Apple to restructure international sales operations establishing India as its own region
- ByStartupStory | March 9, 2023
Sources familiar with the matter have revealed that Apple Inc. is reorganising the management of its global operations to prioritise India, indicating the increasing significance of the country for the company.
According to insiders who wished to remain anonymous as the move has not been publicly announced, Apple Inc. is set to make India a standalone sales region for the first time. This move is a response to the growing demand for Apple products in the country and will elevate India’s position within the company.
Apple has decided to make this organisational change following the retirement of Hugues Asseman, the company’s Vice President in charge of India, the Middle East, Mediterranean, East Europe, and Africa. Asseman’s departure has prompted Apple to promote Ashish Chowdhary, who previously reported to Asseman as the head of India. Chowdhary will now report directly to Michael Fenger, Apple’s head of product sales.
Despite a 5% decline in overall sales, Apple achieved a record revenue in India in the last quarter. To cater to the region, the company has established an online store and is preparing to launch its first physical retail stores in the country later this year. During the previous earnings call, Apple’s CEO Tim Cook highlighted the company’s increased focus on the Indian market and likened the current stage of its efforts in India to its early days in China.
Apart from being a significant sales driver for Apple, India is increasingly becoming crucial to the company’s product development. According to sources, Apple’s key suppliers are relocating to India, and the company is collaborating with its manufacturing partner, Hon Hai Precision Industry Co. (also known as Foxconn), to establish new iPhone production plants in the country.
Although Apple’s management structure will undergo modifications, the way the company reports its regional sales in public financial statements will remain unchanged. India, along with the Middle East and Africa, is currently included in the Europe category. The company also reports sales for the Americas, Greater China, Japan, and the rest of Asia Pacific as separate regions.
The responsibility for Apple’s sales and international teams is divided between two vice presidents, namely Michael Fenger and Doug Beck. Fenger has global oversight of hardware, services, and enterprise sales, whereas Beck is responsible for the health, education, and government sectors. Although both report to CEO Tim Cook, they are not featured alongside his other top deputies on Apple’s website.
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