Neshant wrote:Walmart is a big vaccuum that sucks money out of communities and countries and transfers it to China.
Tons of imports will come from China by the boat load and that will destroy any prospects of a manufacturing base in India just as it did in the US.
Also, if its that good for India, why haven't they expanded their joint venture with Bharati ?
Why can't we include clauses in the agreement before giving them permission to set up shop here, that would say that 60/70% [or some mutually beneficial number ] of all goods it would hawk in its stores would have to be sourced from Indian manufacturers?
It may nor may not be their standard practice elsewhere, but considering the size of the Indian market and the possibility of entering markets in the neighboring countries, setting up a supply chain involving Indian manufacturers can be made in to a profitable venture.
Besides, clauses could also be included whereby these gargantuan grocery stores are bound to offer Indian-made goods in its outlets around the world, giving our manufacturers unprecedented access to market prevention out of its reach due to the scale of its own operations
Practices that would probably be unprofitable elsewhere, like setting up a separate supply chain that does not involve Chinese suppliers, need not be so in case of its Indian operations thanks to the market size India has to offer.
As for the single family operation of grocery stores, well if the 3rd gen of the family operates out of the same shop set up by the grand dad, with no expansion in business or scale of operation, its closure need not be such a bad outcome IMO.
The other such single-family operations in a city, in order to remain competitive & possibly even outrun them phoren grocery stores, could come together forming co-operative societies, pooling together their resources doing away with common overlapping expenditures, streamlining their operations thereby evolving into entities that would not only not go under after the arrival of foreign stores but maybe, just maybe, some day itself set up stores worldwide