India-based e-commerce giant and car-rental aggregator Flipkart Inc and Ola Inc. has finally knocked the door of honourable Prime Minister Narendra Modi whereby, they asked to provide some solution regarding the present scenario of domestic companies which are surpassed by overseas firms like Amazon and Uber.
Raising the banner of nationalism in their fight against the foreign companies’, Flipkart’s Sachin Bansal and Ola‘s Bhavish Aggarwal have sought help from the government so as to design policies which will certify aset of rules in favour of the home country firms. The firms asked the Centre to apply the terms and norms likewise of China who supported its domesticfirms back in 2001. The nation attracted capital from other nations so as to build their own empire in the country. The same is to be applied in India too.
The statement was given while speaking at the Carnegie India Global Technology Summit which more relatively mentioned regarding the growth of India-based firms where they are pushed to an unlimited amount of extent with a co-ordination thus to seek perfect support from the government against overseas firms especially US-based giants. The pioneer of Indian internet of companies has been defining their battle with Amazon and Uber since past few years.
In the midst of the entire battle, capital is the sole source of support thus being one of the most crucial parts of company development. AS the US companies have very influential status and quite dominant in terms of business expansion and development, the impact of creating jobs in the country is much higher and valuable than the domestic run firms. Further, the security, data breach, privacy check issueswill stay within the nation thus being under control all the time.
At present, Ola and Flipkart are in talks with few Venture Capitalists so as to raise fund but still find it tough due to a poor existing valuation of the company. However, the firm’s majority stakes are owned by overseas investors as Ola’s parent company is registered in Singapore wherein Flipkart’s parent firmANI Technologies have been through Bengaluru. Though keeping their side as mentioning an example of Alibabawhich has overseas investors backing it, similarly funding or raising capital for Flipkart and Ola would not be much of a problem.