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Elecom Co., a Japanese manufacturer of peripheral products and accessories for personal computers and other digital equipment, has closed its Indian unit after less than four years in the country, with one executive saying it failed to gain traction in the price-sensitive market.

“Elecom India Pvt. Ltd. has stopped all operations since August 2016, and is in the process of liquidation now,” Takeshi Kawakami, who is in charge of overseas marketing and sales at the Osaka-based company, told NNA in a statement without offering further details.

Raghav Kumar Sharma, who resigned as director of Elecom India this year after the company decided to close, also confirmed the development, saying the firm “was doing well despite facing many challenges.”

Elecom India had targeted a $3 million turnover in the first year of operations and $30 million by 2017. It had also planned to set up 10 exclusive showrooms in India, according to local media reports in 2012.

An Indian executive, who until recently was working with Elecom India, said some of the challenges the company faced included lack of a proper business strategy for the Indian market and communication issues within the organization.

“First, the prices of Elecom products were significantly high for a price-sensitive market like India, and on top of that the company did not spend much on marketing to strengthen its brand presence,” said the executive, requesting anonymity. “There were communication issues between some Japanese and top Indian staff which also affected the company’s performance.”

A Japanese official from head office told NNA on condition of anonymity that the firm is actually finding it difficult to operate sustainable businesses in overseas markets such as Europe and India, and is seeking to change its strategy.

“We’ve had repeated trials and failures in nondomestic markets such as Europe and India. We are being forced to change our strategy. We are in the process of analyzing the failures in those regions and reshaping our policy toward global marketing,” the official said.

Expanding on the key issues Elecom India faced, the official said, “One of the reasons was our premium products found it difficult to gain traction in the Indian market.”

Elecom is currently operating in South Korea, China, Hong Kong and Singapore.

According to ABI Research, global revenues for mobile accessories alone were estimated at $81.5 billion in 2015 and are likely to grow to $101 billion in 2020 at a compound annual growth rate of 4.3 percent.

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