* Neha Girish Deshmukh

ABSTRACT

This paper provides information about the impact of Demonetization on online shopping in India. The Government of India announced that the Rs 500 and Rs. 1000 denominated currency notes will cease to be legal tender. The move was targeted towards tackling black money, corruption and terrorism. After initial euphoria, questions began to emerge. What are the costs of this demonetization? Will it be effective if people can still create new black money thereafter? Will it increase the GDP? Will it increase inflation? Major E-commerce websites such as Amazon India, Snapdeal, and Flipkart have opted out the COD (cash-on-delivery) mode of payment options as the government demonetized the Rs 500 and Rs 1000 notes. When purchasing on the e-commerce sites, the users are advised to use their debit/credit cards or net banking to make a purchase of any goods. Keywords: Black money, COD, Demonetization, E-commerce, GDP, etc.