Franchising and India
Franchising and India:
Franchising is a system for expanding a business and an opportunity to operate a business under a recognized name. In India alone, recent studies suggest that average household incomes will triple over the next couple of decades. This will make India the world’s 5th largest consumer economy by 2025, up from its current 12th position. In 2005, private spending reached to nearly $372 billion, accounting for over 60 percent of India’s GDP. The aggregate consumer spending could more than quadruple in future years, reaching about $1.78 trillion by 2025 and so the market in India is ripe for a franchising boom. The success stories of international franchise brands like Pizza Hut, Dominos, KFC, McDonald’s, Subway and Holiday Inn, to name a few have sent positive signals to other American brands and many major international franchisors to actively look at India for their expansion.