Amazon.com landed in India ahead of its First fulfilment center as its own internal business models are delightfully more complex than the country’s FDI,. sales tax and excise regulations. While packaging centers may get into excise inspector brouhaha with the Supreme Court adjudicating ( Freaky Friday Speculations) adventurous Amazon executives may also be wary of getting subjected to multi Octroi, Sales tax and local taxes ahead of GST roll out in the country.
At least those are the typical silly stuff one avoids by starting a totally desi business in e commerce thence it can be sure of getting what Fabmall and now flipcart are getting in terms of taxes and accounting.
the testing of waters with junglee.com is however more likely to backfire till it comes with its full range of shipping made available at a safe and reliable amazon.in. Indian customers a re a ticklish lot and though they suspect nothing in government and business is above board they by and large do not expect to partake of that in their daily lives. We did not welcome the Apple stores till the latest iMacs and iPhones (iPods) were available simultaneously and we will not let Amazon get by on ebay like junglee.com.
FDI wise , trying to escape a multi brand regulation framework is going ot be impossible for amazon and waiting for amazon.in til 100% FDI is allowed would be one option that India phobes have shown favor for but likely that will only lose them more business in the World’s #2 English speaking Consumer market. The loss is all yours as Chindia trundles along.
Junglee.com itself came and left back in 1996 and now will feature 12 million products from 14000 brands to keep the portal available, but consumers are likely to wait till Amazon can get a clear decision, esp if it can introduce Prime here, international shipping is a bore and a real swindle on a retail shopper’s budget as Jeff Bezos would understand
- Amazon moves into India’s e-commerce market with the launch of Junglee (thenextweb.com)
- Amazon enters India with Junglee.com Product Ads! (trak.in)
- Amazon Limps into India with Junglee (techie-buzz.com)
- Junglee.com : Amazon India Shopping Store (shoutmeloud.com)