It will soon be a clash of the two biggies of the retail world where it soon witnesses something big and new. The E-commerce sector will soon experience a new wave of innovation as Walmart and Flipkart are all set to enter a deal with each other and create an iconic retail growth.
The stage is set for Walmart to announce the purchase of a majority stake in Flipkart a deal which will be India’s biggest online retail where it will cost around $21 billion and make it one of the biggest deals around.
The deal will go public on Wednesday that is the 9th of MAY however no confirmations on the same have been made.
What’s in store for both the online retailers?
Both the biggies are expected to enter a biggest online retail deal. Walmart will buy close to around 70 % of the stake online. It is expected to invest in the world’s largest retailer and buy the rest of the existing stake from Flipkart. Another big news is that Google is expected to buy around 5% of the stake in the Flipkart.
What’s more in store for Flipkart?
Some of the biggest investors are expected to sell their stake in the leading e-commerce giant and are expected to sell them off equally.
So, is this good news for India?
The most important question of this deal is that whether Walmart will take forward Flipkart’s name? How will the deal eventually turn essential for India?
There was a survey conducted and the findings from the survey suggested this-
Walmart is a huge name that is terms of brand as compared to Flipkart.
It has a huge global appeal.
It will be an equal competition to Amazon.
Also, the products will be offered on a more global scale and the brand name will also have a higher assurance.
Also, the big question is that with Walmart eyeing the Amazon Prime series, it will be difficult to maintains the loyal customers also since they enjoy a huge fan following base.