Blog: Dean BestIs investing in India all it's cracked up to be?

Dean Best | 21 November 2007

India remains a long-term prize in the ambitions of many food and retail multinationals.

This week, retail giants Carrefour and Metro have both spoken of their plans to expand in the country.

In recent months, the likes of Cadbury, Ferrero and Nestlé have unveiled plans to expand either their brand portfolios or manufacturing footprints in India.

The prize is India’s burgeoning middle classes, growing by the year and with rising disposable incomes to spend on Western-style goods in Western-style stores.

However, for all the optimism, foreign firms would be wrong to ignore the perils of operating in India. Overseas retailers are facing fierce opposition to their expansion. Sections of India are even against the growth of domestic retailers – just ask Reliance Retail.

And don’t be too pleased when you secure that (hopefully) lucrative contract with a local partner. Investing in emerging markets like India and China is fraught with unknown problems and what can at first seem a fruitful partnership can turn sour. Just ask Danone.


BLOG

Hain Celestial's Orchard House deal waved through

The UK's competition regulator has given the all-clear to Hain Celestial's bid to buy UK food and beverage group Orchard House Foods, nine months after the US group announced the deal....

BLOG

Hershey's unusual move to share sales data

Hershey made an unusual announcement today (20 September), sharing its own sales data for the last four weeks to assuage any possible investor concern over figures released by Nielsen....

BLOG

Are EU nations using Brexit to revisit country of origin labeling?

As the UK starts to ponder what kind of a relationship it wants with the European Union post-Brexit, EU leaders have been lining up to warn that Britain will not be allowed to "cherry pick" deals and ...

BLOG

UK food prices buck Brexit inflation fears

Low food prices continue to hold back inflation rates in the UK as the supermarket price war continues in the face of rising import costs. ...

just-food homepage



Forgot your password?