Pecularities of Walmart’s Work in India

Category: Business
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Question #12-8: What are the biggest obstacles facing Walmart and other foreign retailers in India?

Walmart must overcome several cultural and governmental obstacles while conducting international business in India. Any country like India which has such a vivid culture and tradition outlook, it is very difficult for any international company to market towards. Since long ages, Indians love to shop at crowdy, cramped and busy marketplaces so there are many small businesses which an obstacle for Walmart could be. In United States, Walmart could launch a new store wherever it wants and would never worry about its sale because they excel in convincing their costumers with the ultimate proposers. Back in India, people prefer small sized business over Walmart, so Walmart must find some new strategies which would make it different from other stores and be successful in ceasing the Indian market. on top of that, there are several governmental road blocks which Walmart might surely face. The Indian government clearly knows what business is carried around the whole country. For instance, Walmart might need various licenses just for opening a single store. These are some cost and time hindrances which would result I governmental restrictions which Walmart can never overlook.

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Question #12-9: Summarize some of the elements in India’s political, economic, and cultural environments that can impact the market opportunity there?

Being brief, India has one of the largest democracies in the world, it runs by a federal form of government.  As a result, the multivariate political factors greatly affect the business environment in India. Since the industrial reform policies of 1991, India’s economy has been significantly stable. A country with wide culture and reforms, the cultural factors are of main importance and are taken way too seriously. India has always welcomed new international companies and foreign investors to accelerate the economic growth.

Question #12-10: Review and provide a summary of the global retailing market expansion strategies provided in the text (Figure 12-4, pg. 390-391). Which quadrant of the matrix applies most directly to India and why?

Retailers get a choice from four different market-entry expansion strategies for expanding outside the country. They consist of organic, chain acquisition, franchise, and joint venture, licensing. While comparing to United States, the home of Walmart, India is way distant culturally and economically too, hence making it difficult to penetrate the Indian market. This clearly proves that both, join venturing and franchising can be successful market entry steps for Walmart while considering the Indian market.

Question #12-11:  Going forward, to what degree will Walmart be required to adapt its business model in India?

From one viewpoint, Walmart is such a fruitful organization as of now, to the point that they might have the capacity to discover accomplishment in India with their present plan of action. Walmart is exceptionally ethnocentric as in they trust their present plan of action is the best and most effective approach to run a Walmart store. They additionally have a tendency to trust that their method for activity should work wherever else on the planet similarly as it does in the United States. Since they are an expansive, persuasive organization, they might have the capacity to utilize this system when entering India.

Be that as it may, it might be far less demanding and more successful for the organization to adjust to the present Indian market and traditions. Then again, it might be to Walmart’s greatest advantage to adjust their plan of action with the end goal to be effective in India. Despite the fact that Walmart does not truly establishment their business, it might be a possibility for the organization to consider when entering India. A Walmart that is claimed and worked by Indian nationals would be much more effective than one possessed by the Walmart family and worked like one in the United States. They could also change the store format, like Pantaloon Retail Ltd. did, by offering a familiar, cramped and busy shopping experience. Also, Walmart could make smaller stores, but offer the same variety of products, so that people adapt the desired shopping experience in india.

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Pecularities Of Walmart's Work In India. (2019, Jun 04). Retrieved from