Wal-Mart deals with Bharti Enterprises to enter Indian market
07 Dec '06
2 min read
This is particularly pertinent since India's agricultural sector is even more fragmented and inefficient than its retail market - with the average landholding being 1.5 acres.
Rival Reliance Retail has also introduced a farm to fork initiative - signing up massive tracts of land for contract farming to support its vision of 1,500 supermarkets over the next few years.
With Verdict expecting retail sales in India to almost double from $261.8 billion in 2005 to $517.6 billion by 2010, Wal-Mart is well on its way to capitalize on the increased spending power of India's booming middle class.
For success in India to be guaranteed, the retailer needs to shrug off the arrogance that has been a hallmark of some of its previous international forays and led to its embarrassing withdrawal from the South Korean and German markets.
marketing@alchempro.com
