US giant Walmart quits India after venture ends

[Bang Galore]

My reasons are not just limited to local employment.
An Indian chain would wipe out just as many small shops as a Walmart would.

But an Indian chain would create more Indian jobs than Walmart would use. Walmart would leverage their global personnel base, while Indian chains have a much higher probability of generating a similar base from Indians.

That apart, the profits would be repatriated to India, in Walmarts case, they go to the US.

I believe things are a bit more nuanced. Walmart sources nearly a couple of billion dollars of goods from India for its global operations. Any Indian operation would probbably help in sourcing even more, I believe Walmart had made an offer/indication of sourcing up to $10 billion worth. That would be pretty useful in the long run. Any excessive imports from China could always be dealt with by increased duties on specific products. The difference between India & China in terms of labour cost is not substantial enough to cover higher duties, unlike in the west. Walmart already has a large base in India for sourcing & it would only get larger. Indian chains might end up keeping profits in India but I have seen little evidence that they would bother very much about local suppliers, especially because the local suppliers would simply not have scale. Walmart on the other hand, for that material it buys within India would have scale because the buying would not only be limited to its Indian operations. Pros & Cons available on either side of the argument.

 

[Fattyacids]

the point still stands, chinese equipment can only compete on price. you will be laughed at in tech circles if you picked huawei over cisco because of quality

chinese themselves prefer to buy foreign brands over chinese ones. fact.

Every product has to compete on price, but no businesses make a purchase decision purely based on price alone or just quality. It's about price-to-performance ratio, aka value, as these businesses have a budget to work with. If Huawei can compete with Cisco for the same client, their quality can't be too far apart. Indian IQ

If you talk about designer goods, it has to be foreign. Consumer goods are quite different. Li Ning rackets are among the most expensive. Forget value, theirs are best selling rackets in China and Asia.

 

[Bang Galore]

PISA might be too advance, you need IQ test first. No. 15 was my reply to your post no.14 in which you quoted my post no 12--that was my reply to post no. 6
Don't get confused

Says the chap who even in his confused reply could not explain where post #10 came into it.


Ya...your IQ is apparent. Go away

 

[Abhishek_]

Every product has to compete on price, but no businesses make a purchase decision purely based on price alone or just quality. It's about price-to-performance ratio, aka value, as these businesses have a budget to work with. If Huawei can compete with Cisco for the same client, their quality can't be too far apart. Indian IQ

If you talk about designer goods, it has to be foreign. Consumer goods are quite different. Li Ning rackets are among the most expensive. Forget value, theirs are best selling rackets in China and Asia.

no matter which way you spin it, when it comes to robust performance and reliability, huawei never comes into the discussion.
perhaps in china it does, but not in US.

 

[Bang Galore]

Do you know that China is the biggest trade partner for India? Indians bought Chinese goods worth $47.7 billions in 2012.
Meanwhile, India is only the 11th trade partner for China. China only imported $18.8 billions from India.
What China sold to India were mostly completed goods, while the major exports from India were raw materials.

Sport, we are talking purely about brands here, Everyone is aware of the trade that takes place.

The only reason for Indians to boycott Walmart is that they are not capable to compete with it. How pathetic!

Err...no one is boycotting Walmart here. We are discussing a Walmart decision.

 

[Fattyacids]

no cigar son, most major corporations aren't looking for "value for money". the rule is, you get what you pay for.
when it comes to robust performance and reliability, huawei never comes into the discussion.
perhaps in china it does, but not in US.

All corporations have expenditures budget. Purchasing decision is always based on price-to-performance ratio. Who are you trying to fool? This is not India, I'm not your average Indian.

Huawei products and services have been deployed in more than 140 countries and it currently serves 45 of the world's 50 largest telecoms operators.

1)In 2004 Huawei continued its overseas expansion with a contract to build a third-generation network for Telfort, the Dutch mobile operator.[17] This contract, valued at more than $US25 million, was the first such contract for the company in Europe.[

2) Huawei also signed a contract with British Telecom (BT) for the deployment of its multi-service access network (MSAN) and Transmission equipment for BT's 21st Century Network (21CN), providing BT and the UK telecommunications industry with some infrastructure necessary to support future growth as these companies are multi vendor infrastructure.

