Walmart to stem market share loss via local partnerships in India & UK
Category: #retail  By Paroma Bhattacharya  Date: 2018-04-30
  • share
  • Twitter
  • Facebook
  • LinkedIn

Walmart to stem market share loss via local partnerships in India & UK

Renowned retailer Walmart Inc., in an effort to curtail the loss of shares to rivals across the globe, plans to strike partnership deals with local operators in the UK and India. Walmart’s international moves over the years have proved to be largely non-profitable and hence the world’s largest retailer is trying to jumpstart its international growth with partnerships while offloading unprofitable ventures such as its Brazilian operations, cite experts.

Walmart has recently had talks of merging ASDA, its UK arm with J Sainsbury Plc. Walmart is to hold a minority stake in the merger. The retail giant is also planning to acquire majority stakes in Flipkart, India’s leading online retailer, for $10 to $12 billion, after years of performing poorly in the country.

The moves emphasize Walmart’s renewed focus on levelling up to players like Aldi and Amazon in the international scenario. Reportedly, less than a quarter of Walmart’s total revenue of $500.3 billion in fiscal 2018 was gained from the retailer’s international ventures.

Burt Flickinger, MD of Strategic Resource Group, admitted that Walmart has been slow to react to the scope of overseas business and its decision to foray UK and India may be a part of its corrective action.

The move to strike partnerships indicates a major shift in Walmart’s foreign business policy, as the firm may now be signing deals to bridge the gap between itself and its competitors instead of trying to break tough foreign markets and building business on its own, claim experts. Walmart International, which runs 6,300 stores internationally, gained $118.07 billion in fiscal year 2018 which is 14% less than what it gained in 2014.

Walmart had recently appointed COO Judith McKenna to salvage its international performance, signaling its aspiration to focus on growing in the North American markets along with the emerging markets of China and India. 

Whether Walmart International’s growth will be compounded by its latest moves still remains to be seen. However, for now investors are optimistic about the decision to galvanize global growth.



About Author

Paroma Bhattacharya

Email: [email protected]   

Paroma Bhattacharya

Paroma currently works as a content developer for Algosonline, MSF and a series of alike platforms. Fortified with a post-graduation degree in Journalism and Mass Communication, she delved head long into a writing career, creating resourceful and information enriched ...

Read More

More News By Paroma Bhattacharya

E-grocery start-up HappyFresh secures up to US$20M in Series C funding
E-grocery start-up HappyFresh secures up to US$20M in Series C funding
By Paroma Bhattacharya

The Jakarta-based online grocery delivery start-up, HappyFresh, has made it to the front page for raising around USD 20 million in its latest Series C financing round. Reportedly, the fresh influx of capital will be us...

Walmart partners with Kidbox for its first apparel subscription box
Walmart partners with Kidbox for its first apparel subscription box
By Paroma Bhattacharya

Walmart has recently announced that it is launching its first subscription business for apparel and it would be solely for kids. The company has teamed up with Kidbox, a subscription-box company like StitchFix but focu...

Cube Chain launches Test-net that enables high TPS and fast searches
Cube Chain launches Test-net that enables high TPS and fast searches
By Paroma Bhattacharya

Innovative blockchain ecosystem Cube Chain has reportedly launched Test-net, a new platform that will permit high transaction per second (TPS) and fast searches when using blockchain. The new technology will also renov...