Why Walmart Should Worry About India

Until recently, Foreign Direct Investment (FDI) was not open to retail in India unless it was a single brand retail store (e.g. an Adidas store). However, under recent reforms by the government, multi-brand retailers such as Walmart and Costco can now set up shop in this huge, growing retail market.

There has been an outcry from the Indian public in various sectors to what has been see as a threat to employment and business by the locals.

For example, in the area of fruits and vegetables, the outcry has come from many angles where middlemen would get impacted due to allowing foreign direct investment.

The supply chain for fruits and vegetables is convoluted at best, but who knew?

The video below, produced by the Wall Street Journal shows how produce gets transported from farmers to your friendly neighborhood store.

It is eye-opening.

Indian Road Trip: Produce’s Long Haul to Market

Transporting Vegetables Across India - from farmers to retail stores

Perhaps Walmart can simplify this supply chain but it’s not going to be easy.

But hey, welcome to India, Walmart!

:

:

Advertisements

Posted on January 20, 2013, in india, politics, shopping and tagged , , , . Bookmark the permalink. Leave a comment.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: