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Outsourcing Product Design for India Entry - A Strategic Approach
It was a Friday evening when Roger Little, an engineering division‟s head for a mid-sized enterprise, was about to leave for the day. It had been a particularly hectic week and Roger was looking forward to the welcome weekend break to be with his family. Just then, he caught sight of the sales manager Carl Mayes, rushing towards him almost as if he held a billion dollar business deal on the point of closure.
Roger, I simply must speak to you at once!”
“Carl,” protested Roger, “it‟s Friday evening and I‟m on the point of leaving for the day! I‟ve haven‟t exactly had a particularly relaxing week as you very well know. Can‟t it wait till Monday?”
As Carl‟s face fell, Roger smiled and found himself softening involuntarily. “Okay, what‟s it about?”
“You remember our discussion about entering an emerging market like India?”
“What about it?”
With renewed enthusiasm now that he had his engineering head‟s full attention, Carl explained how he had through his extensive research, identified sizeable business opportunities in India. These opportunities needed discussions of their feasibility and the support required from Roger to pursue them.
Roger knew he was already running his engineering team on full capacity, on a constrained budget which was becoming increasingly difficult to handle. He found himself thinking – why not give Carl‟s strategy more serious thought?
However, at the same time, he also asked himself – would this really pay dividends? How on earth would he address and overcome the practical difficulties.
Without directly voicing his thoughts, Roger instead asked Carl the details of the challenges and risks associated with venturing into a strategy like this.
With a sound grasp on the facts and fundamentals, Carl explained to Roger the resounding success of many foreign companies that had entered the Indian market and how they had achieved success by introducing, sustaining and selling their products in the sub-continent.