[영문] Where to invest in IT: China or India?
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- 2009.01.16
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- 2008.03
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외국에서 제출한 자료임. 중국과 인도 중 어디에 IT 투자를 해야 할 것인가를 다룸. McKinsey Quarterly, Knowledge Wharton 등의 자료를 근거로 직접 작성. 자유주제 writing 수업 과제로 제출하기 좋음.
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China and India are emerging markets to invest in Information Technology, filled with huge opportunity and risk. Both countries have different aspects in terms of providing good environment for investment.
Tarun Khanna, a professor in Harvard Business School, says in his article of the McKinsey Quarterly that the Indian government’s lower level of intervention in capital markets has created room for entrepreneurs. He says that entrepreneurialism has improved India’s institutional framework. Moreover, companies in IT, software, and outsourcing are exempt from labor regulations such as working hours and overtime. The government allows companies in IT, software, and outsourcing to be free from labor regulations. Strong education system and widespread knowledge of English can also act as advantages. However, poor infrastructure and small portion of foreign direct investment hinders investment in India.
China has also shown high trajectory of growth over the past few decades, especially in high-tech industry. Cheap labor and foreign direct investment have driven enormous innovation in the industry. Experts note, however, this development model has discouraged entrepreneurship.
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