150,000 Smartphone Vendors Urge PM Modi to Examine Amazon's Business Tactics

On Monday, a group of 150,000 smartphone store vendors asked India Narendra Modi's prime minister to examine Amazon's business conduct appropriately. A letter sent to Modi says that Amazon has been giving high-class treatment to all the groups of sellers on the Indian Platform to avoid all the foreign investment regulations.    

This Amazon report was documented between 2012 & 2019. The "All India Mobile Retailers Association" (AIMRA) wrote in the letter that "we are pretty much aware of Amazon's strategy and business tactics." Furthermore, the letter also says, we have disclosed that Amazon is doing great business in the Indian market. However, "Amazon is somehow managing and dodging all the rules set up by the regulators and politicians."  

AIMRA has had a work with the government to "suspend all Amazon activities in India" until or unless the investigation on business practice gives an actual result. In that case, Amazon has clarified that it does not have any preference policy or special treatment for any seller, and Amazon always follows the Indian market law and policy. 

As per the reports, both Amazon and Modi office have not responded immediately. However, Indian retailers, a very prominent part of media support, have claimed that the rules & regulation/business practice of bug e-commerce markets like Amazon, Walmart, and Flipkart has scaled down the small traders' counter. In that scenario, these companies have denied all allegations.

Reuters have also reviewed the Amazon documents and say that the firm has helped a small group of people on the official website regarding special cut deals like Apple brand, discount free, etc.   

Earlier in 2019, 400,000+ sellers got two-third part of online sales. In that scenario, AIMRA said that the governments should investigate adequately to know about a single-day sale on Flipkart and Amazon. AIMRA further added that Amazon has been promoting sales through their preferred sellers. Hence, the government should have a look at the collaboration between the sellers and smartphone brands.

As far as Flipkart is concerned, it has not responded to this allegation. Last month, Amazon said that their primary goal was to assist a small number of Indian businesses and "treats all sellers in a fair."

Brick-and-mortar retailers also said that "they are pretty much lacking and struggling in the form of big technology giants as the online phone sale is significant and rapid. With the latest research of Forrester, since 2019, around 44% of smartphones have been sold out only from the tech giant apps like Flipkart and Amazon.