India possesses richness and diversity of culture and climatic conditions and natural and mineral resources. A new spirit of economic freedom is stirring in India. Today, India is said to be the third largest economy (in terms of purchase power parity) in the world. A series of ambitions economic reforms have deregulated the economy and stimulated domestic and foreign investment. The liberalization program has unleashed the vast potential of Indian economy. India's enduring institutions, which are rooted in the principles of democracy, ensure a transparent, predictable and secure environment for foreign investment. The existence of a free and vibrant press, an independent judiciary, a strong legal and accounting system and the use of English as the principal language of business and administration are some of the attractive features of the business environment. India possesses an abundance of qualified and skilled manpower, which makes it an ideal base for sourcing production, both for export and the huge domestic market. The private sector is the backbone of the economy, accounting for 75% of the GDP. The opening up of the economy, which has resulted in the entry of a large number of foreign companies, together with the increasingly global focus of domestic industry, has resulted in the dynamic growth and increased competitiveness of Indian firms. The role and importance of the private sector in India's economic development is rapidly increasing. Today, India is one of the most exciting emerging markets in the world.
Global Outsourcing Hub
Inspired by the Indian IT-ITeS success story, several other locations have been presented as alternate options for offshore outsourcing. However, feedback received from several MNCs having multi-country operations as well as syndicated analyses comparing the various sourcing locations has revealed that India continues to offer and deliver the best 'bundle' of benefits sought from global sourcing.
With significant potential still untapped, it is expected that the global sourcing phenomenon will continue to expand in scope, scale and geographic coverage. As global delivery matures, multi-location strategies will become the norm and most sourcing destinations, including emerging locations, will grow in size. Building on its existing strengths, India will remain the leading destination and will continue to play an important role in most global sourcing strategies.
In addition to the growth in scale, the portfolio of services sourced globally continued to expand into higher-value, more complex activities- further reinforcing the growing maturity of the global delivery model.