustainability: Insight from the Indian Market

Abstract

Retailing encompasses a set of activities aimed at selling products or services to consumers for personal or family use. This research paper focuses on the sustainability practices adopted by Indian retailers. Indian retail industry has significant impact on everyday lives of people, since it contributes to approximately 10% to the GDP. Sustainability in the developing economies is still in its nascent stage and is still striving for economic growth and environmental responsibility. A shift in the business world has been witnessed towards sustainable practices in response to the social and environmental impact of business. Sustainability is essential for transforming business model and emerge as more sustainable retailers.Indian retail sector must align with SDG-12 ( responsible consumption and production) and to further bolster it, should resort to sustainable financial practices by incorporating ESG factors into financial decision making for long term value creation. The current research paper investigates into two main perspectives. First is study of sustainable retail practices in India, and second the development of lucrative product range influenced by sustainability considerations followed by impact of investment on sustainability. The study relies on secondary data sourced from sustainability and annual reports published by retailers. The findings of the study conclude that sustainability is a critical factor for retailers. Sustainability not only influences the development of product ranges but also plays a significant role in consumer store preference. Stakeholders, primarily the investors, play a vital role in promoting sustainability practices. There is need to bridge the gap between customer preference and sustainability by nudging shoppers to make better choices. Ultimately integrating sustainable practices enhances retailers’ legitimacy, lure investors and fosters greater consumer trust. In the end it is concluded that Indian retailers still have long way to go in sustainable development in the economy.