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Product cover image for Neons Fashion LLP (B): The Setbacks

Neons Fashion LLP (B): The Setbacks

Mukherjee, Saral; Abhishek; Balasubramani, Soundarya

Product #:MAR0509(B)
Supplier:Indian Institute of Management Ahmedabad
Discipline:Marketing
Setting:India
Details:Case (PDF) • 3 pages • 2019-10-07 (Rev: 2021-09-21)

Subjects:

LogisticsOperations and supply chain managementSales and marketingMarketing

Industries:

Goods, trade, and consumer services

Geography:

IndiaAsia
Your Price:$10.54

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Neons Fashion LLP was the entrepreneurial venture of Arthi Ramalingam after she completed her MBA. Arthi had been interested in jewellery since childhood and decided to focus on the design, manufacturing and retailing of fashion and costume jewellery items under the brand name of Eternz through different sales channels like exhibitions, retail stores, own website and as an independent seller on e-commerce marketplaces. She initially started selling on Amazon marketplace through a third party, Cloudtail India Pvt. Ltd and later sold through other e-commerce marketplace operators like Flipkart, Jabong and FirstCry. As her business grew, Arthi planned to add the kids’ shoes category and decided to participate in the Bangalore Fashion Week to build the Eternz brand. However, in November 2016, Cloudtail terminated her contract, which played havoc with the sales and profitability of her start-up. Neons Fashion LLP (B) describes the events after the Bangalore Fashion Week that ultimately led to the closure of business.

Learning Objectives

The main objective of the case series is to highlight the issues that an independent seller has to go through while selling on an e-commerce marketplace. Most e-commerce case studies focus on customer related issues or the challenges faced by the platform operator. However, this case series has been written from the viewpoint of an independent seller and highlights the challenges faced by sellers. The case also provides details of the logistics choices faced by independent sellers on e-commerce marketplaces. While e-commerce offers convenience to customers in terms of product returns, the case can be used to sensitise platform operators about the inconveniences faced by independent sellers. The case also highlights that incidences of product returns may vary from one category of products to another and hence is an important factor in the choice of sales channel. The main learning objectives of case are described below: Understanding the challenges of e-commerce marketplace operations from an independent seller’s perspective; The role of product returns in deciding the sales channels for different product categories; Conflict of interests inherent in e-commerce marketplace operations.
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Case Study: Neons Fashion LLP (B): The Setbacks (English version) | Ivey Publishing