South Asia

Our classmates explained the general characteristics of the countries that composed South Asia. The nations located in this region are: Afghanistan, Pakistan, India, Sri Lanka, Nepal, Bangladesh, and Bhutan. Islam and Hinduism are the dominant religion in the area. Their presentation was focused in India that is perhaps the most important country in the region.

India is one of the fastest growing economies in the world, and is consider to be one f the powerful nations of the earth in the near future. Its population has over 1 million people which make it the largest democracy in the world. The government has friendly relationships with the overseas companies; as a consequence it is one of the most attractive markets for outsourcing of products and services from other countries.

They also described the pharmaceutical industry which is one of the most important sector in India because the country has achieved great progress in science and technology. It is consider to be global powerhouse of generic drugs. However, the lack of protection for products patents has a significant impact on the Indian pharmaceutical industry.

To give a clear explanation, our classmates explicated a case about the Acquisition of Ganga by a foreign company. With that case they want to show how mergers and acquisitions are taking force in the country and how it has a direct impact on the culture.

In a nutshell, South Asia is gaining importance in the international arena. We have to acknowledge the cultural differences and the diverse managerial style in order to make successful negotiations. This region is now recognize due to the immense improvement in technology and services industry, every time more organizations are outsourcing its operations to countries like India.

Question:

What do you think are the reasons behind the fast-growth outsourcing industry in India?

India has become an outsourcing attraction because it is the second most populated country in the world and the advantage is that a big part of the population is young which translate in workforce. Also, India invests a great portion of the GDP in science and technology. The country counts with the most sophisticated software and infrastructure to provide services which allow them to offer low cost with high quality.

Indian Government has friendly relationships with companies overseas, so that encourages other companies to settle down its operation in the country. Another considerable advantage is that most of the population speaks English which is the universal language that make them lead comparing the others developing countries.

In a brief, Indian fast-growth outsourcing industry is due to these main factors: Low cost, language and workforce. Hence, India provides a great opportunity to companies to cut cost and maximize their profits.

References

• Photo taken from http://www.edupics.com/en-coloring-pictures-pages-photo-3-sadhus-hindu-holymen-in-nepal-i10944.html  May 12^th 2010
• Agarwal, Sanjeev, Thomas E DeCarlo, Shyam B. Vyas, & Source:. 1999. Leadership Behavior and Organizational Commitment: A Comparative Study of American and Indian Salespersons. Journal of International Business Studies, 30(4): 727-43