In recent years, India has shown rapid growth in economic terms. According to the calculations of the International Monetary Fund, India ranks 3rd in terms of GDP in terms of purchasing power parity, ahead of such major market players as Japan, Germany and Russia. Significant improvements in the terms of trade and the growth of purchasing power contribute to the development of the country and increase the attractiveness of the country for international trading partners.
In this article, we will discuss what manufacturers, distributors and importers should consider when negotiating with potential Indian partners.
What to consider in negotiations with the Indians?
Indians do not say “no”, so if you were told that they would answer tomorrow, it means that with a high degree of probability they will never answer you. To hear more “yes” and achieve results, be persistent and carefully prepare for negotiations.
If they agreed to meet with you, it means that they are interested in your product, and you need to prepare for several rounds of negotiations. The first round usually ends with a request to bring in a product sample or make a test shipment.
Consider in advance how you will respond to a proposal to move production to India, open a company here, or hire local workers. Remember that India works for itself.
And let us remind you once again: Indians look with their hands. Be sure to bring samples or photos of products with you, one story is not enough. To make sure that the counterparty will like you, tell him with real examples how he can earn or save money on your product.
Indians can ask personal questions. If you are asked how you like Indian food or even how many children you have, this is a good sign. Remember to show the same interest in your potential partner.
At the end of the negotiations, give a souvenir as a keepsake (but not an edible one!). Indians will love something practical that can be used in everyday life or something beautiful that can be put on a shelf for everyone to see.
After negotiations, write a letter of gratitude (to make a nice gesture) and be sure to fix the agreements (so that there is something to refer to in other rounds).
Indians are easy on time: they can be late, cancel a meeting 5 minutes in advance, or simply not show up. Be prepared for this and be understanding.
Finishing the article on the peculiarities of doing business with partners from India, it should be said that this country provides a unique opportunity to enter one of the most promising markets in the world. And you can always apply for Indian certification of your products at WWBridge. We are ready to provide you with a free consulting service, just write to us at [email protected].
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Certification in India