Two of the world’s largest retailers, Amazon and Wal-Mart, will invest more than Rs 2,000 crores ($350 million) as part of a drive to increase their market share in India.
By 2020, both American giants would have a combined investment of over $1 trillion in the Indian market.
Amazon will infuse its funds through a rights issue into Amazon Seller Services, making it the biggest investment of capital since entering India three years ago. It will take Amazon’s total investment in Amazon Seller Services in the past year to around $800 million.
Wal-Mart Stores plans to open around 50 shops in India at a time when it prepared to close about 270 stores globally. It is clearly betting big on the market and Amazon anticipates that India will overtake Japan, Germany and the UK to wind up as its biggest abroad market.