Xiaomi has come up with an updated franchise agreement for exclusive Mi Home Stores in India. According to the reports, the Chinese giant is getting ready to widen its control over the franchise owned Mi Home Stores, by adding a clause in the agreement, that it can buy the ownership of the stores. The move is line with the FDI (Foreign Direct Investment) to be rolled out soon in India, which will allow foreign players more space in the country’s market place.
As of now Xiaomi boasts a total of 37 franchise owned Mi Home Stores in the country, which is expected to touch the 100 mark by this year end. However, for that matter, companies such as Xiaomi would have to abide to the rule of 30% local sourcing. By owning the Mi Home Stores, Xiaomi could marginally increase the profitability.