C/W. Qu: Why is Bangalore Booming?

Transcription

1 C/W Qu: Why is Bangalore Booming? 6/11/13 Aim: To describe and explain how the globalisation of services is leading to Bangalore becoming a growth pole in India Starter: Describe the location of Bangalore or 'Bengaluru' [3] Karnataka State 1

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9 Activity DVD 35 Only watch Qs Do the rest in the world cities unit 9

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11 Reaching remote, rural India BBC News 20th May 2012 Bringing the Internet to Rural India More than half of India's population live in rural areas and off the map villages. Most are remote and too isolated to benefit from the country's impressive economic progress. Yet there's a growing desire among people in rural India to be part of its modernisation process "India is a country which has more than 600,000 villages and connecting these areas with internet broadband will have a paradigm shift," says Sachin Pilot, the minister of state for communications and information technology. Women working at home Those living in rural areas account for over half of the total population of India Increasingly the government is looking at better ways to reach remote, rural India. And it is hoping that technology will provide a solution. "It's time for our IT roots to go further inland and make sure that those areas which are tribal, rural and far off geographically are brought to the ambit of the IT revolution," says Mr Pilot. "It's the last mile delivery that's always been a challenge for India." India's digital divide While the country boasts the world's second fastest growing mobile market, it is lagging behind when it comes to internet connectivity. According to a new study by the British risk analysis firm, Maplecroft, India is at 'extreme risk' from a lack of 'digital inclusion.' The country's IT revolution is sometimes thought to benefit only the better off. According to the study, a lack of digital inclusion could hamper the country's economic potential as well. Sachin Pilot, Minister of State for Communications and Information Technology The government is trying to educate people about the advantages the internet brings, says Sachin Pilot But while India is trailing the BRIC nations of Brazil, Russia and China in the drive to get its population connected to digital technologies, the government says it has big plans. By 2014, it wants to connect 160m Indians to hi speed internet. Through a range of public services, it's hoping to bridge the digital divide and bring awareness to those who are missing out on India's IT revolution. "The challenge before all of us is to create the demand among people to want these data heavy intensive services," says Mr Pilot. 11

12 asia india inc link between Bangalore and Tesco With top universities and leading technology firms, one positive spill over has been the growth of a thriving knowledge economy in India. Plenty of big ideas, talent, and entrepreneurial drive, have turned Bangalore into a hotspot for home grown innovation, as Shilpa Kannan has been finding out. 12

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14 Outsourcing India India is located in South Asia and according the 'Global Services Location Index' is the most attractive location in the world to locate global services, including IT. Although New Delhi is the capital of India and Mumbai its financial centre, it is actually Bangalore (Bengaluru) that has become its most important IT centre. Bangalore has a population of 8.4 million and is known by some as the 'Silicon Valley of India'. Bangalore is found towards the south of India. It has a new international airport (Bengaluru International Airport) that opened in 2008 and it has quickly become India's fourth busiest airport. The city is also in the process of building a 42km (41 station) rapid transit system and the city is also connected to the Indian national railways system. The city also has an extensive bus network and an improving road network. In recent years Bangalore has become India's most important centre for hi tech industries. The government has aerospace, defence, IT, software and telecommunication research facilities based in the city. This has meant that Bangalore has enjoyed sustained growth nearing 10% per annum and now has India's third highest GDP per capita. As well as enjoying domestic investment, Bangalore has also enjoyed FDI. Bangalore's BPO clients now include; Reuters, HSBC, Dell, JP Morgan and Citi. Their ITO clients also include Microsoft, Google, Yahoo, Cisco, Samsung, Motorola and Intel. Bangalore has managed to attract FDI and become home of IT outsourcing for a number of reasons including: > Most Indians speak English either as their first or second language > India has a growing number of high skilled graduates > Indian workers are prepared to work unsociable hours (night shifts to coincide with working hours in Europe and US). > Indian pay is lower > They have strong historical links with UK and other commonwealth countries > They are a democracy > Bangalore is home to some of India's best universities e.g. Indian Institute of Science > India has improving transport and communication links > India is an emerging market > Reputation and growing success > Geographical location near to Europe, Middle East and East Asia 14

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16 1. From the June 2010 paper: "For either China or India, explain the recent growth of industries in that country." (8 marks) 16

17 Homework: Due Tues 11th Complete HW 11: India 8 Marker "Explain how the Globalisation of tertiary industries has helped the economic growth of formerly less developed countries such as India. " 8 Exam = 2.5 hrs Marks = 90 see next slides for tips/info Time per mark = 1.6 mins You should spend 13 minutes writing this question 17

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19 b Explain how Globalisation of tertiary industries has helped the economic growth of formerly less developed countries such as India. 8 (b) Notes for answers Globalisation involves an opening up of markets to trade, easier flows of capital between countries and, to a lesser extent, freer movement of labour This has also been linked to improvement of global communications networks which have facilitated increased flows of information, capital etc. At first India benefitted from globalisation because it was able to provide low level services such as the provision of call centres These were largely based on the lower labour costs and lower overheads in India This rapidly developed to move into the provision of software and the planning and management of communication networks This growth was facilitated by the well educated and dynamic nature of part of India s workforce The state had always supported education but increased investment in this sector of education India had a strong entrepreneurial class References to companies such as Infosys Technologies and places such as Bangalore would be worth credit Other services developed in India include the film and entertainment industries based in Bollywood The movement of Indians to other areas, especially Europe and the USA has helped to create a rich, international market for such service industries Similar examples from countries other than India could be used in the answer Tourism is one of the biggest industries in the world now. Globalisation has aided the growth of tourism in many poorer countries and examples could be quoted to illustrate this. For instance the growth of tourism to China in the period around the 2008 Olympic Games. Mark scheme Level 1 (1 4 marks) Simple statements of description. Depth of understanding in the comments and suggestions is limited and does not rise beyond a basic level. Case studies are basic and show a limited knowledge and a limited ability to use knowledge to support and argument. Level 2 (5 8 marks) Detailed statements of description, with clear reference to one or more case studies. There is a clear understanding of at the ideas linked to globalisation in general and to the development of the case study country(ies) in particular. 19

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