US ECONOMY: ITS EFFECT ON INDIA

Initially most people came to India to figure out a low cost delivery system. In the last 18 months many of these clients are expanding rapidly in India not because of lower cost delivery capabilities but because of its proximity to China -'the other centre of gravity of global economy'. Indian market is highly co-related to the economy. It is true that the US slowdown is hitting certain sectors. What is more worrisome is the depreciation of the dollar it is a direct hit on margins at 12 to 15 per cent. (Ranjan Sinha, founder, Summit HR Worldwide).