Apple, Nokia, Vivo and others complain against Flipkart, Amazon | Gadgets Now
Handset maker’s lobby Indian Cellular Association (ICA) has urged commerce minister Suresh Prabhu to take action against Amazon and Flipkart, alleging that the ecommerce platforms are violating foreign direct investment (FDI) rules by offering discounts — directly or indirectly — on mobile phones and other products through intermediaries or partner companies.
In Amazon's case, it said these entities are Amazon Seller Services, Amazon Wholesale India Pvt., Amazon Pay and sellers on Amazon platform such as Green Mobiles, Rocket Commerce, Darshita Electronics and others. In Flipkart's case, the entities are Flipkart Internet Pvt Ltd, Flipkart India Pvt Ltd, Ekart Logistics, PhonePe and sellers on the platform such as Retailnet, SupreComnet, Omnitech Retail, Trunet Commerce and India FlashMart, ICA said.
Typically, companies buy mobile phones in bulk from Xiaomi and other brands via related parties and then provide them to preferred sellers or related parties. This allows discounts of up to 15% versus prices in the offline retail market, it said.
Handset maker’s lobby Indian Cellular Association (ICA) has urged commerce minister Suresh Prabhu to take action against Amazon and Flipkart, alleging that the ecommerce platforms are violating foreign direct investment (FDI) rules by offering discounts — directly or indirectly — on mobile phones and other products through intermediaries or partner companies.
In Amazon's case, it said these entities are Amazon Seller Services, Amazon Wholesale India Pvt., Amazon Pay and sellers on Amazon platform such as Green Mobiles, Rocket Commerce, Darshita Electronics and others. In Flipkart's case, the entities are Flipkart Internet Pvt Ltd, Flipkart India Pvt Ltd, Ekart Logistics, PhonePe and sellers on the platform such as Retailnet, SupreComnet, Omnitech Retail, Trunet Commerce and India FlashMart, ICA said.
Typically, companies buy mobile phones in bulk from Xiaomi and other brands via related parties and then provide them to preferred sellers or related parties. This allows discounts of up to 15% versus prices in the offline retail market, it said.
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