Location Attractiveness: Evaluation of Various Tier – II Cities in India for Potential Set up of Software R&D/ IT Services Center

  • ID: 1855114
  • Report
  • Region: India
  • 50 Pages
  • GrowthPraxis
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Knowledgefaber regularly conducts location attractiveness studies to help new players in devising market entry strategy and to help incumbent players in formulation of expansion plans Knowledgefaber research report titled “Location attractiveness: Evaluation of various Tier – II cities in India for potential set up of software R&D/ IT services center” maps the performance of ten Tier – II cities on 16 well defined and varied parameters and provides ranking to these cities indicating their attractiveness for setting up of a software R&D/ IT services center.

Knowledgefaber has conducted extensive studies for various Tier – I and Tier – II/III cities in India.

In this particular study, 10 cities were chosen from a list of 25 top cities in India, prioritized based upon client discussions and various filter (offshorabillity attractiveness index score, quantum of R&D investments, tier II cities, etc.).

Ten cities are – Ahmedabad, Bhubaneswar, Chandigarh, Cochin, Coimbatore, Goa, Indore, Mangalore, Thiruvananthapuram and Vadodara.

This study reports Bhubaneswar, Coimbatore and Thiruvananthapuram as the top ranked cities for setting up a software R&D/ IT services center primarily due to presence of an excellent supply of talent, presence of a well-established IT ecosystem, affordable office rentals and low cost of living and good support infrastructure.

This report is in the form of powerpoint slides, with each slide providing a visual (graph, network diagram, table, etc.) along with qualitative insights and analysis
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1. Research methodology

I. Identification of ten cities under the scope of the study

II. Research framework comprising of various parameters and sub-parameters

III. Research methodology adopted by Knowledgefaber

IV. Weights assigned to each parameter and sub -parameter

V. Rationale behind assignment of weights

VI. List of primary and secondary research sources

2. Evaluation of ten cities on key criteria

I. Infrastructure
a. Rental cost for office premises
b. Cost of living
c. Transportation (including access to railway station and airport)
d. Water and sanitation
e. Power
f. STP/SEZ parks
g. Climate

II. Political Situation
a. Corruption Index
b. State incentives

III. Industry Development
a. Number of software services and product companies
b. Number of IT employees
c. Presence of large IT companies

IV. Education
a. Educational institutions
b. Number of IT graduates
c. Employment trends
d. Relative position of salaries in ten cities

3. City - wise Score computation on a scale of 1 - 5

I. Ahmedabad

II. Bhubaneswar

III. Chandigarh

IV. Cochin

V. Coimbatore

VI. Goa

VII. Indore

VIII. Mangalore

IX. Thiruvananthapuram

X. Vadodara

4. Recommendations

5. Appendix

List of Charts & Graphs (KF Inclusion)

1. Rental cost for office premises in ten cities (INR per sq. ft.)
2. Cost of living index in ten cities
3. Transportation facilities in ten cities (international, domestic and intra city connectivity)
4. Per capita water supply availability and sanitation level in ten cities
5. Per capita power supply availability and power outages and deficit (qualitative) in ten cities
6. Number of STP/SEZ parks and total operational area under STP/SEZ in ten cities
7. Average rainfall, maximum and minimum temperature and other climate information for ten cities
8. Corruption index in ten cities
9. State incentives to IT units
10. Number of software services and product companies in ten cities
11. Number of IT employees in ten cities
12. Number of large, medium and small IT companies in ten cities
13. Number of Engineering & MCA and other colleges in ten cities
14. Number of fresh Engineering & MCA and other graduates passing out in ten cities
15. Employment trends in ten cities
16. Relative salary levels for senior software engineer in ten cities (with Bangalore as base city)
17. Relative salary levels for entry level software engineer in ten cities (with Bangalore as base city)
18. Attractiveness score for each of the ten city
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