Indian government ready to push through approval of local Apple Stores - report

Posted:
in General Discussion edited February 2016
The Indian government is said to be preparing to fast-track approval of the country's first Apple Stores, detouring normal rules about foreign ownership.




Because Apple is "a provider of cutting-edge technology," the company will likely be allowed to bypass regulations which demand that foreign firms selling a single brand -- versus general-purpose retailers which sell numerous brands under the same roof -- acquire 30 percent of their products' components from Indian suppliers, a source informed Bloomberg. As a formality, Apple is said to have had to resubmit its approval request due to a format problem with the initial submission.

Despite recent and generally successful pushes into the Indian smartphone market, Apple still controls just a 2 percent share, well under leaders Samsung (26 percent) and Micromax (16 percent), or even Lenovo (9 percent). Although this is partly because the high cost of a new iPhone -- beyond the reach of most Indians -- Apple has also struggled to build a reseller network that can compete with rivals.

Official Apple Stores could help boost sales, although the company will likely have to continue a policy of offering steep discounts on older phones to grow marketshare.

Apple's performance in India has lagged well behind the similarly large -- but far more economically advanced -- Chinese market, where the company is well on its way toward a goal of 40 stores by mid-2016. Last month, CEO Tim Cook said he's hopeful the Indian business environment will improve, and that he's aiming to increase investment in the country.

Comments

  • Reply 1 of 5
    This is good news, especially in light of another news report today listing India as having one of the fastest growing economies (approx. 7% growth).
    calilatifbp
  • Reply 2 of 5
    "Please resubmit your application and include an additional 50 million rupees to facilitate a smoother path."
    latifbp
  • Reply 3 of 5
    calicali Posts: 3,495member
    "Because Apple is "a provider of cutting-edge technology,""

    Sad that the Indian government realizes this more than their home country.
    latifbp
  • Reply 4 of 5
    Holy crap! Do you mean to tell me that Tim Cook, the destroyer CEO of Apple's stock value, IS actually doing his job by trying to get Apple stores into India so Apple can provide a real Apple experience to customers who want to Apple hardware and software services instead of wasting valuable time fighting Wall Street analysts who tirelessly diss Apple due to their supply chain checks? Say it ain't so!! /s
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