New govt norms may end Amazon, Flipkart flash sales and discounts

Flash sales, discounts may stop; Amazon, Flipkart could suspend selling products of subsidiaries

Flash sales on Flipkart or Amazon might soon be a thing of the past, and the e-commerce giants might also find it difficult to sell products of firms in which they have a stake.

The Department of Industrial Policy and Promotion (DIPP) on Wednesday issued a set of additional guidelines for foreign direct investment (FDI) in the sector. Experts said this might not only curb the activities of e-commerce companies, but also prevent some of them, such as Flipkart, from raising any more FDI. The new regulations will take effect from February 1 next year, said the DIPP regulation.

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