IKEA asks Indian government to allow more products

IKEA asks Indian government to allow more productsSwedish home furnishing major IKEA has urged the Indian authorities to allow more flexibility in operating the company's proposed stores in the country after the government struck down most of the products that the company wanted to sell in India.

The company said that it needs more flexibility in operations in order to make the entire IKEA concept to work in India. The company positions itself as a provider of complete home furnishing solutions and offers a range of products from furniture to stationary and other objects. The company has an impressive 10,960 products across its product categories and all stores offer at least the core products.

IKEA Group is planning to invest in single brand retail business model in the country, which will be operated by a 100 per cent subsidiary. The proposal from IKEA is the largest investment in the single-brand retailing ever. The government had allowed foreign investment in single brand retail in January this year but there are concerns that the India government is not ready to allow much needed flexibility.

IKEA has proposed an investment to the tune of Rs. 10,500 crore for its plans to set up 25 stores in India under the single brand retail segment in the market.