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Indian Online Retail Ecosystem – A Study on Flipkart deal with Walmart

Research Paper

Authors: Aruna Polisetty; Vijaya Kittu Manda; Naveenan R.V.

Journal Name: International Journal of Research and Analytical Reviews (IJRAR); ISSN: E-ISSN 2348-1269; P- ISSN 2349-5138

Volume Number: Volume 6, Issue 1

Journal Paper Link on Publisher Website

Publication Date: Conference Presentation: Nov 13, 2018 / Journal Publication: February 2019

Pages: Pg 46 - 49

Abstract: US retail giant Walmart acquisition of 77% controlling stake in Flipkart in May 2018 has set a new chapter in the Indian online retail market. The deal gave the much-needed confidence to online retail stores who are already cash starving after giving away highly competitive deals and offers for the Indian shoppers. Walmart wishes to use this opportunity to enter the India market where its global competitor Amazon is already present. On the other hand, Flipkart wishes to use the much-needed cash infusion to smoothen out its operations and to get access to international markets. This research article is an attempt to study the dynamics of the Indian online retail industry and factors contributing and determinantal for its growth. The Walmart style of going global is examined and why this Indian acquisition is important. The Flipkart story is examined to understand how it rose from being a simple online bookseller to become gigantic challenging even global giants. This study is of significance in understanding the dynamics of the online retail sector and derives implications for various stakeholders.

Keywords: Online retail, online shopping, retailing, acquisition, walmart, flipkart, amazon

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