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Global brands confident about Indian consumers' loyalty

Global smartphone, FMCG, electronics and apparel companies are confident that their customers in India will stay loyal to them even after Prime Minister Narendra Modi’s call to support local businesses.

Global brands dominate the Indian market in most categories and there are few local alternatives, companies say. Modi, in his recent address to the nation asked Indians to be vocal about local brands and buy local products, pushing for vision of a self-reliant India. Global brands account for over 90 per cent of Indian market in the smartphone and television categories and over 80 per cent in refrigerators and washing machines. They have a 50-65 per cent share in toothpastes, skin creams, soaps, shampoos and laundry.

Executives of global companies interpreted the Prime Minister’s speech as an endorsement of making in India. Many of these companies have already set up manufacturing units in India and procure raw material locally. Their mobile phones, television sets, toothpastes and soaps, and apparel will retain the global brand ethos in consumer campaigns and communication.

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