INDIA CHINA CONFLICT EFFECTS ON THE LAPTOP MARKET

Being living in the globalised world each country depends on another country for the trade
off and that’s how one nation’s import-export market works. India import and export
various products and raw material from the different countries. China used to be one the
biggest exporter to India. As per the information in 2018-19 India was importing around
$20.63 billion of electronics good from china which include smartphones, TVs, Laptop and
many more.

At one side where whole world is suffering from the Covid-19, there is also conflicts
between India and china on its territory which later on have huge impact on the economy
as whole of the both the companies. India used to rely on the china for the raw materials
especially for the electronic item. Because of the conflicts there has been around 200 apps
been banned by the government at the same trade policies has been change that directly
impact on custom duties. It has heard that Gov. India is going to impose high tariff on the
Chinese products

LAPTOP MARKET AND INIDA CHINA CONFLICTS

 RAW MATERIAL:-

As per the IDC report on 13th May, 2020 it has been stated that India’s Traditional PC
Shipments decreased by 17%. It has been observed that even though there was high
demand of the laptop in the pandemic because of the Work from Home and Online
Teaching there was shortage of the supply. There could be two reasons for this one is that
scarcity of raw material and second is that availability of raw material but high trade
barrier. As we mentioned that because of the conflicts trade barrier been imposed by the
Government on the product imposed from the china. India’s Laptop market relies on the
china for the raw material because the cost of production is comparatively low.

CHANGE IN SUPPLY AND DEMAND

25

20 Demand-1
Supply 1
15 Demand-2
Supply-2
10

0
2 4 6 8 10 12 14 16 18 20 22
 ATMANIRBHAR BHARAT

Atmanirbhar Bharat, The Project has been launched by Prime Minister Mr Modi during
the Pandemic while India was suffering from huge GDP crises. Aim of this project is to
make India self-reliant. Atmanirbhar Bharat is a way to make India independent by
manufacturing the most of imported goods in the county only. Since the project is in its
initial stages and cost of raw material for some goods will be natively higher it may be
difficult to cut the cost in initial stages but in the long cost of raw material will be
relatively which allows the manufacturer to cut the cost and sell the product at
comparatively low price in the market.

Demand
- Work from preprefences
- Income
- Other factors over powering the demand

Supply

- Technology
- Production
- Substitues and compliments
FACTORS AFFECTING THE DEMAND CURVE :-

Work From Preferences:-