In today's competitive business business, travel and tourism industry is one of the world's biggest and fastest growing market sectors. Now Folks are going for leisure, recreation, business purpose and the majority of them are going as part of their employment than ever before. Tourism has become a popular global leisure activity. Matching to US World Tourism Organisation (UNWTO, 2009) there were over 922 million international visitor arrivals in 2008, with a rise of just one 1. 9% when compared with 2007. Now travel and tourism industry is becoming one of the most significant and dynamically growing sectors of economic establishments. A country can earn an enormous amount of foreign currency by travel and travel and leisure.
Despite the ongoing influx of incessant liberalization and globalization, the Indian retail sector continues to be aloof from progressive and ostentatious development. This dismal situation of the retail sector absolutely is due to the absence of a Foreign Direct Investment (hereinafter referenced as "FDI") encouraging coverage in the Indian retail sector. In this context, makes an attempt have been made to study the tactical issues regarding the composition of Indian retail sector, current FDI coverage and its limitation. In addition, the latest move of the federal government to allow 51% FDI in multi-brand retail in India and increasing the FDI limit in solo brand retail in India to 100% (from the prevailing 51%) is facing opposition which includes brought up significant hurdles for effective execution of the reforms.