Ecommerce Bubble

Shame on these companies like Snapdeal, Flipkart, yepme that are burning loads of investor money to discount products, sell them below cost in many cases. it may be good for consumer in short run but terrible in the long run..

My brother got burnt by dot com crash of America in silicon valley. that's where we are headed with this. $5-15B valuations will be worth laughs when the real state of these companies is exposed. more  

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I tend to agree with Aditya. These companies are in an intensely competitive and fast growing online shopping Indian market and they have a lot of cash supplied by investors through IPOs. However, these companies are yet to show any plans for a profitable business model. They are burning their investor’s money to establish themselves in the market through heavy discounts and they are essentially loss making businesses at the moment. As an example, Amazon Inc, USA did not make any profits for about two decades and even now it operates at very thin profit margins. more  
These companies are working hard to reduce the transaction cost. Buying in bulk selling at low margins. Providing jobs to delivery boys. more  
Mr goyal why to blame others Ist it is everyone own destiny rest Ist blame the china for cutting down there labour cost. we Can't Blame our self for attaining the high class attitude & living but we try to blame others more  
Why blame these companies or E-commerce, which are future. These are the highly variable discounts which bothers customers and unorganized retailers on finding more discounts later for the almost the same products and their virtually throw away prices for obsolete/outdated products for their store space requirements, for which there are still sufficient buyers. Since it is a worldwide phenomena of advanced countries, these practices will continue. What is more important now is the customer experience & wisdom with this expanding trade. Any fraud, malpractice, deceiving the customer can always be complained to appropriate authorities. more  
E- commerce model has always to be used with covenantal model of entrepreneurship more  
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