As Amazon, Walmart and Alibaba gear up to shape both online and offline retail in the next decade, the capital-guzzling, deep-in-red Indian ecommerce bandwagon may have little option but to join the checkout queue
Walmart's next steps will be critical as it looks to create a blueprint for success in India
Walmart began as a small mom and pop store in Arkansas in the 1950s and has evolved into one of the largest retailers in the world today. The chain’s major hallmark: selling goods at prices lower than local mom-and-pop stores. (Sources: WEF Reports, Statista, Business Insider, Bloomberg)
The world’s largest retailer, Walmart, has an international reach of 6,360 stores across five continents. According to Bloomberg, the contribution of its international business to total revenue has reduced from about 30 percent five years back, to less than one-quarter of its total revenue. Reason? Competition, store closures and weak economies. With Doug McMillon as CEO, the company has seen a strategic change – buying e-commerce startups and focusing on potential markets like China and India. In the context of Walmart’s mega deal with one of India's largest ecommerce portals, Flip
The global Goliath may have bought India's largest etailer, but can it take it on a path to profit?
The argument is, why should the offline world not have the same access to the kind of financing Flipkart just received; opening up foreign direct investment in multi-brand retail would achieve this
Experts believe the stellar returns clocked by Flipkart investors is a reason to rejoice, but cautions that there aren't many companies of Flipkart's scale yet
The deal values the Indian ecommerce major at $20.8 billion and includes a $2 billion equity investment, enlarging its war chest to take on rivals Amazon and Alibaba