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Industry News

India opens door to global retailers

Global single-brand retailers may now open stores in India without the government’s permission, officials announced Wednesday, making it much easier for the likes of Apple and Gap to gain access to the country’s 1.2 billion people, CNN Money reports.

Until now, these retailers have needed permission to own more than 49 percent of any retail operation in India, obliging them to enter into partnership with Indian companies or to depend on local franchisees.

"Allowing foreign brands to directly invest in retailing in India will improve customers' shopping experience and push Indian retailing companies to upgrade their services and offerings," Ahmed Timoumi, a professor of marketing at the Indian School of Business, told CNN Money. "This can also be an opportunity for Indian manufacturers, since these retail brands might consider outsourcing manufacturing to local players."

By Edmund Mander

Director, Editor-In-Chief/SCT

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