What to weigh before choosing a route
Every India entry route involves a trade-off between how much control a brand retains and how quickly and simply it can start operating. Control shows up in several practical areas: who sets the price, who controls how the product is presented to customers, who owns the customer data generated by sales, and who holds stock and therefore carries that risk. The models available, from importer arrangements through to a wholly owned subsidiary, sit at different points along this trade-off, and the right starting point depends on how much the brand already knows about Indian demand for its product.
There is no single correct model for every brand. A business with a well-known product and clear demand signals from prior export sales may move faster through these stages than one still working out whether its product suits the Indian market at all, and the right pace should be set by evidence rather than ambition.
The distributor route
Working through a distributor is the fastest and lightest way to get a product into the Indian market. The distributor imports the goods, holds stock and sells on into their own network, which means a brand can be trading with minimal setup and no need for a local entity at this stage.
The cost of that speed is control. A distributor will typically set or heavily influence local pricing, control how the product is presented to retailers and customers, and hold most of the customer relationship and data. Contracts with a distributor usually define territory and exclusivity terms, along with sales targets the distributor is expected to meet, and these terms also set out how the relationship can end if performance or fit is not right. Because so much depends on the distributor's reach and reputation, choosing the right partner matters more in this model than in almost any other.
Liaison office and branch: narrow, specified roles
A liaison office allows a foreign company to carry out research and promotion activities in India, but it is explicitly not permitted to engage in commercial activity or earn income locally. It operates under the oversight of the Reserve Bank of India through an authorised bank, and its purpose is to build market understanding and relationships ahead of any direct selling.
A branch office sits a step further along, allowed to carry out specified activities as an extension of the foreign company, within the scope the regulator has approved. Neither of these structures is designed to replace a full commercial operation; they are suited to brands that need a genuine, compliant presence in India for market research or specific permitted functions, without yet committing to full trading through a local entity.
The subsidiary: full control, full responsibility
A subsidiary, normally a private limited company, gives a brand the most control of any of these models: control over trading, the ability to hire staff directly, to contract on its own terms, and full responsibility for its own governance and compliance obligations in India. This is the model that supports genuine long-term commercial ambition in the market, rather than a testing phase.
It also comes with the most to manage. Foreign Direct Investment (FDI) conditions vary significantly by sector, and retail in particular carries its own specific conditions that need careful attention before a subsidiary structure is chosen for a retail-facing brand. Because the rules differ by sector and can be detailed, this is a point at which taking specific advice is worthwhile rather than optional.
A typical sequence
Most brands do not start with a subsidiary. A more common sequence begins with import through a third party, or selling through marketplaces or a distributor, allowing a brand to test demand, pricing and category fit without the time and complexity of setting up a local entity. Only once demand has been demonstrated, and the brand has a clearer picture of the market it is entering, does it typically move to establish its own entity.
Put simply, Pre-entry is about comparing these models against what the brand is actually trying to learn or achieve, and Access is about setting up the chosen route properly once that question has been answered. Treating the choice of entry model as a single decision made too early, before real market feedback exists, is one of the more avoidable mistakes a brand can make when approaching India.
Access, in practice, is the work of setting up whichever route has been chosen properly: registering the entity or office correctly, putting the right contracts in place with any distributor or partner, and making sure compliance obligations are met from day one rather than retrofitted once problems appear.