"The company needs to meet a 30 percent local sourcing rule to be able to open its own stores in the country."
It is just the result of protectionism.
It is just the result of protectionism.
The goal is usually to encourage local firms to grow and compete, and sometimes that happens (e.g. Hyundai). But sometimes the local firms become complacent in their walled garden (e.g. Hindustan Motors).