New E-commerce Policy: The Game Changer

Dec 28, 2018 By Admin

After much wait and speculations comes a game changer move by the Government of India which would finally restrict the major online marketplaces from Predatory Pricing, Deep Discounting, Brand Building etc. The move bans the marketplaces from selling products of companies where they hold stakes of more than 25% and making marketing arrangements that could influence product pricing.

The much-awaited move by the Government has received mixed responses by both the sides. The side benefiting from the move, is quite joyous and welcomed the change in the policy citing that this would create a level playing field for all the sellers and soon malpractices and predatory pricing policy and deep discounting of e-commerce players will be a thing of the past.

The move comes as a shocker for leading e-commerce companies like Amazon & Flipkart, which are famous for offering lucrative deals, and deep discounts to attract buyers. The revised policy will come into effect from February 2019 and aims at protecting the interests of domestic marketplaces and retailers, which have seen consumers, move away due to the deep discounting strategy by bigger E-commerce players.

Read more about Deep Discounting & Cash back from our previous blog post. Check the links:

Published by : RAKESH KANWAR & CO.
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