Retail Shakeout

Hi All,
Apologies for the long absence, but have been extremely busy the last few months. However my new year resolution is to update my blog regularly, so here goes.
The slowdown's real and everyone is now busy grappling with it. Nowhere is it more visible than retailing in India. Dwindling footfalls, discounts galore as retailers try to woo the shoppers to their shop. Manufacturers stopping supplies to retailers over non payment of dues is becoming common and one of the retail chain which expanded aggressively sometime back is facing huge capex constraints. As a result, the shelves is devoid of products, employees have been sacked and some stores have been shut.
So is there a way retailers can tide over the slowdown? Did the aggressive expansion plan become their undoing? There are many questions to be mulled over and addressed. I invite thoughts and ideas on the topic.