In an attempt to make online shopping a smooth process for the buyers, almost all the major e-commerce platforms have to provide more details about their products, and its respective sellers, and it’s the source. This is also known as the new ‘Consumer Protection(E-commerce) Rules of 2020’. This was released to the public on Thursday.
This sudden change in consumer awareness rules took place to push and promote more Indian products over the imported ones. If the sales of Indian products increase, this will, in turn, increase the revenue for the MSME sectors of India. This is done to prevent further economic damages due to the pandemic.
Further details on the revised e-commerce rules:
The Government of India is also working on the policy overhauls to reduce the stronghold of many international e-commerce giants like Amazon(1). Hence, it is better to focus on Indian e-commerce companies like Flipkart.
According to all the small business owners and companies, many huge e-commerce companies practice predatory pricing. This affects the business of many small-scale companies and activities, including many Kirana stores.
Hence, according to the new Consumer Protection Act of 2019, e-commerce companies should provide all the information about their products, sources, its respective sellers, expiry date, country of origin, refund information, return information, exchange, warranties, and even the pictures of the products.
However, the Consumer Protection Act prohibits companies from uploading wrong and misleading information about the sellers and fake customer reviews. This was drafted because Amazon riddled with facts that the sellers pay up to INR 1,200 to give positive reviews on the Amazon website.
According to the Consumer Protection Act of 2020, sellers cannot manipulate their goods and services. If they are caught red-handed, the Government has full rights to take action.