Native biggest unicorns are bought by Americans, and Indians love and hate.

category:Internet
 Native biggest unicorns are bought by Americans, and Indians love and hate.


Flipkart is not only one of the successful cases of early start-up companies in India, but also has some nostalgia in Indias public imagination. After acquiring the local leading enterprises in India, Indias e-commerce will be dominated by two foreign companies, Amazon and WAL-MART (Walmart). Figure: Flipkart co-founder Sachin Bansal (SachinBansal) and Binney Bansal (BinnyBansal) Flipkart fairy tales Flipkart is not only one of the successful cases of early start-up companies in India, but also has strong nostalgia in the hearts of the public in India. Flipkart is the first place for many Indians to order goods on the Internet (including books, clothes, mobile phones and gifts to love). The company is famous for cash payment because all India customers are unable to obtain digital payment options. Flipkarts early jugaad (the India proverb, which specifically describes innovative ways to solve problems in the case of insufficient resources) fundamentally changed the technical and commercial practice of India and other developing countries. For example, new entry companies like Uber have also received cash payments in India. Worry about unhealthy competition However, not everyone is excited about the acquisition. In Indias multi - brand entity retail industry, foreign direct investment (FDI) is severely restricted, and there are fears that WAL-MART is passing the India FDI law by buying an online retail companies. The India national Traders Association (CAIT) called on the government to intervene immediately because they were worried about predatory pricing and illegal practices in the transaction. The India national online Suppliers Association (AIOVA) also expressed concern about WAL-MARTs adoption of Flipkarts own label to India. Many business leaders, such as the founder of FabMart, Indias first electronic commerce company, IndiaPlaza, K.Vaitheeswaran, considered the deal to be too low in the valuation of Flipkart. However, most people, such as WaterBridgeVentures venture capitalist Salbyville Singh, seem to think that this is a fair price, SarbvirSingh. Singer said, the deal was more urgent for WAL-MART than Flipkart, because Flipkart settled their problems a few years ago, when both softsilver and Tencent were investing in it. WAL-MART needs to expand their e-commerce business, and India is the last big prize. From WAL-MARTs point of view, the deal is significant. In fact, the acquisition of Flipkart has great strategic significance for WAL-MART, so that it can kill two birds with one stone. First, as WAL-MARTs major rival in the United States, Amazon is also the Flipkarts main competitor in India, and it also took part in the Flipkart acquisition. Therefore, the acquisition of Flipkart is a way WAL-MART competes with Amazon in key international markets. Second, entry into India has become a bulwark for WAL-MART to occupy a more extensive market in Asia. Obviously, in the boom of e-commerce in China, WAL-MART has already lost to Alibaba and other companies. Ironically, the fact that WAL-MART (WalmartUSA) is working closely with Chinese suppliers concerns that the acquisition of Flipkart may lead to a more fierce competition for Flipkart India suppliers, not only in the face of competition from American peers but also from China. After acquiring the local leading enterprises in India, e-commerce in India will be led by two foreign companies, Amazon and WAL-MART. Protectionists are dissatisfied with losing their dominance. Consumers who become digital shoppers through Flipkart will also have to accept the fact that the iconic consumer company has changed from startups in India into an American company. In general, although the benefits of the transaction and the impact on the competition in India and the global e-commerce market remain to be observed, it is clear that the Flipkart lifecycle to exit is a sign of an era already coming. Indias entrepreneurial ecosystem is far less than Flipkart. In the past ten years, it has grown and matured along with Flipkart. At that time, the idea of establishing an e-commerce company was odd and even unthinkable. Two more than 20 year old India youths set up a company in a small apartment in Bangalore, nurturing it into a favorite consumer brand in 10 years, reaching a unicorn valuation and selling it to the largest retailer in the world. But now, such a scene does happen. This makes the exit of Flipkart a turning point of entrepreneurship in India. It provides hope for the whole entrepreneurial ecosystem and future entrepreneurs. Now, Indians are beginning to fall in love with it. (small) source of this article: NetEase science and technology report editor: Wang Fengzhi _NT2541 In general, although the benefits of the transaction and the impact on the competition in India and the global e-commerce market remain to be observed, it is clear that the Flipkart lifecycle to exit is a sign of an era already coming. Indias entrepreneurial ecosystem is far less than Flipkart. In the past ten years, it has grown and matured along with Flipkart. At that time, the idea of establishing an e-commerce company was odd and even unthinkable. Two more than 20 year old India youths set up a company in a small apartment in Bangalore, nurturing it into a favorite consumer brand in 10 years, reaching a unicorn valuation and selling it to the largest retailer in the world. But now, such a scene does happen. This makes the exit of Flipkart a turning point of entrepreneurship in India. It provides hope for the whole entrepreneurial ecosystem and future entrepreneurs. Now, Indians are beginning to fall in love with it. (small)