India is among some of the most influential nations when it comes to the world of e-commerce and online shopping. The country is slowly adapting the technologies, and has an increasingly large number of Indian citizens are now spending online. Not only are they spending online, they are also spending with a freer hand than ever before. Flipkart is among some of the biggest names in the Indian e-commerce markets. The word in the markets now is that Wal-Mart Stores Inc. is interested in investing in Flipkart.
This would be a big news for the company. While Amazon in itself is a major player, and Snapdeal is backed by Alibaba, Flipkart would now have Wal-Mart on their side. This is expected to give a major boost to the company. Final terms of the deal have not been worked out and negotiations are still underway. Flipkart’s most recent valuation was about $16 billion (roughly Rs. 1,06,356 crores), according to research firm CB Insights.
The timing too, is right for Flipkart, as Amazon CEO Jeff Bezos had commented in June that he intends to invest more funds in the Indian smartphone markets. An amount of up to the tune of $3 Billion is expected to be invested by Amazon in the Indian markets. Talking about the current topic, a spokeswoman for Wal-Mart said she could not immediately provide comment. A Flipkart spokesman said, “It is our policy not to comment on rumors or speculations.”
The Wal-Mart Flipkart tieup would provide a major boost to the Indian economy. Consumers, at the end of the day, are the biggest beneficiaries of this deal. With this amount of money backing Flipkart in the days to follow, one can expect more deals and drops in prices from the e-commerce giant in the future. What are your views on this Wal-Mart Flipkart tie-up? Comment below and let us know.
