Modern retail landscape in India
Little did we anticipated when Walmart walked out of the JV with Bharti Enterprises by saying India is too corrupt for FDI in pursuant to the probe originated from US for violations of US anti-bribery laws, leaving over 200 ‘Easy day’ outlets in India at bay and taking 20 cash-and-carry wholesale model under Walmart India and converting the $ 100 million debt (invested in the JV in 2010) into equity for Bharti Enterprises (as compensation for breaking the agreement term prematurely). A deal signed as a 50:50 joint venture between the two companies in the year 2007 , relationship became another example of policy paralysis and was victimized to the ambition of foreign companies to enter emerging markets in account of risk appetite and growth hunger. What next: Bharti Enterprises to sell equity to private equity funds or foreign investors. Current losses in Fiscal 2012-13 were 538 crore as against total sales of 1581 crores with exponential growth rate of 55% (far higher than th...