Walt Disney Launches Retail Stores In India

Walt Disney opened its first store in India on March 17, 2007, after the tie-up with DIL (Devyani International Ltd, will be selling its branded kids products.

After the tie-up with DIL (Devyani International Ltd), master-franchising group, Walt Disney opened its first store in India on March 17, 2007. The store will be selling its branded kids products, as per the news published on The Hindu.

Through the licensing accord with Devyani International Ltd, Walt Disney the international entertainment major intends to put in Rs 150 crores to set such 300 Disney Stores with in next 5 years across India, out of which first 22 stores will start operation in 2007.

"India is a very important market for our growth. We aim to take the Disney characters, mainly Mickey mouse, Winnie the Pooh etc to the Indian kids at a reasonable price," said Rajat Jain, Managing Director of TWDCI (Walt Disney Company India Private Limited) in news published on DNA.

The partnership between Walt Disney and DIL is part of efforts made by Disney to enhance its presence in India, where increasing incomes of middle-class are driving global branded products' demand. Walt Disney plans to invest around Rs. 21 crore to set up 20 standalone Disney jeans stores by the end of this year and 50 outlets in next year. Their primary focus is to build a strong retail-network for branded products and subsequently develop and maintain a reliable brand image.

Numerous international brands like Marks & Spencer, Adidas and Nokia, have moved to establish their own outlets. Previously, franchises sold their products. However, multi product retail companies like Wal-Mart are still banned from opening their outlets in India.

As per a research analyst at RNCOS, "With other huge global retail players such as Wal Mart aiming at the scenario of Indian retail, estimated at about US$ 200 Billion, Walt Disney is also vying for its share in this market. However, because of the high occurrence of unorganized retail players in the Indian market, Walt Disney owned outlets make for a mere amount of US$ 8 Billion."

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