Sales on hold: The big 3 e-commerce firms have put their online sales on hold after a ruling by the commerce ministry clearly forbid them from influencing prices on their platform. Their much-talked about discounts, aimed at bringing more shoppers online, have attracted the ire of brands, brick and mortar retailers and the government. This is one way of playing it safe. But we can be sure that they would have found a way out before the festival season starts in September, the sweet spot for all retailers.
Monsoon Hopes: We heard about Maruti going back to the drawing board to revise its sales forecast after the weather department predicted a normal monsoon this year - after three drought years. Now it seems like analysts all over are doing the same. Forecasts for vehicles (especially rural ones), consumer durables and as well as FMCG products are being raised, thanks to the IMD's forecast. The connection is pretty clear: Good rains means good crops which means good income for the three out of five Indians who depend on farming for their livelihood. That means a jump in rural spending. Already growth in rural sales outstrips urban in most industries, and a good season of rains will spur it some more.
No bad pictures: Some good news for the cigarette makers. Lawmakers in Parliament are against putting bigger warning pictures on their packs. The health ministry wanted to put in place an order that 85 percent of the cover of a cigarette pack should contain health warnings, a move that led to a strike by tobacco companies two weeks ago. Now, they have found support among lawmakers who say this will threaten the livelihood of tobacco farmers.
Sequoia/Vasan: Its 2009 investment in Vasan healthcare has come back to haunt Sequoia Capital. After searching its premises last week, the Enforcement directorate has questioned the managing director involved in the investment once more. The ED is probing money laundering allegations against Vasan Healthcare, among a host of other things and the focus is on the VC's investment in Vasan's convertible shares at a higher than expected price.
Apple in India: With slowing sales globally, Apple has begun to focus on India in a big way. It reported its first revenue drop in 13 years and its first drop in iPhone sales this week, but a closer look reveals that its India sales grew 56 percent. True, this growth is on a low base as Apple's market share was 1.7 percent in December 2015, but it does look like the increased marketing spend and discount plans are working.
What is Agusta Westland? It's a maker of military helicopters and also one reason for a stormy session of Parliament yesterday. An order to buy helicopters from this Anglo-Italian company was placed by the then UPA government in 2010, which was put on hold in 2013 and cancelled by the present NDA government in 2014. Click here to read why it's such a big deal.
On LinkedIn Pulse By Ramya Venugopal [Senior News Editor, LinkedIn]
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