E-commerce marketing · Industry brief

The Competition Commission of India approved Walmart's USD 16 billion acquisition of Flipkart, an Indian e-commerce major. The Commission determined that while both parties engage in B2B sales, Walmart India has minimal presence in that segment, and Flipkart's online marketplace cannot conduct direct B2C sales due to foreign direct investment policy restrictions. The Commission found no horizontal or vertical overlap that would adversely impact competition, noting the presence of strong competitors like Amazon, numerous market players, and ease of entry as indicators of a competitive market. Stakeholder concerns about predatory practices, preferential treatment, and impacts on small sellers and employment fell outside the Commission's merger review scope, with the agency clarifying that its assessment focuses solely on competitive implications of the proposed combination rather than pre-existing market conditions. Source: Legal 500 India Antitrust/Competition Law.

India's Department of Consumer Affairs has amended the Consumer Protection (E-Commerce) Rules, 2020, effective January 1, 2027, substantially recasting disclosure, ranking, pricing, grievance-redressal, and data-use obligations for e-commerce entities and marketplace platforms. Key changes include consolidated disclosure requirements (legal name, addresses, contact details), stricter grievance-redressal timelines (48-hour acknowledgment, one-month resolution), mandatory compliance with the Guidelines for Prevention and Regulation of Dark Patterns, 2023 with yearly self-audits and compliance certificates, and new restrictions prohibiting marketplace entities from using consumer data to promote sellers or private-label products without express affirmative consent—a requirement that aligns with the Digital Personal Data Protection Act, 2023. Non-compliance carries penalties up to INR 50 crore under the DPDP Act and potential enforcement action under the Consumer Protection Act, 2019.