INSUBCONTINENT EXCLUSIVE:
The deal values the 11-year old Indian e-commerce firm at $20.8 billion.New Delhi: US retailer Walmart's $16 billion acquisition of
e-commerce firm Flipkart will vitiate the country's e-commerce space and create an uneven playing field, traders and retailers said on
The Confederation of All India Traders (CAIT) said the deal is nothing but a clear attempt to control and dominate the retail trade in India
by Walmart through e-commerce in the long run
On the other hand, Retailers Association of India while staying away from commenting directly on the acquisition, said some e-commerce
Major Mergers You Should Know"Digitally powered e-Walmart will certainly vitiate the e-commerce and retail market
There will be an uneven level playing field to the disadvantage of retail traders
General Praveen Khandelwal said the key issue is whoever controls the platform controls data and digital intelligence
"The owner can squeeze and dictate anything
It is much more difficult for the government to control and regulate foreign owned platforms and all indigenous players will have no value
if a foreign company runs the platform," Khandelwal claimed
He said the government should immediately frame a national policy for e-commerce and constitute a regulatory authority to regulate
e-commerce business in India and till such time, the deal should be put in abeyance by the government and a close scrutiny should be held of
take strong steps to ensure adherence to FDI policy
"We believe that some e-commerce companies in India have not been adhering to the guidelines issued under the Press Note 3 of the FDI Policy
These companies have been directly or indirectly participating in pricing and discounting, which is against the policy that seeks to create
Walmart-Flipkart deal as a salute to the success of an Indian start-up that pioneered the fledgling online retailing in a country where bulk
of the trade is in the unorganised sector
Walmart Inc today said it would acquire 77 per cent stake in Flipkart for about $16 billion in its biggest acquisition till date
TheIndianSubcontinent staff and is published from a syndicated feed.)
