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India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

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Those familiar with Xiaomi know that not long ago, the Indian government confiscated nearly 5 billion yuan of Xiaomi's operating funds under the pretext of so-called "illegal capital transfer". This amount is equivalent to the cumulative profits of Xiaomi operating in India for 10 years, which is undoubtedly a fatal blow and caused Xiaomi to lose a lot. This makes one wonder whether the Indian government is trying to fill its fiscal deficit through such unreasonable means.

What is even more puzzling is that the Indian government even requires that Xiaomi's top management, including CEO and other positions, be filled by Indian personnel, as if to signal that Xiaomi must give up control of its Indian subsidiary. This coercive requirement is reminiscent of colonial-era power politics, but is the Indian government trying to gain control of foreign companies?

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

However, Xiaomi did not choose to swallow its anger, but took a resolute counterattack: not only laid off 500 employees, but also relocated its production lines to other countries. The decision had a considerable impact on the Indian market, dubbed the "foreign crematorium". Xiaomi has made it clear to the Indian government through practical actions: If you want to "grab money" and "grab power", then we will no longer leave "money power".

India, while having ambitions to become the next global manufacturing hub, is doing the opposite. Instead of providing a fair, open and friendly market environment for foreign companies, the Indian government has adopted various means to restrict, suppress and blackmail foreign enterprises. This practice not only harms the interests and credibility of foreign companies, but also damages India's own image and development prospects.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

If India really wants to become a global industrial giant, it must change its attitude and behavior and build good cooperation with foreign companies, rather than adopt a confrontational attitude. Otherwise, India will only be seen as a country that "grabs money" and "grabs power", not a country that "makes money" and "earns power".

So, who is the biggest winner in this battle between China and India to "grab money" and "smash pots"? We can analyze from the following aspects:

First of all, from an economic point of view, although the Indian government confiscated Xiaomi's funds, it also lost an important partner and market competitor. Xiaomi not only provides cost-effective mobile phone products in the Indian market, but also creates a large number of jobs and tax revenue. In addition, Xiaomi has also invested in a number of projects in India, including education, medical care, agriculture and other fields, which have helped to improve India's livelihood and social development.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

However, now Xiaomi is moving these projects and resources to other countries, which is a huge loss for India. Moreover, Xiaomi's withdrawal may trigger other foreign companies to follow suit, causing the Indian market to lose more foreign investment and technical support. This is undoubtedly a heavy blow to India's economic development.

Second, from a political point of view, the Indian government, while carrying out this action in the name of safeguarding national interests, also revealed its unfair and unfriendly attitude towards foreign enterprises. Such an attitude not only undermines the foundation of friendly relations and mutual trust between China and India, but may also affect India's image and reputation in the international community.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

The Indian government should recognize that in the era of globalization, no country can develop in isolation. Only through openness and cooperation can we achieve win-win and sharing. Restrictions and crackdowns on foreign companies will only isolate and lag India.

Finally, from a technology point of view, although Xiaomi lost the Indian market, perhaps this will bring it more opportunities and momentum. As a scientific and technological innovation enterprise, Xiaomi has strong competitiveness and influence in the Chinese market. In addition, the Chinese market also has more consumer demand and technical support.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

Xiaomi can take advantage of this opportunity to put more energy and resources into the domestic market and technology research and development, improve product quality and innovation capabilities, and strengthen its position in the global scientific and technological competition. At the same time, Xiaomi can also look for opportunities in other countries' markets and expand its international influence and partners.

To sum up, this action of the Indian government is both a challenge and an opportunity for Xiaomi. For India, it was a mistake and a loss. Therefore, it can be said that in this battle of "grabbing money" and "smashing pots", Xiaomi is the biggest winner, while India is the biggest loser.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

As for my personal opinion, I think this incident sheds light on some profound issues in the global business environment. First, the relationship between national sovereignty and corporate interests has become increasingly complex in the era of globalization. Governments have a responsibility to protect national interests, but also need to take into account the importance of attracting foreign investment and maintaining international business relations. The Indian government's actions appear to favor the former, but may have sacrificed the latter, to the detriment of India's own long-term interests.

Second, the event underscores the vulnerability of global businesses in diverse markets. While Xiaomi has been successful in the Indian market, companies may face unexpected challenges in an environment with high policy risks. Therefore, companies need to constantly adjust their strategies and be prepared to respond to policy changes in different national governments.

India "grabbed money" Xiaomi 5 billion, millet "smashed" India, who wins this?

It also reminds us that transnational cooperation and friendly diplomatic relations are essential for the stability and prosperity of international commerce. Tensions and unfriendly attitudes between countries can lead to unfair treatment of businesses, which can affect the growth of the global economy.

Finally, as consumers and citizens, we should also pay close attention to these events, calling for cooperation and dialogue between governments and businesses to ensure a fairer and more stable business environment. Our voices can have a positive impact on the global business landscape, prompting governments to adopt smarter policies to sustain the health of international commerce.

On the whole, this battle between China and India to "grab money" and "smash pots" is a complex and profound event, involving national interests, corporate survival and international relations. Xiaomi is the biggest winner because it has shown firmness and flexibility in decision-making in the face of difficult situations. India is the biggest loser, as the incident could damage its international reputation and attractiveness for foreign investment. We should learn from this event and promote a more open and cooperative global business environment to promote economic prosperity and common development.

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