Regulations for Online Stores (Draft National e-Commerce Policy)

Sushubh

Administrator
[OP]
Oct 29, 2004
417,011
12,940
Gurugram
India tightens e-commerce rules, likely to hit Amazon, Flipkart | Reuters

Flipkart, Amazon hit as govt tightens e-commerce norms - Livemint

India will ban e-commerce companies such as Amazon.com and Walmart-owned Flipkart Group from selling products from companies in which they have an equity interest.

In a statement, the government also said that the companies will be prevented from entering into exclusive agreements with sellers. The new rules will be applicable from February 1.
so what now? amazon cannot sell amazonbasics? google cannot stop amazon from selling chromecast?
 
Last edited:

amish

Star gazer
Regulars
Jul 3, 2006
24,699
1,068
Mumbai
Good thing for Amazon is that they made direct entry into Indian market and they now already have good hold in market.

Whereas Walmart paid huge amount for Flipkart - they first need to recover it.

Without discounts - these companies will not attract users unless they bring back decent return policy.
 


Sushubh

Administrator
[OP]
Oct 29, 2004
417,011
12,940
Gurugram
do people really buy online because of discounts these days? i mean in most cases, the discounts are superficial. you might get a deal here and there. but generally speaking, it is not really a definitive thing? i mean it's not like in usa where during sales you can actually get a 1000 dollar TV for 250 dollars. we do not really get that kind of sale here.
 

Sushubh

Administrator
[OP]
Oct 29, 2004
417,011
12,940
Gurugram
Ecommerce: No Private Labels, Exclusive Deals, Deep Discounts On E-commerce Sites

this one is a good read.

The first restriction explicitly disallows e-commerce marketplace companies from selling private labels, that is brands they directly or indirectly own, on their platforms.
Meena added that Amazon and Flipkart may have to sell their stakes in entities that directly or indirectly own their private label products.
The second new restriction is on “exclusive deals” that many e-commerce marketplace platforms often run, say for a new brand launch.
The press note also makes clear that any services provided by an e-commerce marketplace entity should be “at arm’s length and in a fair and non-discriminatory manner”. This applies not just to services such as logistics, warehousing etc…but also to cash-back schemes.
 

Sai

Regulars
Nov 6, 2008
2,321
204
Mangaluru, Karnataka
This policy is much needed. All these big marketplace companies with FDI used to flout rules by maintaining inventory and selling below cost of many mid size retailers. Thus killing the market. This decision is good for everyone in the long term.

While small sellers were fighting for this from years, who really helped is Mota Bhai. He has jumped into game now and all VC funded companies will literally bleed. None can ever fight Mota Bhai and win.