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- The era of contracts: retail has proposed to create an institution of self-regulation
The era of contracts: retail has proposed to create an institution of self-regulation
The Ministry of Industry and Trade proposed to think about creating an institute of self-regulation that would combine online and offline retail. Its main task is to eliminate imbalances and legal gaps in the regulation of trading activities. Experts are convinced that the emergence of a universal institution that will unite retail chains, digital platforms, suppliers and interested authorities will make it possible to coordinate the interests of the state and business, create an effective dispute resolution mechanism and ensure the sustainable development of trade in general. How this will affect market players is in the Izvestia article.
Joining forces
The Ministry of Industry and Trade proposed to create an institute of self-regulation that would combine online and offline retail. This idea was voiced by the head of the department Anton Alikhanov. The main goal is to eliminate imbalances and legal gaps in the regulation of trading activities. The proposal to create such an institution is included in the list of initiatives of the department that may form part of the new national trade model.
"First of all, we need to get rid of outdated norms, such as maintaining a trade registry. To create a universal institution of self-regulation with the participation of retail chains, suppliers, digital platforms and interested authorities. It should become a center for developing common voluntary standards of business conduct and arbitration mechanisms," explained Alikhanov.
According to the minister, one of the general requirements for all market players will be compliance with legislation on the turnover of goods. We are talking about confirming their legality, the availability of the necessary documents and labeling, and so on.
The new model will give online platforms that are part of the same group as the retail network the opportunity to conclude intermediary contracts for the sale of food products.
The Ministry of Industry and Trade also proposes to work out a standard that will allow the owners of order pick-up points to work in a multi-brand format.
Another aspect that is in the focus of the department's attention is the problem of forcing suppliers of goods to promotions and sales from marketplaces.
The editorial board of Izvestia sent a request to the Ministry of Industry and Trade of Russia. No response has been received at the time of publication.
A solid foundation
Anton Alikhanov's statement was not made by chance, Alexey Moskalenko, Chairman of the Presidium of the Association of Electronic Commerce Representatives, is convinced. Some experience and developments to bring this idea to life have already been accumulated as part of the work of the commission for creating conditions for self-regulation of the e-commerce market, operating under the Ministry of Industry and Trade.
The commission consists of more than 60 people — representatives of businesses, industry associations, various departments and regions, recalls Artem Sokolov, president of the Association of e-Commerce Companies.
— At the meetings, and there have already been 17 of them, controversial cases of interaction between marketplaces and their partners are being dealt with. The result is additions to existing industry standards and the exclusion of unfair practices," says the expert.
The self-regulatory commission has already managed to resolve a number of problematic issues related to e-commerce, confirms Alexey Molodykh, Director General of the International Association for the Development of Marketplaces and Entrepreneurs. Many of the decisions and approaches formed at this level formed the basis of legislation on the platform economy.
— A significant part of the issues are resolved within the commission without being made public, and this is an absolutely correct approach. In fact, the institution the minister is talking about will become a platform that unites retail companies, sellers, marketplaces, as well as government representatives. This is a really important and timely initiative," Moskalenko clarifies.
The issue of self-regulation is really relevant today, since the interaction of business and government requires building a culture of partnership based on trust and mutual responsibility, he adds.
The further development of the institute and the inclusion of issues of updating the regulation of trade activities on the agenda will allow us to identify new ways of developing trade in which offline and online intersect and complement each other, Molodykh believes.
More effective than the laws
The retail market has changed a lot at the moment — today all major retail chains are becoming omnichannel and implementing platform solutions, says Stanislav Bogdanov, Chairman of the Presidium of the Association of Retail Companies. He sees the creation of a unified institute for trade self-regulation as a logical and timely step.
"Responsible self—regulation is an important element in the new national trade model, which is generally aimed at updating trade legislation and creating a favorable environment for the effective development of all market participants," the expert believes.
The emergence of a universal institution that will unite retail chains, digital platforms, suppliers and interested authorities will allow to coordinate the interests of the state and business, create an effective dispute resolution mechanism and ensure the sustainable development of trade in general, he believes.
— The task of such an institution is to develop voluntary standards of behavior for market participants and arbitration to resolve possible conflict situations, — says the head of ACORT.
It is impossible to provide all the details solely at the level of the law, Alexey Moskalenko emphasizes. Businesses today need space for agreements and the development of common rules of interaction.
"The new institute of self—regulation can become exactly the structure that will allow us to systematically resolve regulatory issues and eliminate existing imbalances,— the Izvestia interlocutor is confident.
Self-regulatory mechanisms will help avoid chaos during the period of legislative transformation and the introduction of a new national trading model. They will also reduce the administrative and bureaucratic burden on government authorities and businesses, as well as allow for flexible and fast implementation of good practices in the market, Bogdanov lists.
The initiative is currently at the planning stage, but we can already say that this is a good decision, says Vladimir Korovkin, Deputy Director of the Center for Communications and Digital Solutions, Head of research at the Skolkovo School of Management.
"It will not be easy to find compromises, but a common platform will lead to a better understanding of the market as a whole, its challenges and opportunities," the expert is convinced.
Offline retail needs to change, and online commerce needs to better balance the interests of all ecosystem participants. It is important to keep in mind that it will be very difficult to get the tool working at first, since it unites two groups of players with opposing interests, Korovkin draws attention to.
— But there is a serious chance that the problems of the parties and the industry will be solved better in terms of the overall benefits for the market — suppliers, intermediaries and consumers. This is how self—regulation differs from top-down legislation, which is often created without a deep dive into the issue," he summarizes.
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