Walmart Buys Flipkart to Enter India’s Crowded E-Commerce Market

Walmart Buys Flipkart to Enter India’s Crowded E-Commerce Market

On Wednesday, Walmart said it planned to acquire a 77 percent stake in India’s Flipkartfor $16
billion, marking the beginning of its first real battle with Amazon in an emerging market.
Wall Street investors did not react favorably to the move, sending Walmart shares down as
much as 4 percent during the day.

At the end Walmart Enters India’s Crowded E-Commerce Market

And crazy fact is the same day, eBay announced that it was selling its minority stake in Flipkart
and relaunching its own operations in the country. With those moves this week, India’s $27
billion online retail market got a little more crowded as the some of the world’s largest
e-commerce giants—Amazon, eBay, Alibaba, and Walmart—jostle for dominance.

Many analysts are predicting that India, the world’s second most populous country, will soon
see a huge boom in its e-commerce markets. Morgan Stanley, for instance, predicts that the
country’s market will grow more than 1,200 percent to $200 billion by 2026. (The U.S.
e-commerce market in 2017, for comparison, was $453 billion.)

Walmart has been trying to enter India for the last decade and already has 21 brick-and-
mortaroutlets and plans to open another 50. Walmart’s purchase of Flipkart seems to be a move
to enter the e-commerce market earlier.

Bottom Line: In an earlier time when the retail giant Walmart tried to enter into indian Market,
some of the “Swadesi” lovers closed the door. And now ultimately FlipKart the Indian giant in
e-commerce itself given a wide door to Walmart and its going to change the way of e-Market
in India soon.