Walmart Using Drones and Plant-Based Meat Moving Beyond the U.S.
The retail giant announced it is going to run a pilot project for drone delivery of groceries and household products. The test program will start just in one North Carolina town with drones dropping off select items, and it will be some time before the program is implemented on a wide scale. Walmart’s stock price went up 1% yesterday after the news.
The project shows Walmart’s continued ambition to become a leader in the online retail space. The company’s U.S. online sales doubled last quarter as consumers were forced to stay home because of the coronavirus. This signals the long-term strength of Walmart as it evolves to become a leader in the growing e-commerce market.
The plant-based meat producer announced that it will build two new manufacturing facilities in mainland China as it looks to the world’s largest country as a top market for growth. The company’s stock price went up nearly 3% yesterday following the announcement.
Beyond is not alone in its pursuit of the Chinese market. Competitor Impossible Foods has also focused on expanding to China as a top priority. One of Beyond’s main focuses as they expand to the new country is tweaking their product to Chinese tastes. The CEO said that he does not want to export the American taste, so a research and development team has been working to tweak the product. If they can get the flavor right, 1.4 billion new potential customers would be a tasty treat for Beyond.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.