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Sunday 9 July 2023

ONDC and impact of it on digital commerce in India

 ONDC and impact of it on digital commerce in India

India is one of the fastest-growing e-commerce markets in the world, with an estimated value of US$200 billion by 2027. However, the online retail sector is dominated by a few large platforms, such as Amazon and Flipkart, that have a significant market share and influence over the ecosystem. This poses challenges for millions of small and medium-sized enterprises (SMEs) and local retailers, who often struggle to access the digital market and compete with the big players.

To address this issue, the Indian government has launched an ambitious initiative called the Open Network for Digital Commerce (ONDC), which aims to democratize and decentralize e-commerce in India. ONDC is a non-profit entity that will create a public digital infrastructure to connect buyers, sellers, logistics providers, payment gateways, aggregators, and other stakeholders on a common platform. ONDC will not follow a platform-centric model, but rather an open network approach, where any seller can offer their products or services through any compatible application or platform, and any buyer can discover and purchase them without being restricted by the platform they are using.

ONDC is based on the principles of interoperability, standardization, inclusivity, transparency, and innovation. It will leverage existing technologies such as Unified Payments Interface (UPI), Aadhaar, and Goods and Services Tax Network (GSTN) to enable seamless transactions across the network. ONDC will also adopt common data formats and protocols to ensure data portability and security. ONDC will not store any data or charge any fees from the participants, but rather act as a facilitator and enabler of digital commerce.

ONDC is expected to have a positive impact on the Indian e-commerce industry in several ways. Some of the benefits of ONDC are:

  • Formalization and democratization of e-commerce:

ONDC will help bring more SMEs and local retailers online by reducing the entry barriers and costs associated with joining a platform. ONDC will also empower them to have more control over their pricing, inventory, branding, and customer relationships.

  • Benchmarking of prices 

ONDC will enable buyers to access a wider range of products and services from different sellers across the country. ONDC will also allow them to compare prices and quality across platforms and make informed choices based on their preferences and needs.

  • Growth of local retail businesses especially MSMEs

ONDC will boost the growth of local retail businesses by increasing their visibility and reach to new customers. ONDC will also help them leverage their existing physical infrastructure and networks to offer faster delivery and better service.

  • Increased number of choices for buyers

ONDC will enhance the customer experience by offering more variety, convenience, and affordability. ONDC will also enable buyers to support local businesses and contribute to social and economic development.

  • Auxiliary support and services for both buyers and sellers

ONDC will provide additional support and services for both buyers and sellers, such as ratings, reviews, recommendations, loyalty programs, coupons, discounts, etc. ONDC will also facilitate dispute resolution and grievance redressal mechanisms.

  • Shortening the monopoly of big-sized eCommerce players and increase the reach of small-sized merchants

ONDC will create a level playing field for all e-commerce players by reducing the dependence on intermediaries and aggregators. ONDC will also foster healthy competition and innovation in the sector by encouraging new entrants and niche players.

  • Assisting in ending greedy pricing in higher levels of profit margin and higher value products

ONDC will promote fair pricing practices by increasing transparency and accountability in the e-commerce sector. ONDC will also help prevent predatory pricing, deep discounting, preferential treatment, exclusive deals, etc., that distort the market dynamics.

ONDC is currently in its pilot phase, which started on April 29, 2022, in five cities – Delhi NCR, Bengaluru, Bhopal, Shillong, and Coimbatore. The pilot phase will cover retail and restaurant categories initially, but will gradually expand to other domains such as travel and mobility. Based on the feedback and learnings from the pilot phase, ONDC plans to scale up to 100 cities and towns across India by October 2022. The goal is to accommodate 30 million sellers and 10 million merchants online.

ONDC is a game-changing initiative that has the potential to transform the way e-commerce is conducted in India. By creating a shared digital infrastructure and standardizing data formats, ONDC will help reduce the friction in digital commerce and drive financial inclusion across the country. ONDC will also foster a more inclusive, diverse, and vibrant e-commerce ecosystem that benefits all stakeholders – buyers, sellers, logistics providers, payment gateways, aggregators, and the government.

