Subject category:
Strategy and General Management
Published by:
Amity Research Centers
Length: 12 pages
Data source: Published sources
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Abstract
Apple Inc's contract partner Foxconn Technology Group (Foxconn), during the beginning of 2023, had decided to diversify. Declaring investments estimated to be of USD700 million during the initial phase in India, the Taiwanese brand looked forward to ramping up the local production. The strategic move to fructify investments, was thought to be in consequence to an accelerated shift from China's market post the COVID-19 pandemic. Nevertheless, industry experts identified that, the investments planned primarily focussing on South India were considered to be biggest single outlay to promote India as the next destination for semiconductor manufacture. Subsequently, in May 2023, Foxconn announced a USD500 million investment in the state of Telangana. Earlier in 2022, Foxconn had entered into a strategic alliance with Indian conglomerate Vedanta, in Gujarat to manufacture semiconductor fabs. Moving forward, however, Foxconn's rift with Vedanta attracted attention of critics as industry insiders expressed concern on future investment options of Foxconn within the Indian market. Moreover, the Taiwanese brand was scouting for optimal business partners in tune with the Government of India's 'Make in India' aspirations. However, with falling orders from Apple amidst rising competition, would the Taiwanese brand be able to sustain in India?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Time period
The events covered by this case took place in 2023.Geographical setting
Region:
Asia
Country:
India
Featured company
Foxconn Technology Group
Employees:
10000+
Type:
Public company
Industry:
Electronics
About
Abstract
Apple Inc's contract partner Foxconn Technology Group (Foxconn), during the beginning of 2023, had decided to diversify. Declaring investments estimated to be of USD700 million during the initial phase in India, the Taiwanese brand looked forward to ramping up the local production. The strategic move to fructify investments, was thought to be in consequence to an accelerated shift from China's market post the COVID-19 pandemic. Nevertheless, industry experts identified that, the investments planned primarily focussing on South India were considered to be biggest single outlay to promote India as the next destination for semiconductor manufacture. Subsequently, in May 2023, Foxconn announced a USD500 million investment in the state of Telangana. Earlier in 2022, Foxconn had entered into a strategic alliance with Indian conglomerate Vedanta, in Gujarat to manufacture semiconductor fabs. Moving forward, however, Foxconn's rift with Vedanta attracted attention of critics as industry insiders expressed concern on future investment options of Foxconn within the Indian market. Moreover, the Taiwanese brand was scouting for optimal business partners in tune with the Government of India's 'Make in India' aspirations. However, with falling orders from Apple amidst rising competition, would the Taiwanese brand be able to sustain in India?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Settings
Time period
The events covered by this case took place in 2023.Geographical setting
Region:
Asia
Country:
India
Featured company
Foxconn Technology Group
Employees:
10000+
Type:
Public company
Industry:
Electronics