Behemoth US-based companies continue to encounter pushback from foreign business groups and governments against their expansion plans.
This time around, the Indian government has rejected Walmart’s plans to gain a retail license for food through its eCommerce subsidiary, Flipkart. The company reportedly plans to re-apply.
The Times of India reported on June 1 that India’s Department for Promotion of Industry and Internal Trade has rejected Flipkart’s proposal to sell food products through online and mobile platforms, almost a year after it filed the application. The move is a setback for Flipkart, which aimed to buy directly from Indian farms.
“We are evaluating the department’s response and intend to re-apply as we look to continue making a significant impact on small businesses and communities in India,” Flipkart said in a statement, as reported by Reuters.
If Flipkart is given the green light, it would vie against Amazon’s India unit, Alibaba-backed BigBasket, SoftBank-backed Grofers, and Reliance Industries’s recently launched JioMart.
As reported by PYMNTS, shopping portal JioMart was launched just days after Facebook announced it would invest US$5.7 million in that Indian subsidiary of Reliance.
JioMart is controlled by the billionaire Mukesh Ambani’s Reliance. It was launched soon after the announcement of his company’s deal with Facebook. Ambani said the new partnership would make it easier for residents to digitally pay millions of mom-and-pop stores in India.
To add to Flipkart’s challenges, a group of Indian retailers reportedly appealed a court order that put a hold on an antitrust probe of that company and Amazon on hold.
Full Content: PYMNTS
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
DOJ and FTC Introduce Website for Reporting Anti-Competitive Healthcare Practices
Apr 18, 2024 by
CPI
US Congress Advances Legislation to Compel TikTok Sale
Apr 18, 2024 by
CPI
UK Financial Sector Advocates Enhanced Regulatory Accountability
Apr 18, 2024 by
CPI
Google and All 50 States Defend $700 Million Consumer Settlement
Apr 18, 2024 by
CPI
Colorado Enacts First Law to Protect Consumer Brainwave Data
Apr 18, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI