Project NII - New Foreign Direct Investment Rules

Marketplace model and inventory driven model - new fdi rules

New foreign direct investment fdi rules for e-commerce were stipulated by Govt. India. Marketplace model is preferred over inventory in online selling. Global retail giants - Walmart owned Flipkart & Amazon - scramble and resort to rejig. Two e-commerce models exist. India allows 100 percent FDI in marketplace model (1st) which it defines as a tech platform connecting buyers sellers. Bharat doesn’t allow FDI in inventory-driven model (2nd) - goods, services owned by firm selling directly. Small Hindustan online sellers accuse Amazon & Flipkart of violating the spirit of law, that they offer deep discounts by manipulating structures and pretend to be in line. Both developed complicated seller structures. Find link to Reuters article in Project NII (National Issues India) Post at http://www.nationalissuesindia.blogspot.com/2021/12/online-selling-marketplace-inventory-model-fdi-rules.html .