Before going into ONDC (Open Network for Digital Commerce). Let us first understand the problem of e-commerce in India. Whenever you want to buy any e-commerce product the first thought that comes to your mind is Amazon or Flipkart, like platforms. isn't it?
These platforms are great but they hamper the small business in our locality which ultimately impacts the economy of the country India. This is where the government of India stepped in and have a desire to build an ONDC network where small business can also list their products; and are not left behind in the race. ONDC's primary objective is to match the customer demand with the nearest available seller.
The ONDC can be imagined as a Trivago platform that lists hotels across multiple sites and helps us to identify the cheapest option available. Similarly, ONDC will list products from Amazon, Flipkart, local sellers, zomato, swiggy, restaurants, etc., and will help consumers to find the cheapest and fastest option available.
A pilot phase of this project was launched on April 29 in five cities: Delhi National Capital Region, Bhopal, Bengaluru, Shillong, and Coimbatore. But with such an initiative, do small businesses have the capability to beat big e-commerce giants that have a lot of cash flow?