Recommendations:

Invest in Tier II cities to tackle

the rising costs in Tier I cities.
Redefine the training models to
keep the costs low and make
fresh talent productive faster
Value based pricing model should
be implemented
Choose long term contracts for
sustainable growth
Mergers & acquisitions of product
driven companies
Service models like Cloud, ondemand services and SaaS
should be used as they help to
reduce infrastructure costs and
provide scalability on demand
Provide incentives, educational
support, accommodation
benefits, career counseling,
mediclaim insurance schemes,
etc., to employees to reduce

>Dependency on
macroeconomic
factors

>Countries like
China and
Philippines
offering low cost
services

>Low barriers to
entry
>high level of
competition

Proble
m
analys
is

>High cost of
recruitment and
training new
employees

>Huge workforce
making the
management
process more
complex.
>Attrition
>Wage inflation