Information Technology in India From November – 2008
No doubt IT had its birth in overseas, but its India and we Indians who helped it to grow and touch its peak .This is one such field which gave scope for thousands of talents to enhance their capabilities and make the most out of it.
Now coming to the fact majority of the companies in overseas work on their projects and investments in India, since the value of Dollar sounds 42 times high. For example IBM, Dell, Accenture, Oracle etc.Several Indian Companies like Infosys, Wipro, and Satyam also have their major deals with foreign markets.
The present crisis that brought IT down in numbers evident in sensex listing; what could the reasons be. For a country like India where IT has been a source for existence, how is it able to withstand the downfall? What factors lead to such recession?
History repeats, the downfall of sensex and IT have happened in year 2001, when WTC collapsed. Next was during the time of Harshad Mehta Scam in 1993.Reasons for present downtrend is Inflation. Example, the VAT percentage was 4, six months before, now its 12.5% .So profits of big organizations in overseas are paid back in tax form. Next, small companies which work for months together to make those little profits can no longer sustain with this rise in Inflation.
The Bull Run which broke it’s all time records crossing 21,000 points have now been steeping close to 13,000 points. And NASDAC is close to 4169.0 .These numbers clearly demonstrate the inconsistent market strategies and related firms downfall.
There are multiple factors which lead to rise in inflation like hike in price of food-commodities, hike in crude oil price, fall in dollar value, lack of projects, Rise in Interests Rates of National and International Banks, politics, Energy Deals, ETC.
Companies started to look for alternatives to replace this loss and in-turn couldn’t generate great opportunities for youngsters willing to give a great start for their career.
Time for the solution and its already on .The political issues are on an edge to be resolved and the value of dollar has been improving consistently for a good time .However its important on behalf of companies to find out proper solutions in order to respond and withstand strong when such hazards hit badly, rather than satisfying by temporary solutions.
2008, from, India, Information, November, Technology