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Consumers in India are pulling back on spending, especially in the categories of food and drink, leisure and apparel. Changing consumer attitudes are responsible for this pullback – consumers are weighing options and comparing features and prices before they buy. The economy in India has an enormous consumer base with increasing disposable income and the overall impact of the slowdown is not expected to be large. The entry of multinational retailers such as Ikea, H&M and Prada demonstrates companies are still interested in the Indian market despite inflation concerns.
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