Wal-Mart, the world’s largest retailer, is set to open its first cash-and-carry centre in India next week.
After years of controversy and opposition from local retailers and politicians, Bharti Wal-Mart, the joint venture between Bharti Enterprises and Wal-Mart, will open its first centre in Amritsar.
The plan is to open 10 more big-box outlets in India over the next two years. However, Indian consumers won’t be able to partake of Wal-Mart’s everyday low prices. Wal-Mart’s debut outlet is a wholesale-only operation that will sell mainly to vegetable vendors, hospitals, hotels and restaurants. The Amritsar outlet won’t even carry the Wal-Mart brand. The company has named its Indian outlets Best Price Modern Wholesale.
Industry analysts expect Wal-Mart, known for squeezing efficiencies out of suppliers and supply chains, to have an impact on India’s $375-billion retail market, which is expected to double by 2015.
In 2006, the government had allowed 51 per cent FDI in single-brand retail, despite stiff opposition from the Left.
Industry players said the new government could allow 100 per cent FDI in single-brand and partial FDI in multi-brand retail.
After years of controversy and opposition from local retailers and politicians, Bharti Wal-Mart, the joint venture between Bharti Enterprises and Wal-Mart, will open its first centre in Amritsar.
The plan is to open 10 more big-box outlets in India over the next two years. However, Indian consumers won’t be able to partake of Wal-Mart’s everyday low prices. Wal-Mart’s debut outlet is a wholesale-only operation that will sell mainly to vegetable vendors, hospitals, hotels and restaurants. The Amritsar outlet won’t even carry the Wal-Mart brand. The company has named its Indian outlets Best Price Modern Wholesale.
Industry analysts expect Wal-Mart, known for squeezing efficiencies out of suppliers and supply chains, to have an impact on India’s $375-billion retail market, which is expected to double by 2015.
In 2006, the government had allowed 51 per cent FDI in single-brand retail, despite stiff opposition from the Left.
Industry players said the new government could allow 100 per cent FDI in single-brand and partial FDI in multi-brand retail.
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