How IT companies can succeed in India?

In my previous blog I expressed things for the IT companies of Indian origin and headquartered in India. Here I share what I feel other companies who are interested in doing business for/ in Indian market.

Cost sensitivity
Whether you like it or not; many smaller Indian businesses who form a big volume of the Indian IT consumption do not like to pay as much for the software as what it costs today. They do not mind paying for hardware but general tempo is that software should come cheap or for free. I am not putting blame on them; but trying to analyze why is that the case. First, majority of business software readily available today is made outside India. Quite naturally, it would be catering more to the needs and operating environment of the businesses outside India. If such software fails to deliver value, why would any business want to pay hefty sum just for some conveniences or partial needs addressed? There cannot be any shortcut to address this but to tailor make products for the Indian market. This may mean:

1. cutting unnecessary features: Windows Starter Edition by Microsoft is an example
2. or re-design to take into account the market specific needs: EN3500 'First Made in India Router' by BA Systems is a good example.