Retail business is deeply rooted in human history. In fact a retail shop is the oldest form of trade. In remote past the owner of a shop used to be the manufacturer of most goods, if not all. A blacksmith or a goldsmith not only produced their products but also sold them. So did a carpenter who besides manufacturing furniture and other wooden items also dealt in the sale thereof.

Their practice may be witnessed even today, to some extent, particularly in our remote rural areas. However, things started changing with the passage of time as the concept of mass production started gaining momentum. This led to the transfer of craftsmanship to factories and mills in the industrially advanced countries to boost production. Interestingly, mass production in turn increased the importance of retailers as the need for more and more outlets became indispensable for distribution at the minimum cost. As a matter of fact a retailer serves as a vital link between the manufacturer and the end consumer. So retailers play a crucial role in any marketing strategy throughout the world. Retail marketing in the west has developed rigorously as a base of broad-based marketing concept. This is visible in the form of mushroom growth of chain-departmental stores, super markets, self-service outlets, mail order business, door-to-door selling, discount shops, franchise retailing (KFC and McDonalds) and direct marketing.

The first multiple retailer in the world was H.W.Smith & Sons who negotiated a contract with the London & North Western Railway Company as early as October 1848 which allowed them the bookstall concessionary on all LNWR stations for an annual rent of 1,500 pounds. Although, basically dealing in books and periodicals, the bookstall also sold some travelling comfort items. The first multiple retailer to operate through conventional shops was the Singer Manufacturing Company which opened its original branch for sale and service of its machines in Glasgow, UK, in 1856 about a year before the Indian War Of Independence. With the passage of time the modernized form of multiple - retailing also gained popularity in other parts of the world. Departmental stores first appeared in America in 1860s, a decade after Europe. Soon after mail-order houses like Montgomery Wood (1872) and Sears Roebuck (1886) sprang up. During 1910s and 1920s, chain-stores emerged rapidly. Emergence of super-market in 1930s marked principal retailing innovation. The late 1940s were marked with the appearance of planned suburban shopping centres. A major retailing development in 1950s was seen in the form of discount houses. The same period also showed a rapid expansion of automatic merchandising through vendin machines. The 1960s witnessed a rapid growth of fast-food service out-lets.

And 1970s marked the rapid development of boutiques, discount grocery stores, furniture warehouses, showrooms and catalogue showrooms. All these retailing forms of business showed changing capacities over the time period to cater to the ever changing needs of the customers.

Retailing system offers bright opportunities and promises, better future prospects for the new entrants. In retrospect rretail institutions have give an effective response to the growing needs and changing demands of the customer in the wake of changing tastes and fashions. Entrepreneurs in the business of retailing have given ample proof of their innovation and creativity.