Organizational Structure of Flipkart, The best market in the today’s world is the online shopping market, where the online website holder can get a huge crowd as people from all over the world are connecting through the internet and want the products to be delivered at their home.
Today I will discuss about the e-commerce giant and the most reputed online shopping website “Flipkart”. The structure of the website is very much complex and needs to be understood in a simplified form. Must Check Real Estate Terms.
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Flipkart Organization Structure
Flipkart’s organization structure has evolved significantly alongside its rapid growth and diversification.
| Startup Name | Flipkart |
|---|---|
| Headquarter | Bengaluru, India |
| Sector | E-Commerce – Online Shopping |
| Founders | Sachin Bansal, Binny Bansal |
| Founded | 2007 |
| CEO | Kalyan Krishnamurthy |
| Total Funding | $12.6 bn (January 2022) |
| Revenue | $5.83 bn (Rs 43,357 crore in FY21) |
| Valuation | $37.6+ bn (January 2022) |
| Area Served | India |
| Net Worth | Flipkart Net Worth |
| Parent Organization | Walmart |
| Website | flipkart.com |
Organizational Structure of Flipkart
There are top five shareholders of the Flipkart, the list is as follows:-
- Walmart – Holds 80.5% Stake
- Tencent: 5.3%
- Tiger Global – Holds 4.1% Stake
- Binny Bansal – Holds 2.4% Stake
- Canada Pension Plan Investment Board (CPPIB): 2.2%
- SoftBank Group: 1.4%
- Qatar Investment Authority (QIA): 1.3%
- Microsoft – 1.2%
- Accel 1.1 per cent,
- Others: 0.5%
*Others would include the investments by DST Globals, Morgan Stanley, NEA Ventures, Iconiq, and many other big anchor investors.
Flipkart is the company which is incorporated in the year 2011 in Singapore and registered itself with the Singaporean government. Flipkart Pvt Ltd is the main holding and the parent company under which there are many subsidiaries involved.
There are Five subsidiaries under Flipkart Pvt Ltd. They are:
- Myntra
- PhonePe
- Ekart
- Jeeves
- Cleartrip
- Shopsy
Under the above three companies, there are five other companies which have been incorporated in India. They are:
- Flipkart Payment Gateway Services Pvt Ltd (Which provides the payment gateway services with the product called payzippy)
- Flipkart India Pvt Ltd (Wholesale cash and carry entity)
- Flipkart Internet Pvt Ltd (Flipkart.com is owned by this company and all the technology related issues is seen by this company)
- Digital Media Pvt Ltd (It is a dormant company that doesn’t files its return)
- Digital Management Services Pvt Ltd (It is an enterprise that runs letsbuy.com)
List of all Subsidiaries of Flipkart
Core E-commerce:
- Myntra: A leading online fashion retailer acquired by Flipkart in 2014.
- Ekart Logistics: Flipkart’s in-house logistics arm, handling last-mile delivery and supply chain management.
- Jeeves Consumer Services: Provides installation, warranty,and product care services for Flipkart customers.
- Flipkart Wholesale: Caters to bulk buying needs of businesses and retailers.
- Flipkart Health+:An online healthcare platform offering medicines, diagnostics, and e-consultations.
Financial Services:
- PhonePe:A leading digital payments platform with a majority stake held by Flipkart.
Other notable subsidiaries:
- Cleartrip: An online travel booking platform.
- Yaantra: Provides smartphone repair and refurbishment services.
- Scapic Innovations: Creates 3D product scans and virtual fitting rooms for e-commerce.
- Upstream Commerce: Focuses on data-driven pricing and demand forecasting solutions.
Additionally:
- Flipkart operates several house brands across various categories.
- The company has made several strategic acquisitions over the years,including companies like Myntra,PhonePe,Jabong,and eBay India.
Acquisition of Myntra.com
This was the most talked topic in the field of the e-commerce platform market where Flipkart acquired myntra.com for around 2200 crores. Myntra.com shareholders accepted the proposal for the acquisition by Flipkart but the directors or the owners of myntra.com Mukesh Bansal and Ashutosh Lawania have not accepted the share transfer but asked for the cash payment of the same. Others got stock in the Flipkart parent company in Singapore. According to external sources, myntra.com owners got an average consideration of 427 crores in exchange of the ownership of their shareholding the myntra.com
According to external sources, Mukesh Bansal has again acquired some shares of myntra.com and now he is eligible for coming in the board meetings and guide the shareholders for the future prospects of the company. He was also elected the Marketing chief in Flipkart. It is to be noticed that both the companies Flipkart and Myntra are working separately and there is nothing common for the operating of the same as Flipkart sells a huge variety of products while the former ones is only associated with the apparel department.
The biggest investor of Flipkart.com – Tiger Global has invested around 700 Million Dollars in the company which is a huge amount which shows a great sign of trust in the company by the angel investors and is much higher as compared to the investment done by Tiger Global in Facebook and Google.
