E-commerce entities are incorporated under the Companies Act 1956 and the Companies Act 2013. However, foreign companies are covered under clause 42 of section 2 of the Companies Act 2013. Buying and selling commodities, goods, and services on the platform of an e-commerce portal are known as the e-commerce business. 

It also includes digital products over digital and electronic networks. Recently, some major amendments have happened to the e-commerce entities which are introduced as the marketplace-based model of e-commerce, the inventory-LED model, and the marketplace model. Under these models, the e-commerce websites are portals, and their work decides under which model such e-commerce websites are working.