Impact of I-PAC on Indian Politics

Impact of I-PAC on Indian Politics

I-PAC, or Indian Political Action Committee, is a platform for students and young professionals to participate in and make meaningful contribution to political affairs and governance of the country, without necessarily being part of a political party . Started as Citizens for Accountable Governance (CAG) in 2013, I-PAC has worked with various visionary leaders with a proven track record, such as Narendra Modi, Nitish Kumar, Amarinder Singh, Jagan Mohan Reddy, Arvind Kejriwal, Mamata Banerjee and M.K. Stalin.



I-PAC has been instrumental in shaping the political narrative and strategy of these leaders and their parties, using innovative methods of reaching out to the public and gathering mass support. Some of the notable campaigns that I-PAC has designed and executed are:

 


- Chai pe Charcha: A series of interactive sessions between Narendra Modi and citizens across India over a cup of tea during the 2014 Lok Sabha elections . This campaign helped Modi project himself as a leader who listens to the people and understands their issues.

- Captain de Nau Nukte: A list of nine promises made by Amarinder Singh to the people of Punjab during the 2017 Assembly elections . This campaign helped Amarinder Singh highlight his vision and commitment for the development of Punjab.


- Nava Ratnalu: A set of nine welfare schemes promised by Jagan Mohan Reddy to the people of Andhra Pradesh during the 2019 Assembly elections . This campaign helped Jagan Mohan Reddy win the trust and confidence of the people who were disillusioned with the previous government.


- Didi Ke Bolo: A campaign to enable direct communication between Mamata Banerjee and the citizens of West Bengal through phone calls and social media during the 2021 Assembly elections . This campaign helped Mamata Banerjee address the grievances and concerns of the people and counter the aggressive campaign by the BJP.

- Ondrinaivom Vaa: A campaign to mobilize volunteers to help people affected by the COVID-19 pandemic in Tamil Nadu, led by M.K. Stalin during the 2021 Assembly elections . This campaign helped M.K. Stalin demonstrate his leadership and empathy during a crisis and contrast it with the perceived inefficiency and indifference of the AIADMK government.


 I-PAC has also launched the National Agenda Forum (NAF), a platform for citizens to set the agenda for the 2019 Lok Sabha elections and choose their leader . This initiative aimed to revive the spirit of Mahatma Gandhi's Quit India Movement and empower the citizens to shape the future of India.

 While I-PAC has been hailed as a game-changer and a pioneer in professional political campaigning in India, it has also faced criticism and controversy for some of its practices and impacts. Some of the allegations and challenges that I-PAC has encountered are:

 - Being accused of manipulating data and public opinion through surveys, social media campaigns and fake news . For instance, I-PAC was alleged to have fabricated a survey that showed Nitish Kumar as the most popular leader in Bihar ahead of the 2020 Assembly elections. I-PAC was also accused of spreading misinformation and propaganda against Mamata Banerjee's rivals in West Bengal through its digital platforms.

- Being questioned for its role in influencing policy making and governance, especially when it works with multiple parties across different states . Some critics have argued that I-PAC acts as a shadow cabinet or a parallel power centre that interferes with the elected government's decisions and priorities. Some have also raised concerns about the potential conflict of interest and lack of accountability when I-PAC works with rival parties in different states.

The impact of I-PAC on Indian politics is undeniable, as it has transformed the way elections are fought and won in the country. However, it also raises some ethical and democratic concerns about its influence on public opinion, policy making and governance. As I-PAC continues to work with different leaders and parties in future elections, it will have to balance its professional objectives with its social responsibilities.




Sunday 11 June 2023

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ONDC and impact of it on digital commerce in India

 ONDC and impact of it on digital commerce in India India is one of the fastest-growing e-commerce markets in the world, with an estimated v...