{"id":19354,"date":"2014-12-22T07:05:36","date_gmt":"2014-12-22T07:05:36","guid":{"rendered":"http:\/\/vskills.in\/certification\/blog\/?p=19354"},"modified":"2024-04-03T13:14:49","modified_gmt":"2024-04-03T07:44:49","slug":"foreign-direct-investment-fdi-in-e-commerce","status":"publish","type":"post","link":"https:\/\/www.vskills.in\/certification\/blog\/foreign-direct-investment-fdi-in-e-commerce\/","title":{"rendered":"FOREIGN DIRECT INVESTMENT &#8211; FDI IN E-COMMERCE"},"content":{"rendered":"<p style=\"text-align: center\"><a ref=\"magnificPopup\" href=\"http:\/\/vskills.in\/certification\/blog\/wp-content\/uploads\/2014\/12\/foreign-direct-investment-fdi-in-e-commerce.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-19401\" alt=\"foreign-direct-investment-fdi-in-e-commerce\" src=\"http:\/\/vskills.in\/certification\/blog\/wp-content\/uploads\/2014\/12\/foreign-direct-investment-fdi-in-e-commerce-300x157.png\" width=\"300\" height=\"157\" srcset=\"https:\/\/www.vskills.in\/certification\/blog\/wp-content\/uploads\/2014\/12\/foreign-direct-investment-fdi-in-e-commerce-300x157.png 300w, https:\/\/www.vskills.in\/certification\/blog\/wp-content\/uploads\/2014\/12\/foreign-direct-investment-fdi-in-e-commerce.png 600w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>E-commerce doesn&#8217;t need an introduction. For some of us, it has become an indispensable part of our lives. It has made the lives of people, especially for the working class somewhat easier and smoother.\u00a0 According to the <b>Economist Intelligence Unit<\/b>, <b>Asia<\/b> is about to surpass North America to become the <b>largest E-commerce market<\/b> this year.<\/p>\n<p><b><span style=\"text-decoration: underline\">FOREIGN DIRECT INVESTMENT IN BUSINESS TO BUSINESS (B2B) ECOMMERCE:<\/span><\/b><\/p>\n<p><b>WHAT IS B2B\u00a0E COMMERCE?<\/b><\/p>\n<p>On the internet, B2B ECOMMERCE is the exchange of products, services, information between businesses rather than businesses and consumers. Some of the <b>examples for B2B ECOMMERCE<\/b> websites are <b>QUILL.COM, GRAINGER.COM, FLIPKART.COM, JABONG.COM<\/b> etc.<\/p>\n<p><i>The government allows 100% FDI in B2B ECOMMERCE. <\/i><\/p>\n<p><b>ADVANTAGE OF B2B ECOMMERCE:<\/b><\/p>\n<p>Customers in B2B commerce are more loyal than customers from B2C sector. Since business customers are committed to you as the supplier longer through contracts and individual agreements. It leads to lower acquisition costs and long-lasting customer relations.<\/p>\n<p><b><span style=\"text-decoration: underline\">FOREIGN DIRECT INVESTMENT IN BUSINESS TO CONSUMER (B2C) ECOMMERCE:<\/span><\/b><\/p>\n<p><b>WHAT IS B2C ECOMMERCE?<\/b><\/p>\n<p>On the internet, B2C ECOMMERCE is a financial transaction or online sale between a business and a consumer. <b>\u00a0<\/b><\/p>\n<p><b><span style=\"text-decoration: underline\">DIFFERENCE BETWEEN B2B AND B2C ECOMMERCE:<\/span><\/b><\/p>\n<p>Any B2B operation has 100% FDI but it cannot legally sell directly to consumers, for that it requires B2C.<br \/>\nNow here B2B is FLIPKART and WS Retail is B2C, so FLIPKART cannot sell product directly to you.\u00a0This is\u00a0not only for FLIPKART for all online shopping website that sell product by B2B Market. You can easily identify this, when you shop something online see on the packing box, you find name of the other company. Suppose you buy something from FLIPKART you get packing box from Ws retail.<br \/>\nThis is a\u00a0list\u00a0of websites that have B2B and B2C entity.<br \/>\n<strong>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 B2B Entity<\/strong>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0<strong>B2C Entity<\/strong><br \/>\n\u2022 FlipKart.com \u00a0\u00a0\u00a0 :\u00a0 Flipkart online service \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Ws Retail<br \/>\n\u2022 Myntra.com \u00a0\u00a0\u00a0 :\u00a0 \u00a0Myntra designs \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0 \u00a0Vector E-Commerce<br \/>\n\u2022 Jabong.com \u00a0\u00a0\u00a0\u00a0 :\u00a0 JADE ESERVICES \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0 \u00a0Xerion Retail<br \/>\n\u2022 Snapdeal.com \u00a0: \u00a0JASPER Infotech \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0 \u00a0Spinel trade.com<br \/>\n\u2022 Yebhi.com \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 :\u00a0\u00a0 Big Shoe Bazar \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0Shop online trading<br \/>\n\u2022 Yepme.com \u00a0\u00a0 \u00a0\u00a0\u00a0:\u00a0 VAS Data Services \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Growth trading<\/p>\n<p>Amazon has asked 49% FDI in B2C ECOMMERCE, hence allowing it to sell directly to the consumers. Amazon which has invested $300 million in India says that allowing FDI only in B2B E-commerce restricts investments and local sourcing from manufacturers.<\/p>\n<p>But for now India will not allow B2C E-commerce in order to safeguard the interests of Indian ventures such as FLIPKART, SNAPDEAL etc. According to Mr. Amitabh Kant, secretary at the department of industrial policy and promotion (DIPP), If FDI is allowed in B2C today, Indian ventures like FLIPKART will be finished.<\/p>\n<p>The Indian government in its recent Union Budget 2014, has allowed foreign retailers, who manufacture products in the country to sell via E-commerce platform, thus benefiting the local units of retailers such as MARKS AND SPENCER, PUMA etc. Hence, liberalizing foreign investment in the country\u2019s E-commerce sector.<\/p>\n<p><b>\u00a0<\/b><\/p>\n<p><a href=\"http:\/\/www.vskills.in\/certification\/information-technology\">Click here for government certification in E-commerce and Information Technology<\/a><\/p>\n<p><a href=\"http:\/\/www.vskills.in\/certification\/accounting-banking-and-finance\">Click here for government certification in Accounting, Banking &amp; Finance<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>E-commerce doesn&#8217;t need an introduction. For some of us, it has become an indispensable part of our lives. It has made the lives of people, especially for the working class somewhat easier and smoother.\u00a0 According to the Economist Intelligence Unit, Asia is about to surpass North America to become the largest E-commerce market this year&#8230;.<\/p>\n","protected":false},"author":484,"featured_media":19401,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_joinchat":[],"footnotes":""},"categories":[1519],"tags":[1044,1461,1496],"class_list":["post-19354","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-accounting-banking-and-finance","tag-e-commerce","tag-fdi","tag-fdi-in-e-commerce"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>FOREIGN DIRECT INVESTMENT - FDI IN E-COMMERCE - Vskills Blog<\/title>\n<meta name=\"description\" content=\"What is the status of FDI IN E-COMMERCE in India\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.vskills.in\/certification\/blog\/foreign-direct-investment-fdi-in-e-commerce\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"FOREIGN DIRECT INVESTMENT - 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