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FlipKart Acquisition Spree – Can it Beat Rivals?

In a quest to become Indian Amazon; it appears Flipkart has been biting more than it can chew as it is showing losses instead of profit in a segment where it has a head start available.

Flipkart Acquisitions

Have a look at acquisitions undertaken by Flipkart to maintain its lead and take Flipkart business model to new heights.

  • Weread (social discovery tool) in 2010.
  • MIME360 (online music distribution platform) in 2011.
  • Letsbuy, an electronics retailing site in 2012.

Flipkart Music Venture

Flipkart music distribution space with Flyte which was launched in Feb 2012

Verdict

It needs to be seen that acquisitions which must have had burnt a hole for Flipkart will produce profit or not but one thing is for sure that heavy discount on books is going to be a thing of past.

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