Yes, as the title states, US retail giant Walmart has done an agreement with the Indian e-commerce giant Flipkart. The world’s largest retailer will take a 77% stake in the Indian company and this has been a mindblowing gamechanger kind of scenario that’s happening. Now Let’s have a look at both the retail kings in detail:
Mushy tale of these startups:
The e-commerce startup had a very humble beginning where it all started by selling online books to the netizens all over the world.
Their very first customer browsed through their website and ordered a book which was actually out of stock. These brothers(Sachin Bansal and Binny Bansal) were shocked by this scenario and the emailed to them saying that the book they had managed to procure was not in the best condition.
“So you have two choices: If you need it urgently then we can ship this copy itself. Or if you can wait for a week or so then we can try to procure a fresh copy for you. In either case, we’ll give you a 10 percent extra discount for your troubles”.
Actually, the customer, none other than V V K Chandra, owner of a freelance web-consultancy service was highly impressed on their attitude and reverence. This incident happened during October 2007. More than a decade down the line, this startup almost won all the trusts of the online Indian customers and had their piece of cake.
Another notable incident is about the statement said by Chetan bagath, during the release of his book 2 states.
Meanwhile coming to Walmart, it is America’s highly successful retailer and it has been revolutionizing the world of e-commerce with its unique offers and sales strategy towards the world’s customers. Many other startups are really considering this company as a worthy rival.
No trust issues here:
The strengths of both the companies are that they understood their regional customers’ mindset and provided the commodities accordingly. The Cash on delivery concept enhanced a lot of trust among the customers which paved way for greater customer experience. The company’s recent tweet captured the hearts of a lot of customers with awe.
Acquisition with Flipkart:
Now coming back to the acquisition done by Walmart, several leading Multinational companies greeted this event with a warm smile. They also said that these kinds of good relationship with the big shot companies will give a massive boost to entrepreneurship and provide a way for a healthier startup ecosystem in India.
Meanwhile, other individuals stated this as a threat to India. This event may spoil the initiative “Make in India” provided by the Government Of India.
Anyway, let’s hope for the best. As they say, Something is better than nothing, isn’t?