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Porter's Five Forces Model: Infosys Technologies Ltd

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PORTER 'S FIVE FORCES MODEL (INDIAN IT INDUSTRY) Threat of Substitutes: While discussing the Porter 's analysis of Infosys Technologies Ltd. the very first point of discussion is threat of substitutes. Regarding threat of substitutes other offshore locationssuch as Eastern Europe, the Philippines and China, are emerging and are posing threat to Indian IT industry because of their cost-advantage. However, this should have an impact only in the medium to long term. Along with that price quoted for projects is a major differentiator, the quality of products being same. Bargaining power of supplier: While discussing the Porter 's analysis of Infosys Technologies Ltd. the second point of discussion is bargaining power of supplier. Due to …show more content…

INFOSYS BCG MATRIX INDIA The Boston Matrix catalog occasion in collection which is total 4 groups, exposed on corporation of Market Growth and Market Share: BCG MATRIX ANALYSIS OF INFOSYS TECHNOLOGIES LTD. : Dogs: While discussing BCG Matrix for Infosys Technologies Ltd firstly Dogs are discussed. When market share as well as market growth both are low then the circumstances is known as dogs. If we apply this on Infosys Technologies Ltd none is applied under dogs. Cash Cows: While discussing BCG Matrix for Infosys Technologies Ltd. secondly cash cows are discussed. When market share is high and market growth is low then the situation is known as cash cows. Here, Infosys Technologies Ltd is this situation is applied on maintenance application and development software products. Stars: While discussing BCG Matrix for Infosys Technologies Ltd. thirdly Stars s are discussed. When market split and market enlargement both are high then the situation is known as stars. Here Infosys Technologies Ltd.BPO is come under stars. Question Marks: While discussing BCG Matrix for Infosys Technologies Ltd. fourthly and finally question marks are discussed. When market share is low and market growth is high SSthen the situation is called question marks. Question marks are also known as problem child. Consulting KPO and package information are considered as question …show more content…

• Cost advantage - Presence of Infosys in India is key to its success • Breadth of service offering - end to end solutions including high end services like IT consultancy and KPO. WEAKNESSES • Excessive dependence on US for revenues - 67 % of revenues from USA. • Excessive dependence on BFSI sector for revenues - 36 % of revenues from BFSI. Banking sector is facing a crisis globally and is going to spend less on IT. • Weak player in domestic market. Only 1 % of revenues from India - low as compared to peers • Low R & D spending as compared to global IT companies - only 1.3 % of total revenues • Rising wage bill - 42.9 % to 44.8 % of revenues • Low expertise in high end services like Consultancy and KPO. • revenues to be hit hard for Infosys • High rates of attrition - Although slowdown in global economy has lowered attrition rate but the industry still faces high attrition rates as compared to other sectors. • Decreasing competitive advantage - rising salary expenses is taking away the cost advantage enjoyed by Indian companies (including Infosys). OPPORTUNITIES • Domestic market set to grow

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