Globalization in India

The most significant force of globalization in India is the intensification of business process outsourcing (BPO) services as well as information technology outsourcing. Many skilled professional Indians are employed in companies based in India, Europe, Africa, United States and other parts of the world. India provides a low cost, English speaking and educated workforce. Information Technology utilizes global communication strategies such as VOIP, internet and email through which enterprises around the world are able to save on costs when they outsource IT skilled Indians. The companies that are known to do well in India are Coca-cola, Pepsi, Kentucky Fried Chicken, and McDonald’s. The products of these companies have been accepted at large. As a result of this of IT outsourcing and BPO a novel middle consumer class has been established which services massive opportunity growth.

India is an attractive market, it has thus attracted made international players in various market and thus tremendously improved international trade. International companies have focused on India, as its population increases the base of their operations, and expands their workforce with nominal investments. Such companies that have dared to enter into the market have made remarkable profits. It is important to take note of the Indian companies which have expanded internationally to reach a larger market. India has now become a key player in trade of steel, cars, IT and other products. By so doing India has set itself up for tomorrow’s global economy (Alhuwalia, 08).

Infrastructure in India has rapidly grown. Many of the BPO companies based in Tier I cities (Mumbai, Kolkata, Indore, Bangalore) have thus been made to move into the Tier II cities (Mysore, Panchkula, Hosur, Madurai, Jaipur, Lucknow amongst others). This shift is as a result of the high cost of infrastructure in Tier I cities. The alternative Tier II cities have lower costs of overhead though the infrastructure in such cities is still under development. This has limited the companies to offering quality services as those in Tier I cities. The Indian government has in partnership with other privately based firms commenced on developing world class infrastructure which will see more players spread throughout the country (Gupta, Suman, Basu & Chattarji, 03).

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