Experts warn of the negative effects of the expansion of global e-commerce companies. They propose to support innovation, use of competition controls and prevent monopolyTruth Consultancy
“Despite the expansion and dominance of global trading companies in different sectors globally, according to market variables that follow free competitive policies, the expansion and growth of these companies could threaten a number of Economic sectors, notably retail, especially clothing, electronics and grocery products.” said the economist and general manager of «Truth Economic & Management Consultancy», Reda Mosallam, pointing out that the experience of” Amazon “in the US markets and their impact in similar sectors, may be one of the outstanding examples in this sector, and it is important to take into account, during the coming period .
He added that the means of preparedness and controls to face the negative effects of these companies, are two main axes: First: to further promote the concepts of innovation and development, and rely on the standards of knowledge economy in local institutions, to support their competitiveness in various sectors, to prepare for any competition in that sector, The policies advocated by the state government have long been in line with the need to support innovation and approach to modern technology, and to rely more on the knowledge economy. This has led the country to take the lead in adopting these policies through long-term strategies and action plans.
He pointed out that the growth of modern technologies and the expansion of their use are one of the means of assistance to these global companies. He pointed out also that the global trend to use the techniques of «virtual reality» and «enhanced reality» in e-commerce, support the direction of a large number of consumers to be used more in sectors such as clothing , Using these technologies to provide products that are more suitable in size and cheaper for consumers.
He stressed that the second axis is that the adoption of open market policies and flexible does not conflict with the use of laws provided by the State, to promote competition and prevent monopoly, as controls are based on any abuses in the practices of those companies in various economic sectors, The markets of countries according to the laws of each country, and according to flexible policies that enable them to continue.