Indian Smartphone companies are nowhere to be found these days, Due to immense competition from Chinese smartphone makers, companies like Micromax, Karbonn, Lava were very much popular which are now non-existent. Let us find out why…
Indian Smartphone companies didn’t have any new things like Chinese smartphones provide. Also, they don’t make any holes in your wallets. Which is quite impressive up to date.
Micromax re-branded Chinese smartphones as Micromax (Indian Brand) and became a huge hit. But like I said “Nothing new”, no innovation, just business. Repackaging and selling them as Indian Brands (Bizness).
Just like them Karbonn, Lava, Intex, Lyf were all Indian smartphone brands were thrown out of business once the Chinese brands introduced their smartphones into the Indian market.
And yes your Jio smartphone was also made in China giving the tag of Indian made phones.
So they don’t have to pay heavy import charges!! for reference. Until now they moved their manufacturing unit to Chennai (reference).
Funny right?! how these big brands make fool out of us hiding truths and do business.
Focusing only on Profits
Most of the Indian smartphone companies only focus on profits. They wanted to make quick money in this field where the quality and creativeness were completely missing.
They used to take money from one hand and not providing the required demand by others. This completely destroyed the supply-demand chain.
The profit margin was about 20- 30%. While the Chinese brands still work in a 5-10% profit margin but they also compromise in other stuff we’ll add that in later posts.
Low Quality Product
The Fact is obvious if the Chinese products don’t last that long “China ka Maal” they say, then how would the Re-branded Chinese item last. I personally had a Karbonn Smartphone (Indian Smartphone) back in 2014.
The UI was so pathetic and it had a ghost touch issue. I bought it for 12k and it was my worst smartphone ever. Where in Chinese smartphone brands like Xiaomi, Oppo, Vivo, One plus, did much better.
Make In India
The Make in India initiative launched on 25th September 2014, to make a more comfortable investment, encourage innovation, increase skill development, protect intellectual property, and build the best in class manufacturing infrastructure in the country.
Sadly this initiative increased china’s imports. They are making Indian smartphones run out of business.
Letting China to pay less taxes on imports and transportation.
Manufacturing plants in India
The Manufacturing plants of Indian Smartphone companies were less as compared to China. Micromax has a manufacturing plant in Noida, and Lava had in New Delhi.
Three years ago, India was in 4th place for Manufacturing companies until now India is the second-largest manufacturing country in the world after China.
But still, China is the most preferred country for mobile manufacturing for companies. Due to the abundant raw material supply at a low price. Which eventually decreases the transportation cost.
Arrival of 4G Technology
All Indian Smartphone companies were not ready for the 4g technology in India. In contrast, the release of Jio 4g in India with their free 1-year internet services led the 4g revolution in India.
It was a great advantage for China brands as they were already ahead of this technology, which allowed China to take over all the markets by China brands.
As the ongoing events on Anti-China thing and Govt of India Banning 59 Chinese apps, this is the right moment for all the Indian Smartphone companies to take over the world’s largest Indian again and correct all the mistakes they did in past years.
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