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Which one of the following best describes the key objective of India's 'Open Network for Digital Commerce' (ONDC) initiative?
Explanation
The Open Network for Digital Commerce (ONDC) is a flagship initiative of the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry. Its primary objective is to democratise digital commerce by shifting it from a platform-centric model to an open-network model.
By enabling interoperability, ONDC allows buyers and sellers to interact and transact regardless of the specific platform or application they are registered on. This fundamentally aims to break the dominance and monopolies of large e-commerce giants (such as Amazon and Flipkart), thereby creating a level playing field for small retailers, local businesses, and MSMEs.
ONDC does not aim to replace private e-commerce players, mandate UPI payments for all transactions, or establish government control over digital commerce; rather, it provides an open protocol to facilitate decentralized and inclusive e-commerce.
PROVENANCE & STUDY PATTERN
Guest previewThis is a classic 'Digital Public Infrastructure' (DPI) question. UPSC loves India's digital initiatives (UPI, Aadhaar, ONDC, Bhashini). It is a highly fair, current-affairs-driven sitter that tests your understanding of the core philosophy behind major government tech rollouts.
This question can be broken into the following sub-statements. Tap a statement sentence to jump into its detailed analysis.
- Directly identifies the initiative as a project by the Department for Promotion of Industry and Internal Trade (DPIIT).
- Explicitly states the primary goal is to 'democratize digital commerce' and move from a platform-centric to an open-network model.
- Lists key objectives including breaking the dominance of large e-commerce platforms and empowering small businesses/MSMEs.
- Early official release defining the project's scope and foundational principles.
- Explains the shift from 'platform-centric' to 'open-network' models to ensure inclusivity.
- Compares the initiative's impact to UPI, focusing on open protocols for exchange of goods and services.
- Identifies the objective of controlling digital monopolies.
- Highlights the focus on making the industry more inclusive for both buyers and sellers.
- Describes the open-source nature of the protocols to allow all retailers to participate equally.
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