How would you make a business plan for James Brothers Inc. to enter a new market in India?
The first issue you would need to address in your business plan is why the company is choosing India. It seems an odd choice as in terms of GDP, ease of doing business, and customer buying habits the EU or China would seem more obvious choices.
Within India, the first issue you would need to address in your business plan is limits on foreign ownership. This means that James Brothers would probably need to partner with a local company. This would also help with dealing with regulatory and other obstacles. As the World Banks ranks India 142nd out of 189 economies for ease of doing business, having local expertise is essential.
Within India, the state of Gujarat, formerly run by Modi, the current Prime Minister of India, has many business-friendly policies in place. Ahmedabad is headquarters to many large companies and has significantly better infrastructure and transport links than many Indian cities and a reputation for helping foreign companies cut through local bureaucracies in such matters as land use and business registration.
Supermarkets in India account for less than 2 percent of food sales. Thus James could pitch itself as a small luxury niche brand selling through supermarkets, or follow a strategy of building up a network of local representatives to sell individual packets of cereal through small local shops or kiranas.
As you write your business plan, you will need to carefully research local market conditions in India, and especially how other international food companies have fared (many have left India after brief forays into the market).