I agree with Alien tech what you get online in india is always expensive and even sites like ebay are never trust worthy.
At least physcially you have an idea about the product and the person who you are buying from with online sales there are just too many variables out there spoiling the sale (as outlined by alien tech's post above). Shipping is a major constraint here. Even if the seller is good, trustworthy there is just nothing he can do about the shipping as it is not directly in his hand. Larger online stores which have dedicated shipping companies also face the same problems.
I think indias online market is good for only certain kinds of things mostly of the non-breakable variety like clothing, cd's, softwares etc. As for the rest of the stuff we still need to get more developed in terms of shipping, customer service, pricing etc.Sometimes indian online sites have such un-believably high prices that you think that these sellers think that people who buy on the net are stupid!!!
So while i still believe in online buyung and selling i think it needs a lot of growing up to do in india yet.
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