3) Huawei delivered one of the world’s first LTE/EPC commercial networks for TeliaSonera in Oslo, Norway in 2009. The company launched the world's first end-to-end 100G solution from routers to transmission system that same year, to help meet the rapid growth of network traffic and enhance router efficiency and reliability.

4)In July 2010, Huawei was included in the Global Fortune 500 2010 list published by the U.S. magazine Fortune for the first time, on the strength of annual sales of US$21.8 billion and net profit of US$2.67 billion

5)Huawei's revenues in 2010 accounted for 15.7% of the $78.56 billion global carrier-network-infrastructure market, putting the company second behind the 19.6% share of Telefon AB L.M. Ericsson, according to market-research firm Gartner

Now go slap yourself silly.

 

[Contrarian]

Mate its just wrong thinking that local shops will be wiped out.. Just think about it.. Will you go to your nearby shop or to wall mart to buy a soap or a paste.. They are here to stay and one of the other benefit is that these groups buy directly from the producers so farmers will be get more benefit from it and by avoiding middlemen, people get vegetables and other goods at reasonable prices..

@Bang Galore, I mentioned the point about small shops losing out in the reference that that is inevitable in the long run.
Modern retail is the way ahead. The only thing is that I would prefer that this is done by Indian players than American/European.

There are benefits to having walmart, I dont disagree. In my opinion however, if foreign players can be discouraged, or their participation limited to 49%, it would be the ideal solution. That would maximize Indian jobs(in those companies), and profits wont be repatriated to some other nation.

 

[illusion8]

This 1/6 of humanity only won like 5 or 6 medals in the last olympics, save cricket, I doubt they know much about sports and sports gear.

No, seriously wtf's lining sports gear? tell me their brand name and which international sportsperson endorses this chinese cr@P?

 

[Fattyacids]

Says the chap who even in his confused reply could not explain where post #10 came into it.

Here's post no 10.

Told you to go for IQ test

 

[farhan_9909]

Its good that Walmart leaves India.

What we need are Indian supermarkets and logistic chains, not foreign.

Lulu supermarkets are among the best in UAE.

Does LULU exist in india aswell?

 

[Contrarian]

Lulu supermarkets are among the best in UAE.

Does LULU exist in india aswell?

No idea. But my comment was a general comment against all foreign supermarket chains, not just Walmart.

 

[Iggy]

Lulu supermarkets are among the best in UAE.

Does LULU exist in india aswell?

No idea. But my comment was a general comment against all foreign supermarket chains, not just Walmart.

They have started their first Hypermarket here in Cochin, Kerala... Bloody rush there..

Its actually owned by a Malayalee guy

 

[illusion8]

Lulu supermarkets are among the best in UAE.

Does LULU exist in india aswell?

Lulu is a Keralite Indian's supermarket chain

it's in India too.

Lulu Shopping Mall and Hypermarket, Kochi - FULL VIEW - YouTube

 

[Fattyacids]

No, seriously wtf's lining sports gear? tell me their brand name and which international sportsperson endorses this chinese cr@P?

Not counting Chinese olympians and world champion, off the top of my head, Shaquille O'Neal and Dwyane Wade.

 

[Skull and Bones]

Walmart in China and other parts of Asia carry many Lining products. If you're into badminton, Lining makes some of the best rackets. I guess badminton is not big in the US.

You probably won't find many Huawei products in Walmart in the US. But Huawei equipment are of very high standard for sure. Just check out the list of businesses and corporations using their products. If my memory serves me right, Huawei built and operated the first 4G network in India.

There's also Xiaomi mobile phone that is gaining a small cult following in China.

Yes, Huawei was responsible for 4G in Kolkata with Airtel.

I heard about Xiaomi, and the abrupt increase in revenue in one year, but failed to understand, why? I got few Chinese buddies in US having brought Xiaomi from China, but i don't see any of it's USP over Galaxy S4, HTC One and other market leaders. Is it the low price?

On the other hand, i was impressed with the quality and specs of Oppo Find 5, and might buy one for my mother.