India's largest online shopping portal, Flipkart, had increased the minimum order value that would make you eligible for a free home delivery. The minimum price earlier was Rs. 200 and it has not been increased to Rs. 300 thereby ending the competition with the prices that it earlier offered. This would have a significant increase in the Books segment.

This move could be a measure to cut down on the cash burns as it is already on the look for more funds, as the funds from Tiger Global and Accel partners are not just enough to improve their margins. Flipkart had sold numerous books at the cheapest prices in India has been compared to the behemoth of an etailer, Amazon. Analyst however say that this move would only take it farther away from the customer base that it has.

This move could be slightly foolish in a way as the major competitors like Junglee, Infibeam, Homeshop18 and others offer the services for free without a minimum charge or a lower minimum.

In response to the criticism it said that that would only affect 15% of the customers but increases the efficiency of the supply chain and this would inturn benefit the customers. They have also not increased the charges for shipping the goods if the total order is under Rs 300 as it stands at Rs 30.

A few investors have said that this is a positive move that Flipkart made as there are literally almost no profits made on products like books where they have low margins. They have to also bear the delivery and transportation charges. It would become a standard in the industry by other e-tailers who would also soon follow them.

AW- Anil