#Important_notes_ssb_Lecturette #GD_Material ONDC and It's P | SSB Future Officers

#Important_notes_ssb_Lecturette #GD_Material

ONDC and It's Potential [2/2]

What are the challenges ahead?

Complexity: ONDC is a complex mechanism as compared to other systems like UPI. People found UPI's convenience appealing, which made them adopt it. The same may not be true for ONDC.

✓People have already become accustomed to the user interface of existing companies.

Increase in Disputes: In ONDC, only the buying and selling process happens online, while the delivery and use of the product happens offline.

✓This can lead to more disputes as ONDC is not an intermediary platform.

Lack of a Robust Grievance Addressal Mechanism: The lack of clarity on responsibility for customer service and handling complaints may deter people from joining the platform.

Not an Easy-Peasy Task: The existing e-Commerce companies have deepened up ties with the consumers through their lucrative and interoperable services.

✓Like Amazon provides its streaming platform along with its prime membership.So, it’ll not be easy for the ONDC to attract the customers.

Goods & Services may not be Really Cheaper: Since ONDC is a facilitator of trade among buyers and sellers, it may not be able to provide offers the products like existing players.

✓For Example, Amazon has tied up ICICI bank to provide 5% cashback on goods purchases through Amazon ICICI Credit Card.

What should be the Way Forward?

✓A better digital space for e-commerce must be built by the government in order to compete with the dominant e-commerce platforms.

✓Along with this, it's important to create a proper digital education policy that takes into account various languages and user-friendly interface for the benefit of the consumers as well as sellers.

✓A massive, well-funded adoption campaign will be needed to bring over small sellers like kirana stores to the platform.

✓The demand and supply sides should be able to access a secured single window to resolve issues such as information asymmetry, opaque pricing, quality concerns, and buyer-seller disputes.

Proper Grievance Redressal
Mechanism: There should be a secured single window to navigate both the demand and supply-side problems like information asymmetry, opaque pricing, quality and product concerns and buyer-seller conflict.

For more @ssbgeneraldiscussion