New Delhi: The government is reportedly on 'wait n watch' mode over the e-commerce front before it takes policy decision on the sector, says an Economic Times report.
ET learnt that the central govt is in no hurry to take a call on e-commerce but it is closely monitoring the development in this space and watching many others who are being affected by this.
According to feedback govt has gathered, e-commerce is hugely benefitting manufacturing sector and small buyers.
There have been squabbles in this sector as many companies, both online and offline, sought policy clarity from the government.
As a matter of fact, growing e-commerce is doing business at the cost of brick n mortar format or traditional retailers. Traditional retailers’ business share has been greatly affected as their customers are moving to online platform.
Another issue is the 'predatory price mechanism' that e-commerce firm are resorting to, something which normal retailers are not being able to compete with.
In recent past, many offline retailers including Kishore Biyani hit out at predatory pricing of e-commerce firms.
On the other hand, the government is confident to tackle these issues without much trouble for any of the stakeholders in this sector. The government feels that Indian legal system is strong enough to address these issues.