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  • Writer's pictureShiva Prakash M C

Can Indian companies make a comeback to the market?

Since last 4 to 5 years, the usage of Chinese products and applications in India has grown to a larger extent and majority of Chinese products are from technology field. Mobile phones such as OPPO, VIVO, XIAOMI and ONE PLUS are some of the Chinese brands which are popular in India at present. According to survey, Chinese brands accounts for more than 75% of Indian smartphone market,while the share of local brands such as Micromax and Lava were of just 1 percent.

As a result, Indian brands such as MICROMAX, INTEX, LAVA and KARBONN lost their popularity in the market due to an enormous usage of Chinese brands. But, due to an ongoing dispute between India and China at the border has once again raised the demand for boycotting of Chinese products in India. People have entered the streets for protests and demanded for boycotting of Chinese products and applications. So, this can be the right opportunity for many Indian brands to make a comeback to the market and that can be achieved easily if the people start following “Vocal for local” as suggested by our Prime Minister Narendra Modi.

Many of the companies have started badging their brand proudly as “Made in India” and micromax was one among them. It was one of the successful brands in India and were popular for its unique features and low cost prices. But since last few years, due to an immense competition from the Chinese brands some of the local brands were virtually non-existent in the market. Now, Indian companies like micromax and lava has made a bold move by eyeing on a comeback to the market through the smartphone segment and promised to provide the best standards with premium features, modern looks and budget friendly prices.

The Indian government has recently announced the production linked incentive (PLI) scheme under which, the government will choose five Indian companies and help them to establish their large scale mobile manufacturing by providing them an incentives of 4 to 6 percent over a period of 5 years for manufacturing in India and has allocated ₹40,000 crore under the PLI scheme. Along with this, the government has decided to invite 5 global phone companies to take an advantage of the scheme as many of the Chinese and other global companies have started assembling their brands in India through the manufacturing partners. So, this scheme can be an added advantage to many of the Indian companies to make a comeback to the market.

Hence, in order to take on the Chinese companies, Indian companies should have to look beyond the entry level segment and bring out the smartphones in sub-$200 segment. Even an International Data Corporation (IDC) market shows that, an average selling price of smartphones in India is $171, with the sub-$200 segment accounting for an overall of 76.2% shipments and the mid-range phones with sub-$200 to $300 accounted for an overall of 18.2% smartphone market.

However, the Indian companies has decided to take on the Chinese products and planning to make India proud by making them as a No.1 country in mobile manufacturing and design and also by winning globally on the strength of an Indian ecosystem.

Please share your reviews regarding what are the features and advancements that need to be carried out by an Indian companies in order to take on the Chinese companies and make India as the leading country in manufacturing and design of various technologies.

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