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Retailing Performance Evaluation Scale for Indian Brick-and-Mortar Lifestyle Retailers (LSRS-b)

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  • H. R., Ganesha
  • Aithal, Sreeramana

Abstract

A majority of brick-and-mortar lifestyle retailers in India have adapted firm-level and output-driven measures to evaluate their overall retailing performance in addition to not apportioning the central office expenses incurred merely to run stores on to store’s profit and loss account. This output-driven approach is distracting them from focussing on input variables and efficiency that is inevitably imperative if sustainable retail profit and returns on investment are expected. In this exhaustive empirical study, we have studied a few select organized brick-and-mortar lifestyle retailers to identify 64 variables that directly or indirectly determine the returns on investment of a lifestyle retailer, of which we have chosen 16 input-driven variables to design the LSRS-b instrument in addition to ensuring integration of variables that have a significantly positive association and determination with consumer repeat visit rate, sales personnel consumer orientation, cash flow efficiency, revenue generation, profitability, returns on investment, and consumer-level performance evaluation. Based on 24 months of data evaluated, we have found that these 16 input-driven variables have a significant determination of about 86.90 percent concerning the final output i.e., returns on investment (ROI) which is a strong indicator of the reliability of LSRS-b instrument in evaluating the overall retailing performance of organized brick-and-mortar lifestyle retailers in India.

Suggested Citation

  • H. R., Ganesha & Aithal, Sreeramana, 2020. "Retailing Performance Evaluation Scale for Indian Brick-and-Mortar Lifestyle Retailers (LSRS-b)," MPRA Paper 102554, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:102554
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    References listed on IDEAS

    as
    1. H. R., Ganesha & Aithal, Sreeramana & P., Kirubadevi, 2020. "Experimental Investigation of Cannibalisation by Introducing a Global Brand Abreast Existing Indian Store Brand," MPRA Paper 104028, University Library of Munich, Germany.
    2. Betancourt, Roger R & Gautschi, David A, 1993. "The Outputs of Retail Activities: Concepts, Measurement and Evidence from U.S. Census Data," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 294-301, May.
    3. H. R., Ganesha & Aithal, Sreeramana & P., Kirubadevi, 2020. "Changes in Consumer Perspective towards Discount at Brick-and-Mortar Stores owing to Emergence of Online Store Format in India," MPRA Paper 104023, University Library of Munich, Germany.
    4. Jonathan Reynolds & Elisabeth Howard & Christine Cuthbertson & Latchezar Hristov, 2007. "Perspectives on retail format innovation: relating theory and practice," Post-Print hal-00952139, HAL.
    5. Dubelaar, Chris & Bhargava, Mukesh & Ferrarin, David, 2002. "Measuring retail productivity: what really matters?," Journal of Business Research, Elsevier, vol. 55(5), pages 417-426, May.
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    Cited by:

    1. H. R., Ganesha & Aithal, Sreeramana, 2020. "Rational Organizational Structure: For Brick-and-Mortar Lifestyle Retailers in India to Overcome Diseconomies of Scale and Protect Firm’s Sustainability (ROLS-b)," MPRA Paper 102553, University Library of Munich, Germany.
    2. H. R., Ganesha & Aithal, Sreeramana, 2020. "Sales Personnel Attrition Control and Retention – An Integrated Framework for Lifestyle Retailers in India (RSPR-LS)," MPRA Paper 102867, University Library of Munich, Germany.
    3. H. R., Ganesha & Aithal, Sreeramana, 2020. "Theory of Brick-and-Mortar Retailing in India (ToR-b)," MPRA Paper 102869, University Library of Munich, Germany.

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    More about this item

    Keywords

    Indian Retail; Brick-and-Mortar Store; Lifestyle Retailer; Retail Profit; Retail Performance Evaluation; Measuring Retail Performance; Returns on Investment; Retail ROI; Input-Driven Measures; Consumer Orientation; Sales Personnel; Salesperson; Retail Productivity; Consumer-Level Retail Scale; Firm-Level Retail Scale;
    All these keywords.

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • M37 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Advertising

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