Essay: Wal-Mart in India-a success or failure

Sample Essay

The research revolves around the idea that the entry of retail giants Wal-Mart is a success or failure in India. Since Wal-Mart failed in Germany and South Korea therefore these failures are identified and kept in mind in the Indian expansion. That’s the main purpose of this research. Since the Indian economy is booming in the current era and studies suggested that the current retail market of India is estimated to be $250 annually. The core purpose of this research is to find out that whether this step of Wal-Mart is suitable or not?

Wal-Mart’s expansion in India is a big step in as far as the operations of Wal-Mart is concerned. Due to regulations Wal-Mart has to join hands with and organization named as Bharti Enterprises because direct foreign investment in the retail sector is not possible in India due to regulatory issues. Thus, both of them have agreed to join their hands in becoming a joint venture. The main problem Wal-Mart has to face is to build an operational model similar to Bharti Enterprises that must match Indian method of working. Since Wal-Mart is embedded with technological aspects and the supply chain of Wal-Mart is quite rich in its flow. Both the organizations have to match each other in terms of attributes because they have to keep the joint venture intact. Wal-Mart has to deal with issues like cultural diversity and religious preferences and have to collaborate with their partner in order to achieve the desired results. Similarly, the main business problem under investigation was the expansionary effects of Wal-Mart in India. A theory named as Dunning’s eclectic theory was discussed and the case of Wal-Mart entry is evaluated through this theory (Halepete, Seshadri, & Park, 2006).

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