Top executives of Amazon and Line in India have surprisingly resigned from their respective posts. Vikas Purohit who was lifestyle and fashion head of Amazon India and was said to be one of the four pillars of Amazon India reportedly resigned due to personal reasons.
On the other hand, Damandeep Singh, Line’s business head for India and Rajat Gupta, head of user acquisition have indicated towards working on a new startup bringing a content based app keeping in mind the Indian market.
In a statement given to the Times, Damandeep said,
We identified some unique opportunities that can be beneficial to the Indian market, with a bit of a desi touch, and there exists a gap in the market right now on content consumption. So we tried to address that in our new business.
This comes as both the companies are in a tight spot as they are trying to gain a stronger foothold in the emerging Indian market and only time would tell how badly this might affect the fate of two companies in India.
Lifestyle and fashion is considered one of the most important segments for any eCommerce player and the resignation of Vikas Purohit could provide a huge blow to Amazon India who is already facing stiff competition from Indian eCommerce giants such as Flipkart and Snapdeal.
Till the company finds a replacement for him, Susan Saideman who is Amazon India’s vice president of global vendor management, would look after the fashion business of the company.
On the other hand, Japanese Line also is looking to establish itself strongly in the Indian market and had recently launched the Lite version of its app keeping in mind the low high-speed internet penetration in India. It has also introduced a new feature of low cost calling in its android app to lure more Indian customers.
With the business head of India gone, it could cause a further setback the minuscule progress the company has been making in India and a huge blow to its IPO plans which has already been delayed due to poor market conditions.
We are yet to receive any comment from either of the two companies on these recent developments.