Losses mounting but Amazon’s India focus to stay intact

Global e-commerce giant Amazon has maintained that despite mounting losses in its international operations, there would be no let up in its India centric focus. In a recently held investors call, a top executive of the company strongly underlined that Amazon would continue to invest in India.

“We will continue to invest in India where we are seeing great progress with both sellers and customers. And we like the momentum we have seen there,” Amazon Senior VP & CFO Brian Olsavsky told the investors. The global e-tailing major has reported a loss of $622 million from international operations in Q1 of the current year. The losses which also include Indian market had stood at $481 million in the same period last year. Meanwhile, in the same quarter, the company reported net sales of $14.8 billion from international business- a remarkable jump from $ 11.6 billion figure registered in Q1 last year.

Amazon’s assertion that India would continue to be an important market for its international operations probably testifies that it is all set to take on the challenge which a combined might of Walmart and Flipkart is going to pose. A formal announcement of Walmart picking up majority stake in Flipkart is expected soon and this is slated to change the dynamics of Indian e-commerce market.

Spread the love

Related posts

Leave a Comment