Why ONDC can’t be a UPI of e-commerce? We explain
ONDC is an open and interoperable network on which different stakeholders of e-commerce can interact.
Buyer apps, seller apps, inventory seller nodes, technology service providers, and logistic players are key participants of ONDC.
It is a non-profit Section 8 company, an initiative of the Department of Promotion of Industry and Internal Trade.
Customers can choose any buyer app to connect with any seller app while choosing a logistic provider of their own choice.
Small businesses can directly join ONDC and don’t have to approach an aggregator.
It will protect customers from the monopoly or duopoly.
It will complement the existing e-commerce platforms if they become part of it.
Challenges in ONDC include building the network, handling disputes, and dealing with logistics.
It could end up recentralising the power in a few hands.
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