India has been one of those markets that some companies have had a difficult time making progress in. A number of companies outside of the country have tried to make a profit from the massive Indian economy and many of them have failed. Then we have others, such as Xiaomi, who has shown to have massive success within the country thanks to their business strategy. Now, it is being reported that two of the biggest Chinese smartphone manufacturers are planning for a big push within the Indian retail space.
Over the last 10 years, we’ve seen Android companies go from the top of the mountain to having to sell off most of their business to competitors. It’s only become more and more competitive over the years and China has seen a lot of success from companies including Vivo, Xiaomi, Huawei, and others. Huawei and Xiaomi themselves have shown to have made huge gains in worldwide smartphone shipments over the last year and these are two companies who are currently looking to expand even further into India.
Xiaomi by themselves were able to leverage the Xiaomi Redmi 5, Xiaomi Redmi 5A, Xiaomi Redmi Note 5, and the Xiaomi Redmi Note 5 Pro to increase their YoY shipments in India by 107.6% from Q2 2017 to Q2 2018. The competition in India doesn’t seem to be dying down anytime soon either. It’s being reported that Xiaomi has plans to set up thousands of Mi Stores in rural locations which are said to generate over 5,000 jobs in those areas. A Xiaomi spokesperson has said the company’s goal is to have 500 Mi Stores in place by the end of 2018 and hopes to increase that to a few thousand by the end of next year.
This is sure to help maintain their dominance in the country but Huawei isn’t sitting back just to watch the show here either. Huawei is the world’s second largest smartphone maker after Samsung and they know exactly how important India is to maintain their growth. It has been confirmed that they will be focusing on the larger cities and currently has plans to open up 100 large franchise-owned exclusive stores so they can sell its Honor smartphones.
Source: The Economic Times