On The Indian IT Industry's Experience And The Implications To China

Since the 90's of 20th century, by the continued effective support of the Indian government's industrial policy, the software industry becomes the leading Indian IT industry which based on the human cost advantage has been rapidly developed by the Indian government, enterprises, trade organizations, universities and training institutions'joint efforts through the development of software technology zones, strict enforcement of intellectual property protection and the active role of the trade associations. India's software production in 1990 is from 50,000,000 U.S. dollars to an increase of 12 billion U.S dollars of export value in 2004, the value is over 200 times and the annual growth rate is of more than 50%. At present, India who holds 16.7% value is the second big country in the global software development market only secondary to the United States. Our country is currently under the way to optimize and upgrade industrial structure; the development of software industry which learns from India's successful experience has far-reaching significance for the development of China's software outsourcing industry and the implementation of economic sustainable development.This paper discusses the following four parts:The first section describes the basic theory of the IT industry. This section starts from the definition of the industry and the information technology on the IT industry. IT refers to information technology. IT industry also known as the information technology industry or information industries, and generally refers to the modern information equipment manufacturing as well as the use of these devices for information collection, storage, treatment and services departments combined. Information society is the leading industries. Information Economics is put forward by Stigler (G. Stigler) in his published thesis Information Economics in 1961. In 1962, American economist F. Machlup (1902-1983) first put forward the "knowledge industry" concept which basically reflects the main features of the information industry in his classical works United States of Knowledge Production and Distribution. It includes education, science research and development, communications media, information infrastructure and information activities in five areas. Stanford University doctor, economist M.V.Porat conducted a further study, formally proposed concept of the information industry on the basic research results of Machlup. With the socio-economic development and modern information technology innovation, information industry has become the most affected industries in country's economy. The level of development of information industry has become the important yardstick of a nation's comprehensive strength. Because of the continuous development and innovation of IT, the applications of IT in each country is different, so IT industry's connotation and extension are ever-changing and expanding. This is also for the IT industry to define the scope of providing a certain degree of difficulty. More international representations of the principal on the current are the provisions regarding the information industry in North American Industry Classification System, the definition of OECD regarding the information and communication industry, the definition of the Information Industry by Ministry of Commerce of United States, the defined information of the IT industry by the United Nations Statistics members and so on provide a reference for States to define their own IT industries. Reference to the United Nations'definition of information industry and communication industry in 2004 by our country, we issued "Statistical information on classified Provisions related industries" by the National Bureau of Statistics.The second section describes the background and the status of the development of IT industry in India. The strategy implemented by India of the science and technology making a country strong with developing software as the leading IT industries with the domestic and foreign environmental inseparable at that time. Since the 80's in 20 centuries, along with the gradual deterioration of India's international receipt and expenditure and the domestic economy, the population problem facing the Government of India has become a major problem. 40% of people living below the poverty line, illiteracy of the population accounted for about 48 percent of the total population. In addition, energy issues, environmental issues and so on also make the Government of India enjoy the harassment. How to resolve these problems? Government of India and domestic scholars fixed the positioning of science and technology making the country stronger to strategic height. The successful experience of developed countries shows that science and technology are fundamental to the success. For repressing the population and eradicating of poverty, education is an effective way to resolve all these problems. By improving the quality of people through applying the most advanced technique of IT to the field of education, population pressure will be translated into talent advantage. Now computer starts to be universal within the scope of the world, but there is a huge gap in software talented person with language and information technology abilities. And all these provide the power and opportunities for the India's software industry development. So Rajiv Gandhi Government in 1984 introduced a "calculator software exports, software development and training policies", which became an important turning point of India's computer software industry. Since then, successive Indian governments have steadfastly implemented strategic IT talent big countries, India IT industry has been booming development.The third section describes the main approach of the development of IT industries in India. From a poor, developing countries become major exporter of software, the Indian software industry can not develop without the support of the Government's effort. The main experience of the Government of India has: Country accurate positioning, sustained and pragmatic policy support, including positive developments in software technology, high-end model of personnel training, strict enforcement of intellectual property protection. In addition, the trade organizations in Indian IT industry play an irreplaceable role during the development process.The fourth section elaborates the development of IT industry in India to the apocalypse of our country. Compared with India, our country has the same advantages of low labor costs, even having more comparative advantage on the number of IT professionals, education scale, the number of enterprises, and the infrastructure of basic information. However, the decoupling of IT talented person training and market demand, the inadequate protection of intellectual property rights, the weak of software enterprise scale, the lack of competitiveness, such as the drawbacks of our country has become a bottleneck in the development of the software industry. Learning from India's successful experience for our country, the article provides the following enlightenments: the first is to speed up the development and refinement of industry promotion policy; the second is to strengthen intellectual property protection; the third is to create talented person development models, cultivating and reserving high-quality innovative talents; the forth is to strengthen the construction of'the base city'and the industrial park, and improve the degree of aggregation of software service outsourcing industry; the Fifth is to actively set up and improve the trade associations and organizations; The sixth is to support enterprises to be bigger and stronger, nurturing an international brand of Chinese Service .