4.

5 SWOT ANALYSIS OF SOFTWARE INDUSTRY

Strengths Weaknesses
• Highly skilled human resource • Absence of practical knowledge among
• Low wage structure fresh graduates
• Quality of work • Dearth of suitable candidates
• Initiatives taken by the Government • Less Research and Development
(setting up Hi-Tech Parks and • Contribution of IT sector to India s GDP
implementation of e-governance is still rather small.
projects) • Employee salaries in IT sector are
• Many global players have set-up increasing tremendously. Low wages
operations in India like Microsoft, benefit will soon come to an end.
Oracle, Adobe, etc.
• Following Quality Standards such as
ISO 9000, SEI CMM etc.
• English-speaking professionals
• Cost competitiveness
• Quality telecommunications
infrastructure
• Indian time zone (24 x 7 services to
the global customers). Time
difference between India and
America is approximately 12 hours,
which is beneficial for outsourcing of
work.
Opportunities Threats
• High quality IT education market • Lack of data security systems
• Increasing number of working age • Countries like China and Philippines
people with qualified workforce making
• India ‗s well developed soft efforts to overcome the English
infrastructure language barrier
• Upcoming International Players in • IT development concentrated in a few
the market cities only

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