Hitachi has outlined its “India Business Strategy 2015” with a target to garner revenues worth JPY300bn (USD3.6bn) in fiscal 2015, about three-fold increase from fiscal 2011, says a press release. In the automotive sector, the company plans to start an automotive components plant in Chennai and set up sales network. Also, the plan includes establishment of an automotive power metal and brake plant in Neemrana in Rajasthan state.
Significance: India serves a strategic market for the growth of Hitachi. Hitachi’s “New Globalisation Plan”, formulated in 2011, positions the Asian country as the company’s fifth key management area outside Japan together with China, Southeast Asia, Europe and the US making India the regional headquarters. To accelerate its business expansion, Hitachi intends to boost production in India through increased localisation and strengthen partnerships with local companies. To execute such expansion plans, the company will strengthen its management base in the country. To this end, Hitachi expects to double the workforce to 13,000 from fiscal 2011 and invest JPY70bn (USD838.7m) from fiscal 2012 to fiscal 2015. The company has more than 20 group companies in India with a headcount of 6,800 employees.
