US lifestyle brand and retailer Guess plans to set up an Indian subsidiary to re-launch itself by opening company-owned stores instead of the earlier franchisee-operated stores. The plan is to launch two to three stores immediately, followed by 10 more over the next two years, according to a top company official. The firm has closed all franchisee-run stores.
Along with partnerships with popular e-commerce companies, Guess India will start its own portal, with the initial phase focusing on Tier I cities, Lander Isasi, Guess managing director for Middle East, Southeast Asia, Australia and India told a top Indian business daily.US lifestyle brand and retailer Guess plans to set up an Indian subsidiary to re-launch itself by opening company-owned stores instead of the earlier franchisee-operated stores. The plan is to launch two to three stores immediately, followed by 10 more over the next two years, according to a top company official. The firm has closed all franchisee-run stores#
The decision followed the recent relaxation of foreign direct investment (FDI) norms by India, said Guess CEO Victor Herrero.
In November 2015, India’s Department of Industrial Policy & Promotion (DIPP) eased norms to provide single brand licence holders, i.e., FDI-funded companies allowed to sell products under a single label, multiple retailing options, including own stores, franchisees, wholesale retailing, under one entity. (DS)
ALCHEMPro News Desk – India
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