India's demographic dividend is an important driving force for the initial investment of foreign companies such as vivo. With the improvement of Internet penetration, smartphones have become important tools for young people's lives and work.Chance.Agra Wealth Management
In order to attract foreign investment, the Indian government has launched a series of incentive policies. The most important of which is the "Indian Manufacturing" plan. Vivo makes full use of this policy to establish a production base in India, which not only reduces production and transportation costs, but also avoids it.High import tariffs.
Vivo's decision to set up a production base in India has greatly optimized its cost structure. Through localized production, vivo can not only quickly adjust production capacity according to the demand of the Indian market, but also effectively reduce production costs and enhance the price competitiveness of its products.
In addition to these, Vivo has established a partnership with local suppliers in India, which not only meets the needs of vivo's parts and components in production, but also drives the development of local upstream and downstream industrial chains and forms a win -win situation.
But soon after, the Modi government exposed her true face. These so -called incentive policies were "killing piglets", but fortunately, although some twists and turns, vivo successfully avoided these risks.
Modi government's open behavior
The Indian government has attracted a large number of foreign investors through a loose foreign policy in the early days, but it is just a "pig -kill" strategy of the Modi governmentJaipur Wealth Management. Through strict supervision and frequent fines, we can obtain more benefits from foreign companies.It is their true purpose.
In addition to the pressure at the policy level, vivo also faces the threat of acquisitions from the Indian local giant Tata GroupHyderabad Wealth Management. With the success of vivo in the Indian market, the Tata Group, which is a local "bully", fancy the market share and technology source of vivo.It issued a threat of acquisition.
In order to make vivo obediently, the Indian government and the Indian law enforcement bureau launched a number of tax investigations and imposed huge fines. For example, in 2022, they accused them of suspected money laundering and eventually frozen Vivo's bank account of about 4.65 billion rupees.
In addition to the company's financial issues, many executives of vivo are also under investigation and legal threats from the Indian government. Some of them have been detained or under investigation. Such arrest operations are not common in foreign -funded enterprises, highlighting Modi greedyFace.
The frequent changes in policies, the increase in tax burden, and the continuous improvement of compliance requirements have led to Vivo to invest a lot of energy to deal with regulatory issues, rather than focusing on business expansion.
Therefore, in the face of this targeted policy, vivo also made its own counterattack. Through the financial operation of the underworld darkness, Vivo transferred 60 billion yuan to Hong Kong, India, and other places.
vivo's response strategy
As early as India, it gradually increased the review of foreign -funded enterprises, especially Indian companies, so as early as 10 years ago, vivo had such an emergency plan. I did not expect to face the malicious acquisition of the Tata Group.use.
In order to avoid the monitoring of the Indian government, Vivo adopted a strategic capital transfer plan. Specifically, vivo transferred funds out of India by establishing multiple subsidiaries and parent companies in different jurisdictions.
This complex company architecture design helps to help vivo achieve global scheduling of funds under the legal framework. Vivo has set up multiple subsidiaries in India. These subsidiaries are responsible for managing local daily operations, including sales, marketing and production, etc.Essence
However, in terms of financial management, these subsidiaries actually transfer some profits and income to their parent companies in Hong Kong, India through cross -border payment, technical license costs, and management expenses.
When the funds returned to our own land, the Modi government's open behavior was invalid. Vivo summarized and re -assigned funds through the parent company set up in Hong Kong and other places. As a global financial center, Hong Kong has a loose foreign exchange management policy and a loose foreign exchange management policy and a looseHighly developed banking system, which provides convenience for Vivo to safely transfer funds out of India.
Through the scheduling of the parent company, vivo can further transfer funds to the Indian continent, so as to ensure that they maintain the liquidity and security of funds when facing India's uncertain policies.It's just a few buildings.
Under this planning operation, Vivo successfully transferred 60 billion yuan of funds from India to Hong Kong, India, and other places, avoiding the risk of frozen funds from the Indian government.There is really no retreat.
The success of vivo lies not only in its funding management capabilities, but also from its localized production and global brand strategy. At the same time, the Vivo's capital transfer case also provides a successful reference for other foreign companies.
In the face of an uncertain market environment, foreign -funded enterprises must have the ability to adjust capital flow according to the supervision policies and market conditions of different countries., Ensure the security and liquidity of funds.
Vivo's capital transfer strategy to prevent the freezing and control of local giants or governments in India's funds in India is the best model. By identifying risks in advance and taking preventive measures.Okay.
Today, with the rapid development of Indian companies, Indian companies all over the world will inevitably encounter malicious targets from different markets. Vivo's early warning has made us a good model for us.
Moreover, in fact, compared with India, investment in India is a more secure choice. After all, my country's reputation is well received globally.
What do you think about Vivo's 10 billion yuan from India in 10 million?Welcome to discuss the comment area together!
Reference news: Indian media: India is intended to promote the "manufacturing" to the world
Jinan Times-New Yellow River: India's arrest of vivo employees, the company's latest response, "foreign company harvesters" have made many well-known companies suffer
Reference news: Indian media: India is intended to promote the "manufacturing" to the world
Jinan Times-New Yellow River: India's arrest of vivo employees, the company's latest response, "foreign company harvesters" have made many well-known companies suffer
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