1. WALMART’s Entry Into Indian
Market.
Is it Good For Consumers ?
Presented by : Team
Warren Buffet.
2. • WALMART is an American Retail Industry
founded by Sam Walton in the year 1962.
• WALMART has 8,970 stores in 15 countries,
under 55 different names and over 2.1 million
employee’s
• Headquarters is in Bentonville, Arkansas, United
States.
3. Retail: Porter’s Five Force Analysis
Threat of Entry Threat of Suppliers
High both in unorganized Low
and organized space
Level of Threat in
the Industry
Threat of Rivalry Threat of Buyers
High Medium to High
Threat of Substitutes
Medium to High
4. • WALMART entered into Indian market with the help of
Bharti Enterprises through a 50:50 Joint Venture Policy.
• Bharti Enterprises is one of India’s leading business
groups with operations in over 21 countries across the
globe and interests in telecom, financial services, retail,
fresh and processed foods, and real estate.
• The first Bharti WALMART in India was opened on
May 30th 2009 in Amritsar and was named “Best Price
Modern Wholesale” store.
5. Wal-mart Supply Chain Flow Chart
Distribution Centre
Retail Store
Manufacturer
Headquarters
Manufacturer Retail Store
6. • WALMART in Indian Retail Market has its own
perceptions on the Consumers and the retailers as
well.
• As we know Consumer behavior varies through out
the globe, WALMART has to imply special strategy to
overcome the changing consumers behavior.
•Some of the basic needs of a consumer are
• Low price products without compromising the quality.
• Availability of different products at one store.
• Ease of access and transport, etc.
7. Effects on other Retail Industries.
• As we know that the Indian Retail Marketing Consists
of huge number of Small scale traders, local shops,
whole sellers, etc. The entry of WALMART may result
in a huge marketing competition.
• Some of the retailers like Reliance, Big Bazaar, Spar
and so on will have to implement a new supply chain
to compete against WALMART.
8. • WALMART in order to capture the Indian market is
trying to introduce low price strategy on their products
which in turn affect other local businesses.
• Local traders later also should implement this pricing
strategy which may affect their profit margin. But in
return the consumers may benefit a lot from this.
9. Key Highlights
• Contributing 14% to India’s NGDP
• Providing employment to 7% of its
workforce.
• Highly regulated Indian Retail Market
• Crucial mainstay of Indian economy
10. In order for the WALMART to be a success it
has to follow some of the strategies.
• Establish a efficient partnership with Bharti.
• Design a effective Supply Chain System.
• Analyzing the needs of the Indian Consumers.
• Not only focusing on the Profit but also on the
Consumers Relation.
11. By analyzing all the aspects of both the Consumers and
Retailers, the entry of WALMART would help the
Consumers in the following way.
• First of all this would create a healthy competition among
Indian Retailers.
• Improve in the competition results in the better pricing
strategy, hence the products will be available for more less
price.
• Consumers would be more exposed on different products
from different parts of the world.
12. Conclusion
The WALMART in Indian market would help
both consumers and non consumers in many
ways,
• Firstly Improves the way that the Indian Retail System
is working.
• Secondly helps in providing more employment
opportunities.
• Thirdly improves the Indian Economy.
• Consumers will be exposed to more advanced
Products, thus improvising the technology.
13. • Helps the local producers to sell there products easily.
• Brotherhood amongst the two countries( India & USA )
would improve.
• Taxation on imports and exports would be reduced,
and
• Also helps to achieve a better reputation in the present
globalized market.
• India is the second largest market in Asia
• India market has an infinite amount of resources &
people
• Wal-Mart's strategy to move to India is good.
