Last Updated 17 Aug 2022

Wal-Mart in India: a success or failure?

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The research revolves around the idea that the entry of retail giants Wal-Mart is a success or failure in India. Since Wal-Mart failed in Germany and South Korea therefore these failures are identified and kept in mind in the Indian expansion. That’s the main purpose of this research. Since the Indian economy is booming in the current era and studies suggested that the current retail market of India is estimated to be $250 annually. The core purpose of this research is to find out that whether this step of Wal-Mart is suitable or not?

Wal-Mart’s expansion in India is a big step in as far as the operations of Wal-Mart is concerned. Due to regulations Wal-Mart has to join hands with and organization named as Bharti Enterprises because direct foreign investment in the retail sector is not possible in India due to regulatory issues. Thus, both of them have agreed to join their hands in becoming a joint venture. The main problem Wal-Mart has to face is to build an operational model similar to Bharti Enterprises that must match Indian method of working. Since Wal-Mart is embedded with technological aspects and the supply chain of Wal-Mart is quite rich in its flow.

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Both the organizations have to match each other in terms of attributes because they have to keep the joint venture intact. Wal-Mart has to deal with issues like cultural diversity and religious preferences and have to collaborate with their partner in order to achieve the desired results. Similarly, the main business problem under investigation was the expansionary effects of Wal-Mart in India. A theory named as Dunning’s eclectic theory was discussed and the case of Wal-Mart entry is evaluated through this theory (Halepete, Seshadri, & Park, 2006).

As far as the involvements of individuals are concerned then the research was actually conducted by the individuals of the Marymount and Fairfax University. The research was conducted on Wal-Mart expansion program in India and its joint venture with Bharti Enterprises. The methods that were used to conduct the research were the eclectic theory and a proper case study was developed to facilitate the research. The basic findings of the research were Wal-Mart faces number of issues when they entered into India. The prominent issues were certain ownership issues and the fact that the Wal-Mart’s in India wasn’t appropriate.

These issues must be solved or must be kept in mind when entering into a diversified market such as India. The saturation and cut throat competition in the retail industry proves to be an opportunity as well as a threat for the Wal-Mart. One of the basic methodologies that might be used is surveys and literature reviews in identifying the advantages and disadvantages of Wal-Mart’s expansion strategy. The conclusion of the research suggests that Wal-Mart has to focus a lot on price and they must learn from their past experiences in South Korea and Germany.

They must develop strategies that are cultural enriched and it must match the needs of the Indian people. Similarly, joining hand with an Indian company is a tough ask for the company and they have to integrate their resources to compete in the retail market. Research findings suggest that the retail market is changing and Wal-Mart can attract more customers by effectively implementing proper strategies. Works Cited Halepete, J. , Seshadri, I. , & Park, S. (2006). Wal-Mart in India: a success. emeraldinsight.

Wal-Mart in India: a success or failure? essay

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