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HomeeCommerce NewsE-commerce platforms warned to stop monopolistic practices by Chinese regulator

E-commerce platforms warned to stop monopolistic practices by Chinese regulator

Alibaba

There has been a lot that has been said about the different e-commerce platforms around the world. We have seen that people have mostly blamed the major platforms such as Walmart, Alibaba and Amazons of the world. Now, we also know that people are not against e-commerce platforms. However, those against the e-commerce platforms are the traders who are operating in offline capacity who feared and have seen that their business is hurting due to these platforms. One solution for the traders, however, is that they can also start selling their products online which means that they can also benefit from the growing online platform.

But we are now seeing that the governments are also warning different e-commerce platforms around the world. According to a report from Reuters, the Chinese regulators have warned the e-commerce platforms against indulging in monopolistic practices. The major e-commerce platforms warned by the Chinese regulators are JD.com and Alibaba from China. The regulators say that they should stop doing activities that might be seen as monopolistic. This warning is given ahead of China’s biggest sale is coming up which is 11.11 Singles Day shopping event.

In a meeting with Chinese e-commerce platforms, the Chinese regulators urged the platforms to stop indulging in practices such as ‘requiring merchants to sign exclusive cooperation agreements preventing them from selling products on rival platforms’. This has also been done in India where the Indian regulators told e-commerce platforms to stop ‘exclusivity’ of its products which means they should be made available everywhere and not on a single platform of their choice. Alibaba has been accused recently of doing such practices which are called as “choosing one from two” meaning that you either use this platform or that one. In one strange report, a seller on Alibaba was penalized for not stopping to sell on a rival platform.

Sonali Minocha
Author: Sonali Minocha

Passionate about Innovation and Technology. I love to contribute to high impact projects/ products. I have co-created/contributed to technology solutions touching 100 million ++ humans. I am also fond of e-commerce & PIM solutions. As editor of eCommerceNext, I am bringing news, events, opinions, experts, reviews from the world of e-commerce and PIM Besides technology and innovation, I am usually involved in setting up and running complex operations and human capital systems. I have been grateful to be acknowledged by getting “Great Places to Work – Top 100”, “Great Places to Work – Top 50”, “Great Place to Work – Top 5” awards for my company. I am a people and relationship person and bring in a balance of empathy and realistic solutions. I thrive on building processes and building control systems. I led the team that achieved CMMI Level 3. I have managed large teams and in-turn managed projects worth 15-20 Million (Annually) Want me to cover an interesting story around eCommerce or PIM? Reach me on [email protected]

Author

Passionate about Innovation and Technology. I love to contribute to high impact projects/ products. I have co-created/contributed to technology solutions touching 100 million ++ humans. I am also fond of e-commerce & PIM solutions. As editor of eCommerceNext, I am bringing news, events, opinions, experts, reviews from the world of e-commerce and PIMBesides technology and innovation, I am usually involved in setting up and running complex operations and human capital systems. I have been grateful to be acknowledged by getting “Great Places to Work – Top 100”, “Great Places to Work – Top 50”, “Great Place to Work – Top 5” awards for my company.I am a people and relationship person and bring in a balance of empathy and realistic solutions. I thrive on building processes and building control systems. I led the team that achieved CMMI Level 3. I have managed large teams and in-turn managed projects worth 15-20 Million (Annually)Want me to cover an interesting story around eCommerce or PIM? Reach me on [email protected]