Home / Knowledge / News / Apparel/Garments / Indian e-commerce policies weigh on Alibaba
Indian e-commerce policies weigh on Alibaba
14
May '16
Global e-commerce major Alibaba, which is planning a direct entry in India is believed to be wary of the country's policies and is likely to take some time before it takes a final decision, according to media reports.

The Department of Industrial Policy & Promotion's (DIPP) latest guideline on e-commerce that restricts discounting by sellers on any online marketplace platform, is said to be making the Chinese company nervous.

In addition, high level of cash-on-delivery in Indian e-commerce space and return of goods that comes with it are areas of concern for the company.

While permitting 100 per cent foreign direct investment (FDI) in online marketplace, the guidelines said e-commerce entities providing marketplace will not directly or indirectly influence the sale price of goods or services and shall maintain level-playing field.

The implication is that there will be crackdown on companies which offer freebies, discounts or cashback. Another guideline coming in the way is that no e-commerce entity will permit more than 25 per cent of the sales through its marketplace from one vendor or its group company.

Alibaba, which already has investments in Snapdeal and One97 Communications-owned Paytm, did not want to comment on the challenges or hurdles that it must cross to enter the India market directly.

Meanwhile, the buzz about Alibaba's likely entry has galvanized Indian ecommerce-focussed logistics companies such as Delhivery, GoJavas and Ecom Express which are vying for partnership with the Chinese company. (SH)

Fibre2Fashion News Desk – India

Must ReadView All

Apparel/Garments | On 28th May 2017

Over 45% US retailers to use AI in next 3 years: Report

Over 45 per cent retailers in the US plan to utilise artificial...

Neelesh Hundekari speaking at the event. Courtesy: Subir Ghosh

Textiles | On 27th May 2017

Fabric of Change initiative announces €250000 scaling fund

The Fabric of Change initiative of Ashoka and the C&A Foundation is...

Apparel/Garments | On 28th May 2017

Naked Brand, Bendon sign agreement to reorganise

Naked Brand Group, a fashion and lifestyle brand, and Bendon Limited, ...

Interviews View All

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Nishank Patel
Shri Dinesh Mills Limited

Broad range of fabrics will sell well this financial year

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search