By William Pesek – India (SENSEX) has a Wal-Mart problem. This may not sound remarkable, considering that China and the U.S. do as well.
China’s preference for sweatshops to supply the Arkansas- based behemoth impedes the creation of a vibrant domestic market. America’s addiction to cheap goods made in China helped kill a once-prosperous manufacturing sector.
India’s challenge in allowing Wal-Mart to enter its market is more complicated.
Criticism of prime-minister Manmohan Singh’s move to open India’s $400 billion retail market to overseas companies has been so intense that today the government suspended it until a political consensus is reached. Opponents say allowing 51 percent ownership by foreign retailers will harm small merchants that employ millions. more> http://tinyurl.com/7pl2qp6
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- BJP sticks to opposition to FDI policy ahead of all-party meet (thehindu.com)
