In recent years there has been a remarkable change in the way India transacts. E-commerce has grown in a big way and the explosive growth in the last few years has made some firms cross even the billion mark in equity valuations (read Amazon.com, JD. com, ebay, Alibaba.com, etc) . The Indian e-commerce industry is likely to grow at a compounded annual growth rate (CAGR) of 35 per cent and is poised to cross the $100-billion mark, in value, over the next five years. The Indian ecommerce industry was valued at around $17 billion in 2014(data from Assocham advertisement, April 2015).With such a high level of prospective growth , an analysis of this industry becomes essential. This high rate of growth would provide numerous opportunities but also hold challenges. The present paper focuses on these issues and shows what this sector has in store for the people of India.