World’s largest online retailer Amazon has made its boldest move yet in India, the world’s third largest Internet market. On Wednesday, Amazon has launched the India Kindle Store and also announced a partnership with digital retailer Croma to sell Kindle e-readers.
Earlier this year, the company began testing the waters in India with the launch of Junglee.com, its comparison shopping site. Present Indian laws do not allow foreign companies to set up full fledged multi brand retail outlets in the country. However, the latest move could be worrisome for Indian e-commerce companies like Flipkart which rely on physical book sales for a large portion of its revenues.
Amazon’s e-book reader, the Kindle is selling for Rs 6,999 at Croma stores and the Amazon India Store is now open for business – i.e. one can buy books from the India store. Kindle Direct Publishing is also now available for the independent authors and it will surely give a boost to tons of Indian authors who opt to self publish their books on Amazon.
The company has just found another way to dig deeper into the pockets of the Indian consumer. By launching as an e-commerce website, Amazon would not have been able to take Flipkart head on, which enjoys the trust and loyalty of the Indian consumer for long. But launching as an e-book store, something into which Flipkart and others have not gone into yet, might just give the company a foothold India before it begins full-fledged e-tailing.
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