Apple is focusing on expanding its presence in India, which it considers to be an important market for growth. The company is implementing several measures, such as opening its first retail store in Mumbai followed by Delhi and increasing its manufacturing operations in India, to achieve this goal. Apple is aiming to tap into the growing middle class and smartphone market in India and reduce its dependence on China's supply chain. This move signals a strategic shift for Apple towards India, which is now a key market for the company's expansion and diversification plans.
India's substantial population and well-developed economy make it an attractive market for Apple's retail and marketing efforts, as well as a potential site for manufacturing millions of devices. Apple can benefit from India's existing market and sizable consumer base, and the Indian government is eager to facilitate local production through collaborations with Apple. Reports indicate that Apple is considering expanding its presence in India and setting up manufacturing operations, highlighting the country's importance in Apple's growth plans.
Apple aims to expand its market share in India, where its smartphone market share is less than 5% compared to about 18% in China. To achieve this, Apple is targeting "switchers" - people who previously owned Android phones but are now considering buying their first iPhone. The company is also exploring various ways to make iPhones more affordable, such as offering financing or trade-in discounts. Additionally, opening physical and online Apple Stores in India is expected to increase sales. Apple is reportedly evaluating opportunities to set up manufacturing operations in India, with the government also keen to facilitate local manufacturing. Overall, Apple considers India to be an important market for growth, given its large population, mature economy, and growing middle class and smartphone market.
Apple is also said to be exploring the possibility of introducing a low-cost iPhone model tailored specifically to the Indian market, which could help it increase its market share in the rapidly growing smartphone market. Furthermore, Apple has announced a $1 billion investment in a new campus in Hyderabad that will house over 4,500 employees focused on various projects, such as Maps development and engineering support. Lastly, the company is working on improving its supply chain in India by enhancing the capabilities of local suppliers to meet its quality standards and improving the infrastructure.
Manufacturing in India is also a priority for Apple, as it looks to diversify its supply chain and reduce reliance on China. The Indian government is keen to work with Apple to facilitate local manufacturing, which is in line with Apple's plans to diversify its supply chain away from China. However, some analysts caution that India may take some time to become a major market for Apple, despite the potential opportunities it presents.
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