Amazon and Flipkart suffer due to new Indian law. They have lost $50 million, all thanks to the government’s new e-Commerce law. Walmart, who owns 77% of Flipkart’s stakes suffered a huge loss too. The new law forces Amazon and Flipkart to stop selling some products temporarily.
Amazon spent over $5 billion in India while Walmart spent $16 billion to Flipkart’s majority stakes. Amazon’s shares fell by 5.38%($1626.23) losing more than $45.22 billion. Walmart’s shares fell by 2.06%($93.86) and lost $5.7 billion market cap. This is a huge blow to the companies. It’s safe to say that Amazon and Flipkart suffer due to the new e-Commerce law in India.