Politics · Malaysia Bureau
Malaysia's e-commerce bill must curb dominant platform power, study finds
University of Malaya researchers have identified significant consumer harms in the nation's e-commerce sector that require regulatory intervention. The findings underscore the need for robust safeguards in proposed legislation governing digital commerce platforms.
LSN Malaysia ·
A comprehensive research study conducted by the law faculty at Universiti Malaya has documented multiple areas of concern within Malaysia's e-commerce landscape, raising questions about the adequacy of existing protections for consumers and smaller merchants.
The fundamental research grant study identified specific harms stemming from the concentrated market power wielded by dominant e-commerce platforms operating in the country. These platform operators, the researchers found, are able to exercise considerable influence over pricing, seller access, and consumer protections without sufficient regulatory oversight.
The findings carry particular significance as Malaysian policymakers develop new legislation to govern the e-commerce sector. The study suggests that any proposed bill must incorporate meaningful provisions designed to constrain the power of large platforms and establish clearer protections for both consumers and independent sellers participating in the digital marketplace.
Experts argue that without targeted regulatory measures addressing these imbalances, Malaysia risks allowing market dynamics in e-commerce to favour large platforms at the expense of fair competition and consumer welfare. The Universiti Malaya research provides empirical grounding for calls to strengthen oversight mechanisms within the anticipated legislative framework.