I am going to India, and i would like to buy a dell laptop for a gift. could you please suggest me where to buy, in India(Mumbai) or in Toronto. My budget is $500-600 Cad.

All inputs are welcome- Thanks

If you are very particular about buying Dell in India, their website is dell.co.in
The last time I checked, the procedure to buy Dell in India is very cumbersome- multiple calls, faxes and bank drafts.
Its easier to buy a Dell here in Canada and carry it along but the Dell warranty is valid only in Canada. Dell international warranty was an additional $230 in the past .
Not too sure if the Indian customs objects to you returning back without the laptop . I have heard of too many people being harassed at the customs . Hopefully things have changed.
The best option is to buy in India from an authorised dealer. The most
preffered brands in India are Acer, HP, Compaq and Toshiba .
Dell and Apple are at the bottom of the chart.
Pricewise they might be a bit above the price you pay here but, you are
covered and most laptops sold in India come with international warranty.
Bear in mind that laptop components , most notably dvd drives have a higher incidence of failure in India due to the heat and dust . You are better off buying a netbook with fewer moving parts if it suits your needs.

Thanks Nrthyrkr for detailed information.

I checked early this year and the cost of a laptop still has not come down in India. There is a difference of $100-$150.

Buying here is better. The customs folks in Bangalore are fairly relaxed esp with regards to laptops since the software guys keep flying in and out and it is highly impractical for them to track these devices. It is dead easy going into Bangalore with a laptop. Not sure about other places.

Obviously you will have to take it in like you have been using it...i.e., out of its original packaging in a laptop bag perhaps...

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If you have a gun, you can rob a bank.
If you have a bank, you can rob everyone.
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When I visited Delhi this March, I carried myself a laptop for a friend's father. No one checked the laptop, neither did someone at customs inquired about it. Needless to say, when I came back to Canada, I didn't have the laptop with me - no hassles at all. This was my second time with laptop. The only catch is that you have to unpack it and take it as if it's your personal one and as a carry-in.