Business of Dell in India

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The liberalization improved the scope for private investment. Along with private investments, the quality of service also improved as accountability is always a major concern for private ownerships. As the telecom networks and services improved in India, it opened the floodgates for the growth of the information technology-enabled services in India. Along with this, the launch of a new telecom policy by the government of India in 1999 which introduced internet protocol telephony, led to the rapid growth of the information technology and information technology-enabled services, popularly known as IT/ITES.

As the external environment for IT and ITES industries grew at the vehement rate, the leading global players started to view India as the preferred destination for their services. Dell Computers, once the largest producer of personal computers was not an exception either. Established by Michael Dell, the company chose Bangalore as the favored place to inaugurate operations in India.

As the growth of the encouraging external environment of India has been analyzed in the previous part. there were more reasons to choose India as the preferred destination by the IT major like Dell. At the outset I early 2001, Dell started its venture in India with the customer contact center at Bangalore. The customer contact center of Dell Computers provided customer care to customer care, technical support to sales and back-office operations for finance-related transactions. For such jobs, the company required persons with sound technical knowledge and English speaking capability. And populace with such attributes was found huge in India. In addition to that, the cost of employment (which contributed to around 60% to 70% of total operating expenses in the west) was also much lower in India. The research reports suggest that in the well educated and English speaking Indian work.