Indian government has approved the request of Chinese smartphone maker Oppo’s to open it’s own single brand retail stores in the country, by giving the direct access to the Chinese firm to sell it’s smartphone directly to the consumers and add to its existing wholesale business.
The move will give the Chinese smartphone maker to expand its reach in the world third largest smartphones market, where global technology giants such as Apple Inc have been trying to gain a foothold.
On Tuesday, The Foreign Investment Promotion Board has announced the approval of Oppo Mobile India Pvt Ltd’s.
The other FDI proposals approved by the government include Chumbak Design ($8.62 million), Daniel Wellington AB ($10 million) and Actoserba Active Wholesale Pvt. Ltd. and Louis Vuitton’s application was made for single brand retail trading (SBRT) of Zivame brand in addition to existing business of wholesale.
India allows foreign firms to sell directly to consumers through the so-called ‘single-brand retail’ route, but companies need to source 30% of the products locally.
India moved to partially relax those conditions in 2016, exempting foreign retailers for three years from the 30% local sourcing rule in a bid to attract more investment.