E-commerce has completely changed the nature of how business is done: Arun Jaitely

Speaking at the annual lecture of Competition Commission of India (CCI), Finance Minister Arun Jaitely said that e-commerce has completely changed the nature of how business is done and has also made the market more competitive. He also added that innovative technology being used by e-commerce companies were benefiting the customers while promoting competition.

“E-commerce has provided widest possible choices of goods to the consumers at most competitive prices at click of a button,…Competition will provide quality of services and products to the consumers at competitive prices. It promotes innovation, efficiency and quality.”

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He also talked about how the absence of competition in railways and state transport undertakings has kept consumer deprived of world class facilities. While in the civil aviation sector which was open to competition, the customer gets best of the facilities along with competitive fares. He emphasized that the country should move ahead on its current path of an open economy where customers are benefited with more choices. Which he said would also mean lesser government monopolies in the interest of promoting competition.

” Socialism creates government monopolies where government decide what to produce and how much to produce leading to a shortage economy. Whereas, competition gives wider choices,”

Jaitely also mentioned that India was improving in the ease of doing business index and recent initiatives like Insolvency and Bankruptcy Code will facilitate ranking improvements for the country.

“The sick industrial companies act was hardly ever able to resolve the problem. No investor would invest in a sluggish economy where there are entry barriers and no option to exit. With the bankruptcy code, we are sure things would change. With the new regime, there will be significant improvement in this area,”