Here is Why Apple, Vivo, Micromax, Nokia File Complaint Against Flipkart and Amazon?
As the world and India’s biggest e-commerce companies, Amazon and Flipkart seem to be landed in trouble an Apple, Vivo, Micromax and Nokia have filed a complaint against them. According to the report, Indian Cellular Association has taken their complaint seriously and forwarded it to Commerce Minister Suresh Prabhu.
The companies have alleged that both the companies have been violating Foreign Direct Investment(FDI) rules by providing and offering direct and indirect discounts to their customers.
According to the report, Indian Cellular Association (ICA) representatives also alleged both companies for holding inventory and influencing the prices of electronic goods which is eroding offline retailers’ revenue and putting at risk the jobs of nearly 60 million people. ICA has claimed that these companies are deceiving rules under Press Note 3 on FDI.
ICA has also written to Suresh Prabhu demanding a strict against the companies. “In the view of the alarming situation that the industry and India are facing, we request urgent and severe action against Amazon India and Flipkart for rampant violations of the conditions of Press Note 3 by both, directly and indirectly, influencing the sale price of mobile phones and other goods.”
Amazon and Flipkart were circumventing rules under Press Note 3
ICA, representatives of which also met Prabhu recently, argued that the companies were circumventing rules under Press Note 3 on FDI by holding inventory and influencing the prices of electronic goods, eroding offline retailers’ revenue and putting at risk the jobs of nearly 60 million people.
On the other hand, Amazon Spokesperson denied all the allegations quoted as saying to Gadgets Now- “Amazon remains committed to complying and is in compliance with all applicable Indian laws and regulations. The prices for products on the Amazon.in the marketplace are completely determined by the sellers.”
Flipkart, on the other hand, didn’t respond to queries. What do you think about the allegations made by world biggest brands like Apple and Nokia.
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