Earlier today, many media reports claim the possible exit of LeEco from the Indian market in next few days. Reports also claim that the company fired 85% of its staff from Indian unit and allowed the key player from the high-level management team to exit.
The company has reduced its staff in the country and now they are 80 from 350. The news about Layoff was fine as reported by Economics Times earlier today, but exit plan is just a rumor as the company denied leaving the country. I contacted the company to get the correct developments around. The company denied having any plan to exit Indian market. See the official statement below.
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“India is one the most strategic markets for LeEco and hence no any exit plan. In the past one year, LeEco India has gained market recognition and the initial stage of market seeding has been successful. Now LeEco India has upgraded its strategy from fast market expansion to healthy and sustainable growth, which is the normal renewal of business strategy and execution.”
The company also confirmed that they are working to bring their next generation TV in the Indian market. Premium mobiles of smartphones will also follow the TV launch. So, LeEco fans who were disappointed by exit stories should rejoice now.
LeEco also confirmed to invest in the marketing initiative. The company also has a robust R&D team in India working for India as well as LeEco globally.
I was surprised to read those exit stories because LeEco got the good opening with Le 1S and Le 2. In a very short time, the company got the considerable market recognition in the mid-range segment. It failed to sell Le Max and Le Max 2, got less attention for its LeEco membership, but a revised strategy and business plan can bring the company back on track.