I am creating a Powerpoint Presentation on why outsourcing Microsoft mobile phones to India is a good idea. I need as much information as possible to complete this assignment.
Expert Answer
The primary reason why setting up manufacturing outsourced manufacturing centers in India for Microsoft mobile phones is a good idea is that although Windows mobile phone market share in India is about 1-2 % higher than other markets, the potential of growth is huge. This is because India is a market where Microsoft Windows phone is a considerable challenger to Android, and the budget Lumia phones have sold very well. So Microsoft is near to closing a deal with Taiwanese contract manufacturer Foxconn to manufacture mobile phones in India.
According to this outsourcing deal, Foxconn will produce two variants of Microsoft Lumia phones, primarily for domestic consumption as an alternative to importing mobile phones into India. As part of the outsourcing deal, Foxconn will invest $2 billion in India to set up 10- 12 factories. Microsoft’s this move of outsourcing manufacturing of Lumia mobile phones to India will give a big boost to selling its windows phones in India.