The retail revolutions in the UK and US. Similarities and differences, Essay

The retail revolutions in the UK and US. Similarities and differences, the winners and losers - Essay Example Undoubtedly, in the last several years, the retail industry has changed considerably just to get better and enhanced. Uprising in every aspect of production, distribution, technological, marketing and delivery have ultimately led to the revolution of the retail industry. This project would focus on this specific industry, the revolutions taken place in USA and UK, the similarities and differences of the retail markets in these two countries. The analysis would further lead to the identification of gainers and losers of this industry. Global Retailing Industry At the end of the 20th century, both North America and Europe have experienced the surfacing of the supermarkets to take prevailing grocery retail form. As the income level increases, the super marketers expanded their product range to seek convenience as well as new tastes and stimulus of the customers. In the later years, with the advancement of technology, introduction of barcode has enabled these stores to effectively manage number of merchandises and their prices (Anand & Nambiar, n.d., p.1-2). Furthermore, the retail stores have introduced 'just-in-time' store replacement and the capability to manage more individual product items. In the coming years, the logistical systems integrated store replacement and computer driven depots integrated in one single electronic system leading to the establishment of superstores. There have been a considerable amount of changes from the last decade to this date. One of the few similarities, which still remain same from the last decade, is that Wal-Mart still holds its top position with distinction across the globe. Other than the dominance of Wal-Mart, there is little or even negligible changes from that of the mid-1990s. The world economy has experienced a considerable amount of shift with changes in the retailer’s operating systems and consumer demand with the incorporation of enhanced technology. Furthermore, intensive competition, saturated customer base and limited legislation have pushed the leading food retailers to cross the borders. Since middle of the 1990s, a number of governments have encouraged their economies to open up, leading to the entrance of the foreign investment and free markets. The entire situation has become favourable for the leading retailers to expand further to capture the global market. In the wake of recent economic downturn, there has been cutback in the corporate IT expenses and other capital spending. Furthermore, the consumers have become more sensitive to the price as well as conservative in the buying behaviour. This has been more prominent in the advanced economies. The global recession has forced the retailers to look more into the cost more effectively. In the second half of the 1990s, the supply chain innovations have been stronger and have continued till date. In the recent times, change in the consumer preference would fuel the online retail services. As of now, the US has remained the biggest area for the online retail with around 37.2 percent of the total market share (IMAP, 2010, p 3-4). USA Retail Revolution The retail revolution of the USA started with the opening of departmental stores in the 1860s, and the constant evolution of the retail industry in USA continues till date. Historically, the production sector has been credited with all innovation and contribution to the growth of the society, and the retail