The US-based leading premium audio and infotainment solutions provider, Harman International Industries, plans to invest around $100 million over the next 3-5 years to increase its footprint in India, a top company executive has said.
The firm, which set up its own entity in mid-2009 in India, is eyeing a Rs 1,200-crore business over the next five years, he said here.
"Considering the increasing consumer base, which invests in gadgets and leisure activities, India has become one of the lucrative markets for us. To increase our footprint in India, we plan to invest around $100 million over the next 3-5 years," the company's Managing Director and Country Manager for India operations, Lakshminarayan M, told PTI.
The disposable income with Indian consumers is expected to increase at a rate of 8.5% per annum till 2015, and this is a positive sign for the company to create a market for better gadgets for all forms of music, he said. "India's audio and infotainment market is around $250 million and is expected to double in the next 3-5 years. All these factors are very conducive for our growth. We expect our turnover to cross Rs 1,200 crore over the next 5 years," The firm reported a Rs 240-crore turnover in 2010-11. At present, Harman employs over 200 R&D and software engineers in India and has an off-shore development centre with 400 engineers. "We plan to increase our engineering strength to 1,000 over the next five years,"
About expansion plans, Lakshminarayan said, "with our aggressive business targets, it is clear that we will increase our footprint in the market and in order to support this we are currently strategising on both organic and inorganic growth options. We also plan to launch a few new products with specific features to suit the Indian market."
Harman manufactures premium-quality audio, video and electronic products for home, vehicle, portable and computer applications, audio and infotainment systems for automotive and high fidelity loudspeakers for cinema sound systems.
It sells products under brands like AKG, Harman Kardon, Infinity, JBL, Lexicon and Mark Levinson.
The company plans to concentrate on Tier II and III cities apart from expanding its base in Tier I cities, he added.
