Indian IT Industry Management Information Systems Mid-term Review Balasubramanian P [MS14A020] Chandan Kumar Sahani [MS14A023] Chirag Gupta [MS14A024] Overview of Indian IT Industry The Indian IT industry is increasing steadily despite the global slowdown in 2009. When the whole of the world witnessed negative growth, Indian IT industry still managed to showcase a growth of 5.5%. The industry is set to register the historic landmark of US $ 50 billion exports current year, according to the NASSCOM President, Som Mittal. The market of domestic is also hopeful to witness 12% growth, this current year. Potential size of India’s
MITI was created with the split of the Ministry of Commerce and Industry in May 1949 and given the mission for coordinating international trade policy with other groups, such as the Bank of Japan, the Economic planning Agency, and the various commerce-related cabinet ministries. At the time it was created, Japan was still recovering from the economic disaster of World War II. With inflation rising and productivity failing to keep up, the government sought a better mechanism for reviving the Japanese economy. MITI has been responsible not only in the areas of exports and imports but also for all domestic industries and businesses not specifically covered by other ministries in the areas of investment in plant and equipment, pollution control,
Another factor, and also my favourite part about the company, that allowed Hyundai to succeed globally was the fact that determination was in the company’s DNA from its humble beginnings in Korea. They refused to accept failure at any stage. They went head-on against automobile giants from the US, Japan and Germany despite many looking down on them. Hyundai was not deterred by the fact that they entered the China market late or about how competitive the market already was before they entered. The company’s calmness and adaptability allowed them to gain market share and recognition in China within a short span.
International expansion to lower income countries Besides domestic expansion, international expansion also provides opportunity to MYDIN if it expands its business into international markets. There is a large demand for cheaper consumer goods especially in less developed and developing countries such as Thailand and Indonesia. This is because MYDIN has the knowledge of running a business to provide goods at wholesale prices. Therefore, MYDIN can bring its knowledge overseas. Through international expansion, MYDIN’s market segment will grow and this will allow MYDIN to make bulker purchases compared to now.
The first major deal that helped the launch of the company was a deal that was done with computer producer IBM. The initial contact with IBM was when the company was looking for an operating system suitable for its upcoming computer in 1980, but nothing in the market was suitable for the company. This is when Gates adapted existing software to perfectly meet personal computer’s needs that IBM had in mind, and ensured that Microsoft would have the exclusive rights to the licensing and ownership of the software known as 86-DOS (Das, 2010). Upon the successful launch of IBM’s computer, the introduction of such a technology was very successful that the media recognized how Microsoft has been a very helpful factor in the success of the computer’s sales. Bill Gates saw the value of the 86-DOS software and its application on other computers and saw the potential of making a lot of money from licensing the technology to others.
Application consultants from the fledgling practice of IBM India are one of the most mobile of its workforce – frequently globe-trotting to other IBM Geographies and benefitting from the nearly 3 decade old. Linux Technology Center Business transformation outsourcing With the acquisition of Daksh in 2004, IBM now also has a formidable (BPO) service portfolio. Associates and analysts work out of the, Bangalore office in out-sourced business processes of IBM clients. The company has sent out more than 800 newly recruited employees in 2008 and the process is still going on. According to the stacks, IBM Daksh is on the top position in the BPO industry in India.
in India, the third largest e commerce market in the world. Amazon India was launched in June 2013. Since foreign e-commerce companies were not allowed to allowed to hold their own inventory and sell directly to consumers in India, Amazon launched its marketplace model which enabled third party sellers to trade their products. Since it was launched in India Amazon has built up one of the biggest online product ranges in the country. The case discusses the strategies Amazon India adopted to win over the Indian market.
This was difficult for them to bounce back from but with determination they were able to do so. Manufacturing was a difficult task for Atom. When forecasting manufacturing they did not correctly take in account their current market performance. In their case it would have benefited them in profit if they would have taken more of a risk and properly forecasted their demand and applied lean manufacturing. Setting up manufacturing in Shanghai was a well thought out move because it kept cost low for them so they could turnover more profit.
Indian IT companies work on the hybrid model of outsourcing 30% of work and rest 70% is done by Indian in-house units. This dependency on the foreign markets, change in the regime in the US modified VISA norms and mandate local hiring are causing little hiccups. Way forward: 1. Change in the Business model Indian IT companies are mostly seen as low-end, low-cost service providers to other companies and businesses. With the advancements of Artificial Intelligence in IT industry, this can be changed by venturing into new business and by expanding our portfolio to create products and technologies by emerging as product based technological companies.
Endeavors have additionally been made to talk about the real work verticals of Indian ITES-BPO industry, which further uncovers the truth of its space skill and in-time conveyance of administrations in a pre-decided standard with slightest conceivable expense that has made India a BPO center point. The later piece of the study manages an exact SWOT-investigation that highlights the key elements that have noteworthy bearing to the very flourishment of this daylight