Walmart is about to divulge into one of the biggest growing marketplaces in the world by taking over the 77% share in Flipkart that is among the top e-commerce retailers in India. Walmart will initiate its journey in the Indian market with a firm hold as it had already spent $16 billion for the stake.
In the history of the business owned by Flipkart, it is the biggest acquisition and has also committed the accomplice to help take over the second biggest economy in the world by the end of 2040.
Walmart also revealed that as India offers one of the most lucrative retail markets, the scopes of growth are also high as the conjugation has taken place with a leading brand in the segment of e-commerce.
Apart from Walmart, Amazon also has its eye on the Indian market. It has decided to invest a sum of $5 billion and offer the customers with the prime membership worth $15 in order to bloat the customer database. It will also be piling the Amazon Prime video with ample local contents in order to strengthen the customer satisfaction and loyalty.
Not only Amazon, Walmart will also encounter a strong competition on behalf of Alibaba that is the Chinese e-commerce company. It has already initiated its business in India.
India is bestowed with more than a billion population and the majority of them belong to the category of middle-class that have embraced online shopping more than any other country. This lures the other companies to establish their business in the Indian market. Only Chinese brands like JD.com and Alibaba are the robust competitors that make the stability of Walmart in China under question.
The investors are considering the bidding price of $16 billion and are skeptical of the pact. However, if proper steps are taken, the company has great scopes.
Morgan has been in the position of the business analyst for almost a decade and with such expertise, he is one of the best expert hands with us. His profound understanding of the trade, commerce, and business trends makes him a reliable contributor to blamfluie.com.