24714165 IT Industry in India(2)
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Transcript of 24714165 IT Industry in India(2)
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Topics Introduction Structure
Growth
Size of the industry
Top players
Contribution To Economic Progress
FDI in IT Industry
Export Potential Challenges
SWOT Analysis
Future And Conclusion
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Introduction
Boom started in late 1990s
Impact of Y2K problem
One of the most important industry
Development activity not confined to particular city
Large number of English speaking people
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Structure ofITindustry
IT sector has four major categories:
IT Services
IT Enabled Services
Software Product
Hardware
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Size ofITindustry in India
Total business of $ 50 billion
2.2 million employment by 2008
Contribution to GDP is more than 7.5%
FDI of $ 4.5 billion by the end of 2008
Comprises 35% of Total export from India
$ 225 billion worth Market Cap from IT shares Expected to cross $ 100 billion mark by 2011
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Topplayersin the Industry
Major companies in IT industry
Tata consultancy services (TCS)
Infosys Wipro
HCL Technology
Patni
Satyam
Hexaware
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Contribution to Economicprogress
Recorded growth of 22.4% in last fiscal year
Total revenue of 2.46 trillion INR in 2007
Domestic IT market account 900 billion INR
Brought significant change in Indian job Market
Have contributed to solving unemployment
problem Improved gross production goods and services
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FDI in ITindustry
IT sector has been attracting large amount of FDI
Major investment in four principal sector
Will receive $ 4 billion to $5 billion by 2008
Major IT companies are setting up base in India
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Cotn..
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Export Potential Export potential recognized across world
Software product are renowned all over the world
Accounts 35% of total export. Expected to grow by33% in 2008.
Software export of $ 40 bn in 2008. Expected toreach $60 by 2010.
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Cotn..
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Challenges Keep maintaining its excellent performance
standard
Rupee appreciation and competition from otherglobal players
Skill level of IT professional
Co-ordination with academic circle and otherindustries
Problem with outsourcing countries like U.S
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Swot AnalysisStrengths
Highly skilled human resources
Low wage structure and quality of work Initiative taken by government
Following quality standard such as ISO, SEI CMM
Cost competitiveness Quality telecommunication infrastructure
English speaking professional
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Weaknesses Absence of practical kwoledge
Less research and development
Employee salaries are increasing rapidly
Contribution of IT sector to GDP is rather small
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Opportunities and Threats
Opportunities Threats
High quality IT education
market
Increasing number ofworking age people
Upcoming internationalplayers in market
Lack of data security system
Countries like chinaPhilippines are making effortsto overcome the Englishlanguage barrier
IT development need toexpand in other cities
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THANK YOU