21–30 of 107 posts
Earlier quoted context omitted.
"The company needs to meet a 30 percent local sourcing rule to be able to open its own stores in the country." It is just the result of protectionism.
It’s not “just” that, it’s actially the desired result of the protectionist policy, which appears to have been effective.
Earlier quoted context omitted.
It's a logistics/risk balancing/new demand move. 1. Logistics: Cheaper to ship to rich Middle east and maybe even Europe 2. Risk balancing: With uncertainty at political levels about tariffs and trade rules, it makes sense to distribute production to multiple places in the world. 3. New demand: Lower cost of production == lower prices in India. Apple has negligible penetration in the largest fastest growing market. T…
Gdp per capita for India is around ~$2000. India does not have much of a market for +$500 phones nor does it have a contract system where the +$500 can be paid over time. So I don't see it help Apple much in gaining market share. At the current Apple prices I have seen multiple long time Apple users leave Apple. Unless Apple is willing to cut its margins dramatically I don't see them getting much of a foot hold in In…
Man, finally this came along. Apple had been negotiating for almost 3 years to setup manufacturing in India. Foxconn got a start in the outskirts of Bangalore where they manufacture iPhone SEs. I as a customer am super glad this is coming along. Tired of paying a premium for Apple products in India. In addition to iPhones I seriously hope they start iPad manufacturing as well. IMHO iPads will probably have a better s…
What makes you think you will not pay a premium for iPhones in India in the future? Apple prices based on demand curves, not supply costs.
India should demand that the Chinese firm share their manufacturing techniques.
Earlier quoted context omitted.
It’s not “just” that, it’s actially the desired result of the protectionist policy, which appears to have been effective.
Why don't other large, developing countries adopt similar policies? What are the downsides?
The goal is usually to encourage local firms to grow and compete, and sometimes that happens (e.g. Hyundai). But sometimes the local firms become complacent in their walled garden (e.g. Hindustan Motors).
Earlier quoted context omitted.
It’s not “just” that, it’s actially the desired result of the protectionist policy, which appears to have been effective.
Why don't other large, developing countries adopt similar policies? What are the downsides?
Earlier quoted context omitted.
It’s not “just” that, it’s actially the desired result of the protectionist policy, which appears to have been effective.
Why don't other large, developing countries adopt similar policies? What are the downsides?
I agree with an above poster, this seems to me like a political or legal concession just for Apple to be able to sell in India more easily (or maybe at all?). The infrastructure and political circumstances in India are just laughable. Read all the articles about the manufacturing ecosystem around Apple factories in China, the special bonded customs zones the regional governments set up, the incentives, and workers th…
What? Where are you reading this? And why would you even believe it so readily? One quick Google search has the entire page full of news articles complaining of poor working conditions. Moreover, I highly doubt that the regional governments in China would aid in bettering the working conditions at manufacturing plants of an outside company, when they can't help their own workers out of the "996" work schedule [0].
[0] https://996.icu
Earlier quoted context omitted.
It's a logistics/risk balancing/new demand move. 1. Logistics: Cheaper to ship to rich Middle east and maybe even Europe 2. Risk balancing: With uncertainty at political levels about tariffs and trade rules, it makes sense to distribute production to multiple places in the world. 3. New demand: Lower cost of production == lower prices in India. Apple has negligible penetration in the largest fastest growing market. T…
I think Apple is pretty late at this point. Xiaomi and Oppo have figured out the distribution, localization, and a sizeable user base already there, and a decent smart phone now costs $150-200. They are quite good phones and from what I understand, price is the biggest driver for sales.
I agree with an above poster, this seems to me like a political or legal concession just for Apple to be able to sell in India more easily (or maybe at all?). The infrastructure and political circumstances in India are just laughable. Read all the articles about the manufacturing ecosystem around Apple factories in China, the special bonded customs zones the regional governments set up, the incentives, and workers th…
Yes it is. And it has paid off well for India and it's people.
> India by comparison is a disaster. You don't even know which official to bribe to get the power to stay on properly. Almost more trouble than it's worth to enter that market.
There are hundreds of thousands of factories already set up in India. India has almost all the major car companies manufacturing here, there is Samsung with its biggest phone manufacturing plant in the world, I think almost all of Xiaomi's phone sold in India are made in India. With a market as big as India's, a company as big as Apple can surely figure out how to navigate through the process.