That’s the headline of a story just out with my colleagues Sarah Nassauer and Luciana Magalhães: It begins:
The world’s biggest retailer has concluded it can’t take on the whole world by itself.
Walmart Inc. is in discussions to give up control over hundreds of stores in the U.K. and Brazil, two big markets where it has struggled for years, according to people familiar with the talks. At the same time, it is preparing to pour billions of dollars into an Indian e-commerce startup to crack a promising market that has long eluded the U.S. giant.
After spending decades building stores around the globe and taking on local players, Walmart is forming joint ventures in competitive markets and focusing investments in areas executives think will provide growth to a company with $500 billion in annual sales. The strategy shift comes as Walmart works to fend off Amazon.com Inc. and a growing crop of discount grocers in the U.S. and abroad.
And more on India:
At the same time, Walmart in advanced discussions to buy a majority stake in Flipkart Group, a homegrown startup that has become India’s largest e-commerce company. The deal isn’t yet complete and could fall apart, said a person familiar with the Flipkart discussions. Flipkart said it was valued at $11.6 billion in a funding round last year.
Click through to read the rest.
- Walmart Bets $15 Billion on an E-Commerce Passage to India
- By Me Yesterday: Microsoft, eBay, Tencent Pour $1.4 Billion into India’s Flipkart
- By Me on Friday: How Amazon Has Taken India by Storm
- By Me and a Colleague Yesterday: Morgan Stanley Fund Cuts Valuation of its Flipkart Holding
- Newley’s Notes 133: Facebook Dating; Angry Elon; Stoned Raccoons