Dell Evaluates Expanding Manufacturing Operations in India

Texas-based Dell Inc., launched its first manufacturing facility in India’s southern state of Tamil Nadu  ten years ago, manufacturing desktops and servers, and the company is now considering a wider range of products, a senior executive said.
Chief financial officer Thomas Sweet said, “We do have a manufacturing facility here in India. We are looking at expansion plans for that facility. But we have got to make sure that the cost environment is competitive with the global environment that we play in. So, that is an area that we are continuing to evaluate, but the market size is such that we will continue to focus on how to build products for the local market.”

The move to expand will depend on how Dell plans to balance the products it imports into India. The government has made manufacturing in the country, and, in particular, lowering imports of electronics, a key part of its economic agenda.

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Posted on by Gunjan Bagla
Gunjan Bagla
California-based management consultant Gunjan Bagla runs Amritt, a consulting firm helping American companies to succeed in India. Amritt is the trusted advisor for India market research, India business development, India market entry, Global Engineering, Global Technology Scouting, India R&D and Open Innovation. Gunjan is author of "Business in 21st Century India: How to Profit Today from Tomorrow’s Most Exciting Market" (Hachette Book Group, 2008), Amazon's top rated title on the subject. He has appeared as the India Expert on BBC Television, Bloomberg TV, Fox Cable Business and has been quoted in the New York Times, the Los Angeles Times, the Hollywood Reporter and Business Week for his expertise on India.

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