Amazon builds mega-office in India for 15,000 people
Amazon is betting big on India.
In 2013 it opened up shop in the South Asian nation of 1.3 billion people and is new in an entrenched battle with Wallmart (which recently bought a 77 per cent share in India’s local Flipkart).
Today it has doubled-down on the sub-continent, unveiling a brand new India headquarters that will be home to more than 15,000 employees. The new HQ is located in the southern tech hub of Hyderbad.
While the potential upsides of the vast nation are huge, the risks are also high. Both Amazon and Flipkart have so far only made losses, down to logistical challenges of making deliveries in one of the largest countries in the world.
New e-commerce rules came into force in February that banned companies such as Amazon from selling products from companies in which they have invested. It also said they were not allowed to enter into exclusive deals with other retailers.
The regulations were put in place after traditional brick-and-mortar retailers complained that online companies were selling goods at discount prices.
Amazon has said it plans to invest a further US$5 billion in India.