Numerous studies have been conducted in the recent past to understand and explain thevarious features of India’s Information Technology industry. While most of these studieshave focused on the evolution aspects and the inherent growth dynamics of this youngindustry (Bhatnagar and Madon, 1997, Saxenian, 2000, Arora, 2006), a considerablenumber have studied the linkages between the rapid growth experienced by this industryand India’s economic development (Bajpai and Shashtri, 1998, Arora and Athreye, 2002,Kambhampati, 2002, and D’Costa 2002). Only a handful of others have studied theinnovation spillover from the information technology sector to other industries in India.In an attempt to decipher the drivers of growth in this sector, some studies have alsoexamined the strengths and weaknesses of the software sector (Bajpai and Radjou, 1999,Saxenian, 2000), The growth scenario of IT industries in India was studied by PhalguniGupta(2001) in which various factors affecting of the IT industries in India were studied.In a study “
From Underdogs to Tigers: The rise and Growth of the Software Industry inBrazil China, India, Ireland and Israel” (Ashish Arora),
pointed out the emerging marketof software industry and the contribution of developing countries in this industry.According to him this industry has contributed to the image and economic growth of these countries up to a great extent.
NOTEWORTHY CONTRIBUTION IN THE FIELD OF PROPOSED WORK:
NASCOM (National Association of Software & Service Companies) is keeping primarydata of the IT firms in India. The Ministry of Information and Technology is alsokeeping data related to the Software Industry field. Dr.Ashish Arora of Carnegie MellonUniversity is working on the effect of software industries growth on developing countriessince 1999.
Various studies have pointed out strength of India in software export industry. It has beenstudied that the basic ingredients for software industry lies in India, which can makeIndia leader in software export. But the industry is facing new challenges which can givemajor setback to the software industry of India. The increased labor cost, fluctuatingexchange rate, economic recession, Political scenario, availability of quality work force,government policy and regulations are going to be very crucial for the existence of Software Industry. Not much has been done in this area. The rational behind this study isto bridge this gap and explore the avenues for continued and sustainable development of software industry in India.