Mobile retailers urge Xiaomi to cut prices and provide higher margins to clear 4G handset stocks

NEW DELHI: Mobile retailers in the country have urged the Chinese smartphone maker Xiaomi to provide higher profit margins on older generation 4G handsets and implement permanent price drops to clear the existing 4G stocks amid the fast-paced transition to 5G technology.

In a letter addressed to Mallikarjuna Rao, Director of Sales at Xiaomi India, the All India Mobile Retailers Association has proposed a “strategic plan” to efficiently clear out existing 4G stocks, ensuring a smooth transition to 5G and maintaining the brand’s position in the market.

AIMRA said that providing retailers with higher profit margins on 4G products will encourage them to prioritise selling existing inventory and facilitate a faster turnover.