Amazon.com, a world-leading e-commerce company, eyes on expanding its India-based operations. (Photo : www.flickr.com)
After employing several business strategies in China for more than a decade now, Amazon eyes another populous nation to secure a more stable share in the overseas e-commerce market.
Industry experts and insiders say that the e-commerce giant is now directing its focus on succeeding in India, the second most populous country in the world next to China.
Although Amazon did not disclose its financial position in the Chinese market, research firms estimate that it only accounts for around 1-3 percent of the total industry share. Jack Ma's Alibaba empire still leads the e-commerce segment.
Recent reports surfaced that the firm is selling a variety of its items on Alibaba's Tmall online shopping platform. This move has been regarded as a proof of Amazon's unsatisfactory performance in China.
Some even say that this strategy, analogous to Amazon selling off its products on eBay in the U.S., is a desperate call to heighten up its sales revenue in the country.
For the past years, Amazon has been sending top officials to save its business in China. Before moving back to the U.S., long-time Amazon executive Steve Frazier helmed the firm's China-based operations. In 2011, Doug Gurr took the position.
After the continued poor performance of the company's Chinese expansion plans, Amazon is now looking at its potential success in the Indian e-commerce market.
According to local e-commerce firm Snapdeal CEO Kunan Bahl, India's market has been growing quickly, citing the booming popularity of online shopping.
In 2013, Amazon first opened its online stores for the Indian market. This year, the company targets to invest around $2 billion to boost its performance and capture more India-based consumers.
Amit Agarwal works as the top executive in Amazon's India business. Agarwal is said to have worked closely with Amazon CEO Jeff Bezos, serving as his technical advisor for a few years.
