Similarly, around 40% of the sales on Amazon India come via Cloudtail India, which is a joint venture between Amazon.com and Infosys co-founder NR Narayana Murthy’s investment business, Catamaran Ventures. A new rule being implemented by the Indian Government will put Amazon and India in a fix : India has allowed 100 % foreign direct investment ( FDI ) in online retail firms that operate as marketplaces , however , this will not be allowed in inventory - based models , where the firm owns the goods that are being sold through its platform . A majority of the large e - commerce firms in India are marketplaces , but they will not be permitted to have over 25 % of their sales come from one vendor . Amazon 's platform is a subsidiary , WS Retail , which analysts say is easily above the 25 % threshold , while 40 % of sales on Amazon come through Cloudtail India - a joint venture between Amazon.com and Catamaran Ventures . Furthermore , the rules also say the marketplaces will not be permitted to influence the selling price of goods and services on their platform ; online retail in India presently relies on deep trading . On the other hand , Snapdeal has embraced the rules : unlike the other two it does not have a single large seller .
A new rule being implemented by the Indian Government will put Amazon and India in a fix : India has allowed 100 % foreign direct investment ( FDI ) in online retail firms that operate as marketplaces , however , this will not be allowed in inventory - based models , where the firm owns the goods that are being sold through its platform . A majority of the large e - commerce firms in India are marketplaces , but they will not be permitted to have over 25 % of their sales come from one vendor . Amazon 's platform is a subsidiary , WS Retail , which analysts say is easily above the 25 % threshold , while 40 % of sales on Amazon come through Cloudtail India - a joint venture between Amazon.com and Catamaran Ventures . Furthermore , the rules also say the marketplaces will not be permitted to influence the selling price of goods and services on their platform ; online retail in India presently relies on deep trading . On the other hand , Snapdeal has embraced the rules : unlike the other two it does not have a single large seller .