India ecommerce

Flipping the E-Commerce Cart

E-commerce and digital trade are certainly upending retail patterns globally.  It is important to note that these changes are not a random act handed down from the heavens.  Instead, these changes flow from millions or even billions of companies and consumers increasingly demanding goods and services to be delivered digitally. The plan in India is to stop firms like Flipkart from selling goods in the market.  This—it must be assumed—will help keep small, largely inefficient shops in business for longer and keep consumers spending more on products than they clearly would like.  After all, if consumers did not want e-commerce goods, they would not be buying off Flipkart in the first place and would not be driving demand for more goods. Customers have clearly expressed their preferences.  They are unlikely to completely abandon the corner shop, but their purchases are becoming increasingly diversified and digital orders play a key role. While India represents the more extreme end of regulations on e-commerce, other governments are starting to take actions to increasingly constrain the actions of players.  Most are still aimed at large firms with limited understanding of the collateral damage to small firms and consumers.