It is called business competition!
The advantage I see is the English and the population size.
English is widely spoken in India.
The huge population side could offer lower cost
but the government, education, base infrastructure are still behind..
This is just another evidence that Xiaomi is a shame for China!
Xiaomi 's strategy/ Business Model in essence:
Ultra low price with high spec components = the darling of consumers
It is not wrong though. What is wrong, wrong and wrong is that Xiaomi doesn't achieve low price by drastically increase of technology and productivity, but by just cut the already razar-thin producer profit margin even thinner., because Xiaomi doesn't produce high tech patents, unlike Huawei.
This shameful business model is suicidal for local Chinese producers in the long run, forcing them having to work much harder, paying Chinese labours less, in order to satisfy overseas consumers who don't deserve the extra bloody efforts of Chinese hard-working labours at such ridiculously low prices that Xiaomi is marketing, while Ximomi's founder becoming a billionaire in the process.
There is no free lunch in this world, without extra input of higher productivity made possible by new patents and new high tech!
The pie is the same size under Xiaomi's biz model:
World consumers gain and happy.
Xiaomi's founders gain and happy.
High end components suppliers such as Japan and Taiwan's firms gain and happy.
who loss?
Chinese local assembly workers and the welfare of Chinese local suppliers.
In a sense, Xiaomi is siphoning the blood of local low end Chinese workers, in order to satisfy world consumers (with ultra low price), Japanese and Taiwanese high end component suppliers, and personal wealth of Xiaomi executives such as its CEO and Hugo Barra alike.
Xiaomi, hang your urgly and selfish head in shame! Utterly dispicble behaviour! This kind of behaviours would be easily called as high treason in another time.
Fcuk you, Xiaomi!
The advantage I see is the English and the population size.
English is widely spoken in India.
The huge population side could offer lower cost
but the government, education, base infrastructure are still behind..
Looks like ASEAN is going to pick up most of the manufacturing that leaves China. India has to be really attractive in something outside cheap labor.