What changes will we see now that Walmart has purchased Flipkart? - letsdiskuss
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Sameer Kumar

Software engineer at HCL technologies | Posted on | News-Current-Topics


What changes will we see now that Walmart has purchased Flipkart?


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System Engineer IBM | Posted on


After months ofrumorsand speculations,the deal betweenWalmart and Flipkart is finally set. Walmart hasacquired77 percent stake in Flipkartat $16 billion. Thisis billed as the biggeste-commerce dealtodate.Needless to say,the developmentwillcompletely shake the entire Indian online retailscene. This will also give a big ***** to Amazonthat has beenaggressively expanding in the Indian market. Imagine now—Walmart vs Amazon, we would get to see this battle at home.


Now,what changeswe cansee in the coming days out of this dealcan only be guessed.But there are few thingsthat look evident and imminent.


Walmart CEO Doug McMillon has said that Flipkart won’t become Walmart. However, taking his wordsat face value would be quite absurd—not at least when you’re thinking of long-term.Walmart is notoriously known to sell its own private label productsat cheap prices. Thisposesa serious threat to the Flipkart sellers, who have already voiced their concerns. How cantheycompete with$500 billion worth giantby lowering their price when many of them are alreadystruggling with marginal returns!


Talking from the customers’ perspective,it’s all good news for them. Walmart, with Flipkart,will bring themhigh-quality productsatevencheaper rate.And what more they can want. And if everWalmart opens its trademark stores in India,thelarge resourceof Flipkartcouldbe extremely helpful for it.Also,Walmart has great logistic and transportation experience. It can effectively cut back on the middlemen andprovide products to consumers directly from the farmers. This can greatly help the farmers.


Again, the details of Walmart Flipkartdealarestill not very clear.What is their strategy, howWalmartwill help Flipkart grow, how Flipkart will help Walmartgrow,how their expansion strategy will change in the coming years—these are some of many questions that remainunanswered.As we move forward and get more details about thismammothe-commerce development,we would know exactly who will be most benefitted and who not.not.



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