2005-05-16

Pleasing Answer to India's Caution on Cooperation with China

When visiting India's technology hub of Bangalore in April, China's Premier Minister, Wen Jiabao, called for the close ties and cooperation on Information Technology with India. And he hoped that the"Asian Century"can be smoothly launched under the cooperation.

The India IT leaders were worried whether the environment in China is good for them to do such business, because there were hurdles to be overcome. First of all, they thought China 's legal system is not clear and detailed on the Intellectual Property. They hope their branches firms and products in China could gain enough legal protection. Second, language is another barrier. Because most (over 50%) Indian software firms were used to dealing with American, which offers them an entire English environment, while there are not many English speakers in China, which would be an obstacle for communication. Third, they found that Chinese government is partial to the domestic firms than the foreign ones, which was also a hurdle. But now, they are very delighted that Chinese government has decreed some beneficial policies, with offering the level-playing field for them. As to the language, they also pleased found that China is catching up, to shorten the language distance.

10 years ahead of China in finance while 25 years behind in infrastructure indicates India should cooperate with China. Also the common point in a great amount of cheap and skilled labors shows their cooperation is necessary. Only cooperation can be the key to success despite the hurdles.

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