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    Wipro Case Study

    Uploaded by

    Nisha Bhagat
    The document discusses how outsourcing work to Wipro helped General Electric compete globally by reducing costs and increasing efficiency. It allowed GE to gain local knowledge to enter markets like India. While outsourcing harmed American workers whose jobs were sent overseas, it benefited GE and helped create opportunities for Indian companies like Wipro to grow. As Indian IT companies prospered, the income differential between US and Indian software programmers began to equalize as demand for both increased. For Wipro to continue growing, it adopted a strategy of establishing offices globally to be closer to clients and gain a local presence in key markets.

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    Download as PPTX, PDF, TXT or read online from Scribd

    Wipro Case Study

    Uploaded by

    Nisha Bhagat
    1K views10 pages
    The document discusses how outsourcing work to Wipro helped General Electric compete globally by reducing costs and increasing efficiency. It allowed GE to gain local knowledge to enter markets like India. While outsourcing harmed American workers whose jobs were sent overseas, it benefited GE and helped create opportunities for Indian companies like Wipro to grow. As Indian IT companies prospered, the income differential between US and Indian software programmers began to equalize as demand for both increased. For Wipro to continue growing, it adopted a strategy of establishing offices globally to be closer to clients and gain a local presence in key markets.

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    wipro case answers

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    The document discusses how outsourcing work to Wipro helped General Electric compete globally by reducing costs and increasing efficiency. It allowed GE to gain local knowledge to enter markets like India. While outsourcing harmed American workers whose jobs were sent overseas, it benefited GE and helped create opportunities for Indian companies like Wipro to grow. As Indian IT companies prospered, the income differential between US and Indian software programmers began to equalize as demand for both increased. For Wipro to continue growing, it adopted a strategy of establishing offices globally to be closer to clients and gain a local presence in key markets.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    1K views10 pages

    Wipro Case Study

    Uploaded by

    Nisha Bhagat
    The document discusses how outsourcing work to Wipro helped General Electric compete globally by reducing costs and increasing efficiency. It allowed GE to gain local knowledge to enter markets like India. While outsourcing harmed American workers whose jobs were sent overseas, it benefited GE and helped create opportunities for Indian companies like Wipro to grow. As Indian IT companies prospered, the income differential between US and Indian software programmers began to equalize as demand for both increased. For Wipro to continue growing, it adopted a strategy of establishing offices globally to be closer to clients and gain a local presence in key markets.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 10
    At a glance
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    The key takeaways are that outsourcing helped GE reduce costs and increase efficiency to compete globally. It also provided local knowledge for GE to enter India and other Asian markets.

    With the help of outsourcing GE was able to reduce the cost of labour. It will also help to increase the efficiency of GE to compete in the global market. It help General Electric to get local knowledge to enter in to the India market and also in other Asian market.

    GE provide work to Wipro. It provided a management model (six-sigma) for Wipro to emulate and learn GE starts giving work to other Indian companies which will make pressure on Wipro, in that response Wipro increase the efficiency and quality of work. GE provide good will to the Wipro which will help them to get an business from other multination companies.

    Group No.

    1 Suchit Pratik Nisha Roshni Vikram Rishikesh

    How did outsourcing work to Wipro improve General

    Electrics ability to compete in the global economy?

    With the help of outsourcing GE was able to reduce the cost of labour. It will also help to increase the efficiency of GE to compete in the global
    market.

    It help General Electric to get local knowledge to enter in to the India market
    and also in other Asian market.

    Does such outsourcing harm or benefit the American economy?

    Outsourcing of work harm the American workers whose jobs were


    outsourced

    Did General Electric help to create Wipro? How?

    GE provide work to Wipro. It provided a management model (six-sigma) for Wipro to emulate and learn GE starts giving work to other Indian companies which will make pressure
    on Wipro, in that response Wipro increase the efficiency and quality of work.

    GE provide good will to the Wipro which will help them to get an business
    from other multination companies.

    If Indias IT companies continue to prosper, over time

    what do you think will happen to the income differential


    between software programmers in the United States and India?

    If Indias IT companies prosper, and demand continues to increase, wage


    rates will equalize between the U.S. and India because given the population differentials, it is likely that new U.S. programmers will be paid less that formerly. Moreover, as demand for Indian engineers grow, assuming insufficient supply of skilled Indian engineers, the price (wage) of such engineers will rise.

    If wages will still not equalize because it is possible that U.S. programmers
    will move on to higher-paid, higher level jobs so that the income differential will not equalize.

    If wages will still not equalize because the world is not limited to India and
    the U.S., and other low-cost, highly skilled countries (such as China) may step in with a fresh supply of engineers and prevent Indian software engineer wages to rise completely to US levels.

    What are the implications for the American economy?

    The implications for the American economy are a downward


    pressure on wages

    The price of software will decline. If routine programming is done in India, U.S. programmers can thrive by
    focusing on more innovative work, higher-skilled activity.

    Since 2000, Wipro has moved abroad, establishing sales

    offices in 35 nations and design centers in nine. Why is


    Wipro doing this?

    Wipro is developing client relationships that can facilitate the import of


    labor into India.

    Wipro has learned that it is important to avoid the mistakes which is


    committed by the US firms i.e. situated far from the client. Wipro wishes close to the client so that they can know what client actually want.

    Wipro also wishes to create the value chain in the IT business not only
    doing normal work gave to it but also by doing more profitable project.

    Wipro wants to have a local presence by hiring local nationals who


    understand the local market.

    What would happen to the company if it did not follow this strategy?

    If Wipro did not get close to its client, they would have slower growth and
    loss of competitive advantage.

    What does the rise of Wipro teach you about the nature

    of the global economy in the first decade of the twenty


    first century?
    Wipro has a competitive advantage in terms of cost, but it needs to reinvest some of their gain into closer relationships with the client.
    Face-to-face still matters and even in the midst of globalization, it is still necessary to customize to your clients particular preferences.

    Just like Wal-Mart suppliers who locate representatives in Bentonville, GA (this is where Wal-Mart is headquartered), Wipro has discovered that it needs a local presence.

    ANY QUESTIONS

    THANK YOU

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