South Asian Business news and information

Dell has not yet confirmed where its manufacturing plant will be located. It has not confirmed yet that how much money it is going invest after the Indian plant. However, Paul-Henri Ferrand, Dell's vice president and general manager for South Asia has confirmed that production in the Indian plant will start by the end of 2006. A few days ago, I wrote that Indian PC market grew nearly 30% last year and more than 4.6 million personal computers were sold. Dell had a disappointing 5% market share in and that is why perhaps Dell bosses are in such a hurry to start production in .

The Indian plant will give Dell an edge over its rivals in the Indian market- there is no doubt about it. Dell will be able to get some tax relief and will be able to cut down production cost substantially. On the other hand, Dell will be able to cover the South Asian market more effectively.

Although Dell has small market share in , its revenue from the Indian market is increasing significantly. For example, Dell's first-quarter revenue of this year from has increased nearly 40% compared to the same time of last year. After Dell starts productions in its Indian plant this figure will increase surely.

I think that other major PC companies will now be interested to set up manufacturing plants in .

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