Platform Competition and Informal Retail Viability: Evidence from Quick Commerce Expansion in Mumbai

Currently, Mumbai's urban grocery retail sector has been reshaped by the rapid growth of quick-commerce platforms offering ultra-fast delivery of everyday goods. This paper examines the way platform-based models have altered the competitive dynamics, affected the economic viability of informal kirana stores, and possible regulatory implications. By utilizing platform economics and informal economy theory as frameworks, the study argues that competition has shifted toward a combination of price-based and non-price mechanisms, including delivery-fee waivers, delivery speed, logistics infrastructure, discounts, and scale. The review finds that quick commerce has created competitive pressure on kirana stores through demand diversion, reduced footfall, and weaker bargaining power; however, evidence on long-term viability remains indirect because Mumbai-specific data on kirana income, margins, and closure rates is limited.