LED people see that the Chinese people in India fully understand the India trade

There is a significant difference between China and India - China is a world factory, famous for its manufacturing industry; India is the world office, starting from the service information industry and taking the virtual economic route. The economic and social situation in India is the coexistence of the stone age and the software era, and the overall economic level is still in the low end, which is probably behind China for 15 years. So what China needs 15 years ago and the India market needs now. At present, India is urgently needed - clothing, food, housing and travel, and the related industries, including infrastructure, are at the time of development in India. The middle class of the business will be the backbone of the development of India. Since the reform of India in 1990, the first class of middle class has begun to emerge. In the next ten years, the middle class population in India will reach 110 million. The typical features of this group are: opening TOYOTA Carola, using a NOKIA mobile, a wife, two children, and most importantly, an apartment near the urban area outside the suburbs. The middle class has enough money, and the first thing to do is to change the house. So India is now in the housing adjustment period. India capital New Delhi daily traffic jam, not because of many cars, but because of the house in all places, so the current home building materials, hardware industry in India is very flourishing, contains numerous business opportunities. In addition, in the consumer electronics industry, India has become the main battlefield of manufacturing in Shenzhen. Its consumption level, market characteristics and consumption habits provide opportunities for mobile phone enterprises and traders. The increase in the middle class has also brought about new habits. Most of the middle class couples in India are both husband and wife, and they do not have time to cook at noon, so the microwave industry has also developed rapidly. One of the features of India food is that it can be eaten by heating. So middle class lunch must be microwave oven. The microwave oven will slowly replace a meal, and the demand is considerable. India customers are also in transition, gradually from the purchase of finished products to semi-finished purchase. In order to encourage production and processing industry in India, since May 1, 2006, in addition to the products excluded by the General Administration of foreign trade of India in the form of bulletin board, India has given import duty exemption to imported raw materials (allowing reasonable loss) and fuel, energy, catalyst and so on for the production of exports, while the customs duty of the finished product is 25%. . In response to this situation, the Chinese enterprises that do electronic products can separate the shell of the product from the core components. This way of selling will be more consistent with India's purchasing demand than the direct export products. The expansion trade survey shows that Chinese suppliers do not like to do business with Indians, and the biggest reason is that Indians give too low prices. This is because the nature of India's trade is agent trade, and at least three agents have been passed when the goods arrive in the hands of real buyers. In India, it is inconvenient to exploit the India market by one's own power. Levi's began to make money for 13 years in India, and HUAWEI entered the India market for 3 years. Foreign companies have a direct exposure to India retailers by almost 0, and 90% to agents. So doing business with the Indians must make the agent profitable. To do business in India, it is necessary to rely on local agents, which is essentially due to the local tax system in India. First, the import of India must pay federal tax, which is not so clear as the Indians themselves, so they will try to avoid tax. For example, to do business with an Indian, even if the freight is paid, he will ask for a freight prepayment, and a half of the invoice, which is to avoid tax. In addition, the Indians have to pay the central value-added tax. The common situation in business with Indians is that half of the business is done, and the India buyer is missing. The story behind it is that the next family in India is not willing to carry the value-added tax for the family, so the surrogate will not deliver the goods. The essence of this is that it does not complete the transfer of VAT. In addition, India also has service tax and education tax and so on. The above is only the tax and fee paid by foreign imports to India. After entering the country of India, the transactions between the States and the economic zones still need to be charged with VAT and sales tax, which must depend on the cascade agency system and rely on the local sales channels. Local state taxes include: central sales tax (sales tax between states in the state), state VAT (in state sales), stamp duty (sales of goods or services), goods into state tax (goods entering the state of the state to pay taxes) and so on. The tax is too high, so it is necessary to rely on the entity companies from all over the country to avoid tax. In India, big trade people are making large warehouses, and India's warehouse industry is also well developed. There are two shortcuts to the trade in India: associations and exhibitions. There are associations in any of the industries in India, and the large purchasers in India are generally members of the industry association. The India Industry Association is the 1.5 official institution with great power, and the India Federation of industry and commerce can even freely adjudication. The annual meetings of these industry associations are also very important to businessmen in India. If they want to do business with them, it is best to attend a annual meeting like this. All the business of India comes from human feelings and trust, so it is important to get to know them and communicate with them personally. India is divided into four economic zones, which are Mumbai, Madras (Chennai), Delhi and Calcutta. The