International Trade in Services.pdf - DSpace at Khazar University

Exporting Information Technology Services: In the Footsteps of India 241
for market access commitments at home. Some of the current requests for Mode 4
market access include the removal of economic needs tests, numerical quotas on
work permits, and wage parity requirements; enhanced transparency of Mode 4
commitments; and special provisions to facilitate the renewal of temporary work
permits (see WTO 2005).
Establish a professional private industry association
to promote the sector
The international market for IT services is highly contested. Leading IT service
multinationals from high-income countries, including Accenture, CapGemini,
Deloitte, HP, IBM, and LogicaCGM, increasingly compete for business with predominantly
Indian multinationals such as Infosys, TCS, and Wipro. There is also a
host of companies headquartered in high-income countries with most of their
human resources based in low-income countries, such as Cognizant, Lancesoft,
and Syntel. In addition, a number of IT service companies in various emerging
markets are starting to reach a respectable size, including China’s Neusoft, Israel’s
Ness Technologies, and Russia’s Luxoft. For companies in developing countries
that have yet to establish themselves as international IT service providers,
increased visibility and trust are key ingredients in raising interest and awareness
and in attracting investment and business. An industry association can play a key
role in this process by providing essential services such as the following:
• Collecting and disseminating information about the sector to increase transparency
and provide vital market intelligence for media, prospective computer
engineers, job seekers, local and foreign companies, and prospective clients
• Organizing international trade fairs to reach out to prospective clients, raise the
industry profile, provide networking opportunities, and promote exports
• Organizing workshops to educate members and foster operational excellence
• Promoting the use of professional certificates for IT staff to raise quality standards
and awareness among the professionals in the industry and make the staffs
more attractive for prospective greenfield investments by leading foreign IT
service companies
• Promoting the use of international quality standards in project management to
aim for operational excellence and present objective benchmark indicators to
foreign clients, who may doubt the maturity of the local industry. Software
Engineering Institute–Capability Maturity Model Integration certification and
International Organization for Standardization certification for data privacy
and security are common yardsticks
• Initiating public-private partnerships to promote improvements in technical
training to raise the quality and quantity of graduates with computer skills,