Recovering from e-commerce setback

Following the MLM (multilevel marketing) scams, e-commerce financial defrauding hit media headlines and together the two robbed, according to the commerce ministry, about 10 million victims of Tk22 billion. Of them, the MLM companies mostly melted in the thin air except a few like Destiny but the majority of those of e-commerce could fortunately be held accountable for their acts of swindling. Some of the people in charge of such companies were sent to jail and their property confiscated in order to pay back to their customers. But as it happens in case of such complicated business transactions, not all the money by which advance payments were made for commodities could be recovered. So a report carried in the FE on Sunday now discloses that the e-commerce businesses involved in dubious transactions are yet to pay Tk1.39 billion to their customers.
But it could be altogether a different story if e-commerce could exploit its immense potential in this country. Hardly any local company tried to make a breakthrough in an honest way. The pioneer of this particular type of business is none other than Jeff Bezos of America, who unlike other tech innovators revolutionised retail business. It is said that he was not an innovator of technologies like Apple and Microsoft but transformed 'retail in the same way Henry Ford revolutionised manufacturing' by smart use of existing technology. There is nothing to be surprised if the early e-commerce entrepreneurs in this country were greatly influenced by Jeff Bezos who became the richest man in the world overtaking Bill Gates before he was toppled by Elon Musk. But such a business prospers on the foresight, honesty and enterprise of the person/persons behind it. Unfortunately, e-commerce entrepreneurs chewed more than they could swallow. They may be inspired by Bezos' Amazon.com or Jack Ma's Alibaba.com reputed for offering a digital market place where consumers and merchants can connect before making business transactions.
What the major e-commerce initiators such as Evaly, E-orange and Alesha Mart to name but a few here ended up doing is to turn their business into something like the digital version of multilevel marketing companies. Actually e-commerce has nothing to do with manufacturing; it just serves as a platform for procurement of commodities of reputed brands and sale of those at rates lower than the market prices. To their credit, the e-commerce companies could dupe unsuspecting consumers who were fooled by tactics of various duplicities. For example, they literally promised the sky to consumers and in case of the first or second online order, customers received exactly what was promised. By the time their credibility was suspect, the consumers had paid more money than they would have done otherwise. Thus e-commerce companies lured consumers to place orders the businesses had no capacity and mind to supply. This motivated financial malpractice is aeons away from Jeff Bezos's business.
E-commerce still has a chance to prosper in the country that sets its goal for a digital transformation. But the loss of credibility will surely make customers hesitant about this form of business transactions. A few low-profile companies still carry on their business rather creditably. But for the business to be widely popular and in line with the country's digital aspiration, it has to restore the customers' confidence courtesy of government's regulatory measures and prompt actions.