M&S makes low-key debut in India

Marks & Spencer has made a low-key debut in India.

It has opened stores in New Delhi and Bombay under an arrangement with franchisee Planet Sports India.

The cautious beginning, with stores of only 3000 sq ft and 7000 sq ft respectively, comes after the company's poor track record with large format stores in France and Germany. These are now being sold off.

"We are deliberately starting small in India," Richard Sweet, head of Marks & Spencer's International Franchise Group, told The Times of India.

"We are aware that we are entering India at a very early stage of development. The choice is either to wait around and let other brands enter, or step in and take advantage of the positives that are there."

Mr Sweet says the company will "wait and watch" for at least six months to see the real level of sales before announcing expansion plans, as early footfalls can be misleading.

"We have squeezed margins down to areas of pain," he says. "We are trying hard to achieve realistic prices for India."