Wal-Mart May Sell Chinese E-Commerce Business to JD.com
Wal-Mart is reportedly in discussions to sell its online e-commerce platform in China — Yihaodian — to JD.com, the second-largest online retailer in China after Alibaba Group Holding Ltd. The exact terms of the deal were unclear and discussions remain ongoing, but insiders said it could include a broader partnership between Wal-Mart and JD.com.
Total Retail's Take: Teaming up with JD.com could give Wal-Mart a better chance of competing in the cutthroat online retail industry in China and boost sales in its physical locations in the country. JD.com, which has a great reputation as a place to buy brand-name electronics, has tried to expand its offerings in the past. This potential partnership with Wal-Mart would very much be a step in that direction.