KQ2: Bangalore, India - Socio-economic development & IT industry Flashcards
What factors led to the development of the IT industry in Bangalore? (6)
- Bangalore has a population of 8.5 million and 10% of popn. are employed in IT industry.
- Accounts for 20% of exports in India and 7.5% of GDP.
- Able to grow without govt. interference so not subject to govt. licences.
- The business ‘Infosys’ employees in the 1990’s due to govt. reforming foreign trade agreements, could now travel abroad easily to develop links with clients in America and Europe.
- Increased internet connectivity and broadband speeds increasing, meant software could be developed.
- Growing middle class invested in private education for children - increasing qualification levels and applicants to university, more highly skilled workforce in Bangalore.
How does the IT industry promote development? (5)
- In 1980’s, the Indian govt. established Bangalore as a ‘science city’ and provided incentives for private sector firms to establish there.
- Infosys was one of them: India’s second largest IT company, employing 150,000 in 67 offices around the world, headquarters extends over 80 acres of Business park in Bangalore - ‘Electronics City’.
- Companies like Infosys have helped Western countries with software products.
- Growth of these industries has led to growth of transport and education and infrastructure, as well as raising incomes.
- Provided employment for 2.3 million directly and further 6.5 million indirectly.
What does the IT industry mean for India as a whole? (5)
- 69% of Indians still live on less than $2 a day.
- 1/3 of population is illiterate.
- Only 10% of workforce are in the formal sector.
- Industry is limited to this area where middle class are better educated/qualified.
- CAN help India’s development, however very limited.
India’s development - Political factors? (2)
- Government spends more money on subsidising fertilisers than on ALL public health care!
- As many as 600,000 foetuses are aborted each year because they are female.
India’s development - Social factors?
- 400 million people have no electricity.
- Sanitation and public hygiene are awful, especially in the North - deaths from diarrhoea.
- Twice as many Indian children (43%) as African children go hungry - even as obesity and diabetes spread in the rich.
- Extreme poverty - deaths in childbirth.
- A survey of state schools shows that no teaching activity was found in half the schools in 7 big northern states - so even the poor prefer private tuition, because at least the teachers show up…
India’s development - Economic factors?
- Taxing gold and diamond imports would bring in nearly $10 billion revenue annually.
- Fuel subsidies are costly and only help the better off.
- Suffered from economic growth but seen a steady upturn since early 1990’s.
What is Bangalore’s population?
8.5 million
What percentage of people in Bangalore are in IT industry?
10%
What does the IT industry account for in India as a whole? (exports etc.)
20% of exports and 7.5% of GDP.
When was the ‘Science city’ established?
1980’s
Facts about Infosys?
India’s second largest IT company, employs 150,000 in 67 offices around the world, headquarters extends over 80 acres of Business Park - ‘Electronics City’.
How many people has the IT industry provided employment for?
2.3 million directly and a further 6.5 million indirectly.
How many Indians live on less than $2 a day?
69%
How much of popn is illiterate?
1/3
How much of workforce is in formal sector?
10%