ITeS Hot Cities

Surprise,
Surprise. Hyderabad and Kochi top the list of hot cities. With a
strong policy initiatives, proactive state governments, good
infrastructure and cost effective manpower availability have put
these cities on top of the list. However, Mumbai and NCR, where the
ITeS action is, find themselves at the bottom of the list partly
because of the high cost of manpower and low policy support.

Bangalore
and Hyderabad with their IT friendly governments are prefered by
people keen to look at new locations for setting up units. However
cities with labor issues (Kolkata) and riots (Ahmedabad) are at the
bottom of the list and hence have not seen much ITES activity.

No
brainer. Mumbai with premium pricing is at the bottom of the list
while unexplored Kochi at the top.

Inspite
of being at the bottom of the list in terms of manpower rates, NCR
and Mumbai have been able to attract the ITeS players. This is
primarily due to that fact that employees in these cities are easier
to convert to the American accent compared to the Southern cities
where ITeS players have to spend more time, money and resource on
speech training. However, these cities could emerge as hot spots for
backend work where manpower cost will be a key issue with hardly any
interaction with the end customers.

Go
where you start. Clearly, the high level of entrepreneurial, read
startup activities in cities like Bangalore, Mumbai and New Delhi
has placed them at the top of the list. On the contrary, look at
cities like Kochi, Kolkata and Ahmedabad and you will try hard to
remember successful startups from these cities. No brainers why they
are at the bottom of the list in this category.