What new FDI guidelines mean for the Indian e-commerce ecosystem

Last week saw the government launching stricter guidelines that govern foreign direct investment (FDI) in e-commerce firms. The DIPP updated Press Note 3 that provides guidelines on the functioning of an e-commerce marketplace. The guidelines that will come to effect from February are stricter in nature, causing companies such as Amazon India and Flipkart to go back to the drawing board. Mint takes a look at how the ecosystem may get impacted with the updated guidelines.