May make sense for Walmart to walk away from India market: Morgan Stanley

New e-commerce rules will slow overall e-commerce growth by 10-70%, says global financial firm

Financial services firm Morgan Stanley has said that “it may make sense” for Walmart to potentially walk away from the India market if the US retail giant can't see a long-term path for profits, like “Amazon did in China.” It said, new e-commerce regulations in India increase the cost of doing business and add to the uncertainty over Flipkart losses. 

“An exit is likely not completely out of the question with the India e-commerce market becoming more complicated,” said Morgan Stanley, in a report ‘Assessing Flipkart Risk to WMT EPS.’ “There is a precedent for an exit as Amazon retreated