Regulation of e-commerce necessary to protect consumers, spur growth: Prabhu

Regulation of e-commerce necessary to protect consumers, spur growth: Prabhu

Context

The government can regulate the e-commerce industry in a manner that safeguards the interests of the consumer and at the same time help the industry grow, Commerce Minister Suresh Prabhu said on Tuesday

What are B2B & B2C businesses?

B2B is shorthand for business to business. The products and services of the business are marketed to other businesses. Examples include advertising agencies, web hosting and graphic design services, office furniture manufacturers and landlords who lease office and retail space

E-commerce is a B2C sector

Pre relevant info

B2C: The final customer is the consumer with a B2C business. Housecleaning services, restaurants and retail stores are examples of B2C companies. Websites that offer consumer products are B2C. The B2C sales cycle is shorter. The consumer is encouraged to buy the product immediately. For example, a mother is looking for educational toys. She finds the site, reviews the product and buys the toy

Industry can have both B2B & B2C

An industry may include both B2B and B2C companies. The book-publishing industry is a good example. Authors market their manuscripts to book publishers. Both the author and the book publisher are in a B2B relationship. The publisher prints and markets the books to booksellers, both online and in retail stores. This relationship is B2B as well. However, the bookstores sell to the final consumer and are in a B2C relationship.