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Rise and fall of subhiksha case study

The case examines the financial and business related problems faced by Subhiksha Trading Services Limited Subhikshaone of the leading retailers in India. Subhiksha, which was started as a discount store inwas based in Chennai, India. Since SeptemberSubhiksha faced difficulties in operating its stores. The company had reportedly defaulted on its vendor payments which resulted in empty shelves on its stores. This case study's primary objective is to analyse all the facts responsible for the downfall of an Indian fledging retail chain, Subhiksha. Having been started by the alumnus of the prestigious B-school, Indian Institute of Management Ahmedabad IIM-Athe long-term success, survival and profitability of Subhiksha was expected.
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Subhiksha: Managing Store Operations Case Study Analysis & Solution

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The Rise and Fall of Maggi in India

Abstract: This case study's primary objective is to analyse all the facts responsible for the downfall of an Indian fledging retail chain, Subhiksha. Having been started by the alumnus of the prestigious B-school, Indian Institute of Management Ahmedabad IIM-A , the long-term success, survival and profitability of Subhiksha was expected. In the light of India's promising retail potential, huge investments were made by several big corporate houses of India, jacking up the prices of all the related parts of the industry.
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Subhiksha, once the blue eyed boy of Indian retail, R Subramaniam in pioneered the value retailing concept in India and has now become a case study on what not to do in the industry. Subhikasha had a go to market strategy, they started off in Chennai by opening small not more than sf stores retailing food and groceries. Retailing at below market prices, using a low cost approach eg. Downfall of the company began in when it took up an aggressive pan India expansion plan and opened a staggering stores across the country in less than two years. To fund the CAPEX of opening new stores Subhiksha took on Rs8bn debt, which added financial leverage to the already existing operating leverage in the business model.
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