Walmart bet big on Indian e-commerce last week with its $16 billion purchase of a 77% stake in Flipkart. And while the jury is still out on the acquisition as an investment, one thing is clear: It’s good news for India.
Walmart’s share price fell 3% on the day of the announcement. That’s due to investors’ fears that the American giant overpaid for a loss-making retailer with annual sales of $4.6 billion in the year that ended March 31. Last year Flipkart, which has engaged in a discounting war with Amazon to attract customers,...