Is Reliance the primary driver of Flipkart Amazon latest demolition
The link below is enlightening. If this is the case that means Reliance was invited in the first policy discussions for ecommerce while Flipkart/walmart and Amazon were kept out. Reliance demanded enforcement of policies which works in their interest. The FDI clarification further helped Reliance. So the question is - Is promotion of Reliance being done by Govt of India??
Like to hear from DIPP and Minister of Commerce.
https://factordaily.com/how-reliance-shaped-the-india-first-agenda-in-the-draft-ecommerce-policy/ more
Like to hear from DIPP and Minister of Commerce.
https://factordaily.com/how-reliance-shaped-the-india-first-agenda-in-the-draft-ecommerce-policy/ more
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Sourav, check this article. It explains why such policy was necessary...http://entrackr.com/2019/02/e-commerce-davids-took-goliaths/ more
Feb 05
This is to protect all Indian retailers. Otherwise it will be like Flipkart all Indian retailers who can not sustain will sell their business to the these multi nationals & extinguish. Then it will be monopoly business for them. This should not happen more
Feb 04
The rules will apply as much to Reliance as to Amazon and Flipkart. The real issue is this: that big companies try to crush smaller companies by reducing their profit margins, and keeping them at their mercy. All the margins go to the big companies. When there are thousands of retailers, they have to compete to please the customers. If an e-commerce company directly buys from manufacturers and sells to customers, and there are only a few successful e-commerce companies, then they can charge whatever they want from the customers, and give any kind of service. We may enjoy discounts today, but in a couple of years, all discounts will become fake, and Amzon, Flipkart, and yes, Reliance will dictate prices and (low) service levels, becaus they have driven lakhs of traders out of business. Don't think that Amazon and Walmart spend billions to sell at low margins. They will recover everything many times over once they drive everyone out of business. The new rules will ensure that Reliance, as well as the others can't do this. Everyone will flourish with competitive margins. Till Reliance brought down mobile call rates to Rs 1 per minute, as the insistenceof Dhirubhai Ambani, mobiles were affordable only by big companies, as the market charges severeal rupees per minute for phone calls. Similarly, till Reliance Jio brought down data rates, other companies were making a killing. Now, as Reliance moves into profit, so will the surviving competitors, who will merge, upgrade their equipment, and slowly flourish. The ony sufferer has been Anil Ambani, whose company has filed for insolvency. more
Feb 03
Allowing 100% FDI in E-Tailer but stopping their Suppliers from any FDI has nothing to do with Trader Lobby or Small Local Retailers !! Nearly 100% Goods sold by Amazon/Cloudtail & Flipkart are Indian anyways, just like Reliance Retail & Big Bazaar !! Just like Telecom where the new Rules have killed all but Jio and like DTH where the new TRAI Rules are killing everyone to clear the Field for the upcoming New Jio TV/Broadband/DTH Service, this is a move to just empty the E-Tailer Space for Reliance Retail !! After all, Big Big Funds are required to be successful in any Poll !!!! more
Feb 03
Bhuvnesh, before you level allegations of me being Biased, please read the History of Amazon in the US .. Reliance is on the very same path in India !!
Rules are the same for all but some Rules are made to benefit few .. this is the truth world over ..
Reliance is showing Book Profits only because it is not accounting for it's Investment in Jio of over 125 Billion USD subsidised by it's profits from Petroleum & other Businesses !! do you expect Entrepreneurs like Airtel & Vodafone to ever be able do that ??
Similar is the case happening now in the DTH & Broadband space !!
Do you really want to Promote a Single Entity without any Competition in any field in India ?? Remember the days of MTNL/BSNL/VSNL where we had to wait for years to get a horrible Telephone Connection & then have it work for 50-75% of the time !!
Dear Sir, Everything is a Result of how Rules are made and this Govt. is blindly Making / Bending Rules to support this Removal of competition !!!!
Cloudtail is 51% Narayan Murthy et. al. & 49% Amazon which is as per rules of FDI in Retail in India !! So are all other Biggies like Appario etc. in both Amazon & Flipkart ....
Anyways, these type of Bans have failed the world over .. Read 'https://www.businesstoday.in/current/policy/fdi-in-e-commerce-why-new-policy-will-not-stop-amazon-flipkart-from-offering-discounts/story/304806.html'
Discounting is a part of retail, both online and offline. It can't be stopped. Market forces should decide that. As compared to 2013 and 2014, discounting is already lower.
Amazon will simply offload its direct equity in Cloudtail and Appario to continue using those seller entities.
That begs the question: If the new regulation will fail to achieve what was ostensibly its primary objective, what was it aimed at ?
You already have your Answer in your Heart .... more
Rules are the same for all but some Rules are made to benefit few .. this is the truth world over ..
Reliance is showing Book Profits only because it is not accounting for it's Investment in Jio of over 125 Billion USD subsidised by it's profits from Petroleum & other Businesses !! do you expect Entrepreneurs like Airtel & Vodafone to ever be able do that ??
Similar is the case happening now in the DTH & Broadband space !!
Do you really want to Promote a Single Entity without any Competition in any field in India ?? Remember the days of MTNL/BSNL/VSNL where we had to wait for years to get a horrible Telephone Connection & then have it work for 50-75% of the time !!
Dear Sir, Everything is a Result of how Rules are made and this Govt. is blindly Making / Bending Rules to support this Removal of competition !!!!
Cloudtail is 51% Narayan Murthy et. al. & 49% Amazon which is as per rules of FDI in Retail in India !! So are all other Biggies like Appario etc. in both Amazon & Flipkart ....
Anyways, these type of Bans have failed the world over .. Read 'https://www.businesstoday.in/current/policy/fdi-in-e-commerce-why-new-policy-will-not-stop-amazon-flipkart-from-offering-discounts/story/304806.html'
Discounting is a part of retail, both online and offline. It can't be stopped. Market forces should decide that. As compared to 2013 and 2014, discounting is already lower.
Amazon will simply offload its direct equity in Cloudtail and Appario to continue using those seller entities.
That begs the question: If the new regulation will fail to achieve what was ostensibly its primary objective, what was it aimed at ?
You already have your Answer in your Heart .... more
Feb 04
Saurav, you are biased. Rules that apply to reliance also applies to Vodafone / Airtel / Idea. Then how come Reliance makes profit even at such low rates and Other companies makes losses even at higher rates? Just think....Our govt. has a rule that in Retail, there can not be more than 49% FDI. So selling on ecommerce by their own company is effective retail only. So it is natural they should not sell on ecommerce. And all rules apply to all companies. more
Feb 03
Providing good quality products at cheaper price to support Indian manufactured products (to create jobs for Indians in India, instead of direct import), is appreciated. This shall not stop Indians accessing better quality products from abroad. How Amazon is able to offer products if their choice (due to their investment in those companies) needs to be explored by Government and shall ask Amazon to have such production companies in India to create jobs. Yes, data of Indian consumers, MUST be stored in India, without any 2ns opinion , because, the data is next OIL business and Indians must protect their data to be stored in India ONLY. Just giving protection to Indian manufactured poor quality products to pay more (due to high cost of doing business due to 10 election funds in a year) is not acceptable as we are seeing in steel industry and solar industry.....Political party funding has a direct impact on sale price. Competition Commission of India shall have uniform law applicable to all with more importance to create jobs in India. more
Feb 03
