For years, these companies survived on tax concession, easy body shopping money and all other benefints associated with sunrise industry. These comapnies failed to move up the value chain by branching out into procuct development despite having huge pile of cash reserves with them. Instead they choose to branch move down the value chain by opening up BPOs.
This is really hard test ahead for preachers (read Narayan Murthy) who, although is a OK enterpreneuer, but overestimates himeself and thinks he is the greatest technocrat.
He is just running a bodyshopping company.
A poor person from bihar goest to punjab to earn a living. He is definitly better than his fellow biharis who due to many reasons could not go to punjab. Now he can tell others that he is a great employee and therefore he gets money from his employer from punjab.
RE:Reality bites
by on Jul 23, 2007 06:58 PM Permalink
Jingaru's observations regarding these large essentially body shopping Indian IT companies like Infosys are very correct. I could not agree more. Though these companies made huge profits running businesses of selling bodies for a period of 30 years or more, they could not move up the value chain and produce a single world beater software technology or product. Because their investment in research and development has been almost nothing. Pity on them!
RE:Reality bites
by Yuppie Indian on Jul 23, 2007 06:14 PM Permalink
You have got it spot on. Couldnt be more true.. It these desi biggies would have done some good products there could be another picture today.
Why you are so angry on Narayan Murthy. Atleast he has done some thing to the nation & given jobs to thousands of people. Also lot of things to Bangalore development.
I think you didn't got job in Infosys or interviewed, that's why you used so useless words to ikon stature like Mr.Narayan Murthy.
I am not a software related person, but I admire Mr.NM, because of his ability to perform.
Don't worry about me. Infosys is well below my standard. My salary is 4 times more than what infosys could afford to give me.
Anyway, I am not saying infosys hasn't done anything. What I am saying is NRN is no big technocrat as he wants everyone to believe. Even an average "Bidi company" can have huge profit margin by exploiting poor illiterate labourers. Infosys is just a sophisticated version of that.
RE:Reality bites
by tiger on Jul 23, 2007 06:43 PM Permalink
Your posting shows that you are worse than the poor person of Bihar who goes to Punjab. U must have got job through some references.
RE:Reality bites
by soumya mukherjee on Jul 23, 2007 06:37 PM Permalink
Absolutely spot on ... But I would rather say TCS is even worse. TCS and Microsoft incorporated almost period. Where is MS and where is TCS
