Currently in Sri Lanka, there is a host of criticism about the direct selling industry, resulting in conflicts between people. Are these direct selling companies genuine?
Can we place faith and travel in this field? The people who are already involved have started to think they have been misguided.
These types of companies are there in India. They also faced a similar situation. Direct selling was not regularised in India unlike other developing countries and this has been a challenge for these companies as well as the consumers.
Often these companies have come under the scrutiny of Chit Fund and Money Circulation Act. But these direct selling companies are not bound under any of the guidelines and algorithms of the Government. So the customers do not have any chance to re-appeal for their shortcomings. To avoid these problems, the Indian Government has taken some actions.
Although a similar article was published on 18 September 2016, the Indian government has not regulated the direct selling industry; now they have regulated and given the guidelines to these companies, they have joined hands with the State governments and given the guidelines. Already many direct selling companies are engaging in ecommerce, these guidelines are helping them to regulate it correctly.
In developed countries and fast-growing countries in Asia like Singapore, Malaysia, Vietnam and in Thailand these business structures are regularised so the people are enjoying more benefits. The Indian Consumer Affairs Authority found a solution and regulated the Direct Selling Guidance for 15 states of India, namely Kerala, Sikkim, Goa, Tamil Nadu, Punjab, Raipur, Rajasthan, Mumbai, Mizoram, Karnataka, Himachal, West Bengal, Odisha, Telangana, and Andhra.
If the Sri Lankan government or the Consumer Affairs Authority considers and takes necessary action to register the genuine companies, in doing so they can prevent the people from fake companies and build trust in the people about the industry.
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