Online Shopping Site for Mobiles, Fashion, Books

June 12, 2018 | Author: | Posted in Shopping

Following the announcement of Walmart’s deal, eBay announced that it would sell its stake in Flipkart back to the company for approximately US$1.1 billion, and re-launch its own Indian operations. The company stated that “there is huge growth potential for e-commerce in India and significant opportunity for multiple players to succeed in India’s diverse, domestic market.In a report dated 25 November 2014, a leading media outlet reported that Flipkart were operating through a complex business structure which included nine firms, some registered in Singapore and some in India. In 2012, Flipkart co-founders sold WS Retail to a consortium of investors led by Rajeev Kuchhal.lipkart stated that it would use its technology to enhance its mobile services.Flipkart reprised its Big Billion Day event, except as a multi-day event that would be exclusive to the Flipkart mobile app. Flipkart also stated that it had bolstered its In April 2017, eBay announced that it would sell its Indian subsidiary eBay.in to Flipkart and make a US$500 million cash investment in the company. eBay promoted that the partnership would eventually allow Flipkart to access eBay’s network of international vendors, and vice versa, but these plans never actually came to fruition. In July 2017, Flipkart made an offer to acquire its main domestic competitor, Snapdeal, for around US$700-800 million. It was rejected by the company, which was seeking at least US$1 billion.

Founded in 2007 by Sachin Bansal and Binny Bansal, Flipkart is definitely India’s sweet startup success story, albeit with its own highs and lows. Currently valued at $20 billion, Flipkart had started as DigiFlip which sold USBs, laptop bags etc. Over the years, it has evolved to be the go-to name for Indian e-commerce. It also acquired its rivals Myntra , Jabong and eBay in order to toughen up on its race against rival Amazon.

But Flipkart’s finances had also been dwindling. In February 2016, days after Flipkart claimed it was valued at a whopping $15.2 billion, Morgan Stanley marked down its stake to a $103.97 a share. This was below the price of its last fundraising round. According to reports, Flipkart had declared a loss of $1.3 Bn (INR 8,771 Cr) in FY17.

The Amazon-Flipkart merger could be an exciting one but the Competition Commission of India has a few concerns. The two e-commerce companies together control about 90 per cent of the industry in India and a merger would not go down well with the CCI. The two competing entities if merged will take control of the market. However, a possibility of a merger still lies alive if Amazon lowers its buyout percentage in Flipkart.

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With growing mobile wallet services, flipkart has also stepped in into mobile wallet serviceFlipkart was founded in October 2007 by Sachin Bansal and Binny Bansal, who were both alumni of the Indian Institute of Technology Delhi and formerly worked for Amazon.[9][10] The company initially focused on online book sales with country-wide shipping. Following its launch, Flipkart slowly grew in prominence; by 2008, it was receiving 100 orders per day.[11] In 2010, Flipkart acquired the Bangalore-based social book discovery service weRead from Lulu.com

Author:

Flipkart Pvt Ltd. is an Indian electronic commerce company based in Bengaluru, India. Founded by Sachin Bansal and Binny Bansal (no relation) in 2007, the company initially focused on book sales, before expanding into other product categories such as consumer electronics, fashion, and lifestyle products. The service competes primarily with Amazon's Indian subsidiary, and the domestic rival Snapdeal.[5][6] As of 2017, Flipkart held a 39.5% market share of India's e-commerce industry.[7] Flipkart is significantly dominant in the sale of apparel (a position that was bolstered by its acquisitions of Myntra and Jabong.com), and was described as being "neck and neck" with Amazon in the sale of electronics and mobile phones.[8] Flipkart also owns PhonePe, a mobile payments service based on the Unified Payments Interface

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