Chinese handset brands operating in India are facing a tough balancing act amid continued geopolitical tensions between New Delhi and Beijing.
While the Indian government is nudging these brands to add local executives in top decision-making leadership roles, many are apprehensive to come on board due to the limelight and scrutiny that comes along with the job in a Chinese company.
Officials aware of the details told ET that the government is hopeful that Chinese brands will soon hire local talent for key leadership roles in their Indian operations, like what they did for distribution and marketing.
«A task has been given to the Chinese players, but they are yet to act on it fully. We are hoping they will have top leadership comprising Indians, otherwise alternatives may be explored,» a senior official privy to the details said.
Executives in the industry say Chinese firms have started interviewing people for top leadership roles from rival brands. But most are wary of joining, given the pitfalls of the job, with Chinese brands facing government scrutiny at every stage. This is acting as a hindrance to hire good talent for Chinese players.
Some Chinese brands are being probed by Indian authorities for allegedly violating foreign exchange rules, among others. Some executives of Chinese and Indian origin have also been arrested, while some faced interrogation by authorities.
«Many executives from brands such as Samsung are being approached by rival Chinese brands to take up leadership roles, but many are wary