Retail Case Study: Amazon in India

Retail Case Study: Amazon in India

Summary

Amazon’s market share performance will remain under pressure, with its market place business model and rules on selling wholly owned stock restricting its dominance over the market. Its services, fulfilment options and vendor coverage will be essential in protecting future growth and maintaining its lead over Flipkart and smaller domestic rivals. So it is now selling its services rather than its own products. It is a leading channel for other vendors’ sales so when including these third party sales it, along with Flipkart, delivers the largest share of retail sales online. However its own product retail sales will decrease rather than expand due to the new regulations.

Scope

• India offers huge potential for retail expansion
• Amazon and Walmart investing heavily in the market
• New government regulations constrict online growth opportunities
• Amazon forced to remove products from its sites
• Partnerships and exclusivity disallowed
• Rising competition from new entrants
• Amazon market share hit, Amazon responds

Reasons to buy

• This report provides an overview of Amazon’s entry into India, its key initiatives, market share and growth strategies in the country.