economy is highly concentrated in these four areas. So the exhibition industry in India is highly developed, and the common people are just like visiting the temple fair. Participating in the exhibition is the most convenient way to get the agent of India. At the exhibition, one is to show the product and the other is to establish a connection. On the website of the India Trade Promotion Bureau, we can see the introduction and participation methods of all the India exhibitions. The agency system India agency system has been in existence for 300 years, and it is necessary to determine the ability of the agent. To investigate whether the India company is credible, it is necessary to inspect his agent personally. If it is only a product agent, it is not feasible to see the marketing budget (subsidy or advance) that it faces, and the way of marketing (exhibition or other), simple "factory delivery, agent selling". How to judge whether the India merchants have the ability to act as general agents? The two level sales channel of the enterprise. India is divided into four economic zones in Mumbai, Madras (Chennai), Delhi and Calcutta, and the general agent enterprises do not have the ability to cover the four economic zones in the whole of India. The agent marketing method of the enterprise: how the enterprise subsidize or marketing the two - level sales channel; the credit sale cycle is 30 days and 45 days. If the operating time of an enterprise is less than 5 years, it is basically not able to do the national general generation. In India, representative is the most unreliable, cousin cousin can be called representative, judging whether it is based on a financial account; associate is also very unreliable, it refers to a company that is affiliated; the standard of office is an independent account; branch office has independent financial personnel, It is the most reliable for India to ask for a financial difficulty and make him more difficult. If there is a company that says, want to be your general generation, ask him a number of two - level agents, and ask how many marketing budgets he has, and ask how to give him a helper, India's helper is generally 3%. If all of the above three items can be answered in detail, then the company has a certain strength. Can agents cover the whole country? India has a vast territory and a strong regional concept. The sales of products need to be distributed through multi-layer distribution channels, especially the "Mom and Dad" store. From wholesalers to retailers, each level is about 10%-15% profit, 4% of retail sales in developed cities, and the rest of the retail stores. Suggestions: do not believe their words, to see its downstream agent network. State engineering has agency, low price winning bid, follow up is a common model. Because of the serious Indian bureaucracy, inefficiency, bribery and bribery, foreign companies are very annoying with local officials, only looking for an ideal local partner to work together with the India enterprises or companies that know the local operation, the law and the people. It is relatively easy to enter the India market. To find the "right person" India religion caste system in India commercial germination stage greatly restricted the direction of its development, basically the high caste can get more resources, low caste only as the existence of labor is a social reality. The land private ownership of a large agricultural country does not greatly emancipate the productive forces and improve the production efficiency, and the whole India society relies on the village head as a unit of responsibility system rigidly. The religious groups and parties belonging to the village head have decided their economic status and development direction. Garcia, a Columbia writer? Marcks's "one hundred years of loneliness" was staged in India, in every village I walked through, and even I began to doubt that, how does this land change, or do not need to change itself? In the business field, the India elite we have come into touch rarely have their own self-made, basically inheriting the father shade. The role of the family in this commercial society in India is quite similar to the "warm business" in the country. Various associations and chambers of commerce also have the shadow of the "tide merchant", which pays great attention to "unity" and "internal digestion". Therefore, in the process of dealing with the businessmen of India, be ready to be prepared: it takes a long time to become a new supplier, because the largest family decision maker is often the oldest person, and the old man makes decisions many times not a price but a sense of "your home." The quickest shortcut to enter the India family business circle is to join their chamber of Commerce and guilds. These family businesses will look at you in every way, and ask the nephew's opinion, the elder brother's third aunt, how to see you, and finally begin to try it slowly. In the face of a family business, "time is money, efficiency is life" industrial attitude most of the time do not work, unless your products are unbeatable, or it is still necessary to spend more time to understand the family, that person. For example, the field of agriculture in India is a highly monopolized family industry. They are highly unified and priced at a high level. Therefore, foreign suppliers want to enter the industry, and they are rarely successful. I have a domestic friend, his method is worthy of our reference, that is, "only one, the best old three, emotional investment, slowly infiltration." "Do only one family." The promise of "only one family" is good faith for the family business in India. After 100 years of change, what kind of wind and wave have never been seen, the best thing to see is to make a big division and lose fame. The family business in India is the biggest local company, the bargaining power is too strong, the trading conditions are very harsh to the newcomers. You may face not necessarily profit, and the company does not always support you, many people out of the way to death. But looking for the old two and the old three