Index Investing News
Thursday, May 29, 2025
No Result
View All Result
  • Login
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
No Result
View All Result
Index Investing News
No Result
View All Result

Growth of GCCs in India’s tier-2 to be driven by smaller GCCs

by Index Investing News
March 4, 2024
in Financial
Reading Time: 4 mins read
A A
0
Home Financial
Share on FacebookShare on Twitter


The growth of Global Capability Centres (GCC) in India’s tier-2 cities is being bolstered by the establishment of smaller GCCs, primarily by smaller multinationals and others. The proliferation to small towns is also aided by the expansion efforts of existing companies looking to diversify, and leverage talent and cost benefits outside major cities, according to data and estimates from ANSR, an end-to-end GCC solutions provider.

Presently, India has around 1,600 GCCs, with about 150 of them located in tier-2 cities. Ahmedabad, Mysuru, Vadodara, Nashik, Tirunelveli, Bhubaneswar, and Coimbatore have so far emerged as hubs. In the near term, a 30-40 per cent increase in demand for GCCs in tier-2 cities is expected, the company added.

  • Also read: Bengaluru contributes 37% to total GCC demand: Colliers

Vikram Ahuja, Co-founder ANSR, CEO Talent500, said, “The demand will be driven by companies setting up in India for the first time, focusing exclusively on a tier-2 strategy and without the need for a large setup. Companies aiming to have a presence of about 400-500 people will be more gravitated towards small cities.”

Availability of talent, lower cost, and government incentivisation are some of the factors helping the budding growth of India’s small town story in the GCC landscape. Ahuja notes that increasing government incentives to companies for setting up a base in tier-2 cities promotes companies to establish a base.

He also points out that a sizable amount of talent has stayed back in smaller cities post-Covid, providing companies with a good talent pool to leverage. Additionally, the setup and talent costs are comparatively lower in tier-2 cities too.

  • Also read: How India can enhance the presence of Global Capability Centres

Tier-2 cities typically have a 10-35 per cent lower cost of living as compared to the nearest tier-1 location. At present, 11-15 per cent of India’s tech talent resides in tier-2 and tier-3 cities, and talent pool costs are 25-30 per cent lower than those in mature hubs, with a 50 per cent cost savings in real estate rentals compared to mature hubs.

“We believe that by harnessing differentiated talent from tier-2 cities, we can drive innovation and foster excellence in our industry. We recently set up our centre in Bhubaneswar where we have a sizable chip design engineers and Electronic Design Automation engineers responsible for high-tech roles. Our commitment extends beyond metro cities as we tap into diverse talent pools across emerging regions,” Shivananda R Koteshwar, Vice President, Synopsys Inc, said.

This is in addition to the existing growing trend of multinationals present in tier-1 cities looking to diversify their presence. “While cities like Bangalore do phenomenal wonders for companies’ phase one growth, some of them are starting to think about what phase two looks like and are considering setting up in smaller cities to take advantage of talent at lower costs,” Ahuja said.

SHARE

  • Copy link
  • Email
  • Facebook
  • Twitter
  • Telegram
  • LinkedIn
  • WhatsApp
  • Reddit

Published on March 4, 2024





Source link

Tags: DrivenGCCsGrowthIndiassmallertier2
ShareTweetShareShare
Previous Post

For a growing number of Latinos, homebuying is a family affair

Next Post

LRE on Tour 3/1

Related Posts

Adani Ports’ Rs 5,000 Crore Bond Sale Attracts LIC’s Curiosity, Say Reviews

Adani Ports’ Rs 5,000 Crore Bond Sale Attracts LIC’s Curiosity, Say Reviews

by Index Investing News
May 29, 2025
0

Adani Ports & Particular Financial Zone Ltd.'s document rupee bond supply value Rs 5,000 crore noticed curiosity from Life Insurance...

FSSAI asks meals corporations to take away “100 per cent” declare from labels

FSSAI asks meals corporations to take away “100 per cent” declare from labels

by Index Investing News
May 29, 2025
0

The Meals Security and Requirements Authority of India (FSSAI) has requested meals and beverage corporations to take away the time...

Infosys shares up 2% as dividend deadline looms: Final probability at present to purchase inventory for Rs 22 per share payout

Infosys shares up 2% as dividend deadline looms: Final probability at present to purchase inventory for Rs 22 per share payout

by Index Investing News
May 29, 2025
0

Shares of Infosys Ltd rose as a lot as 2.3% to Rs 1,609 on Thursday, as traders scrambled to purchase...

Nvidia’s CEO blasted Trump coverage that can price the corporate .5 billion—then praised Trump’s ‘daring imaginative and prescient’ minutes later

Nvidia’s CEO blasted Trump coverage that can price the corporate $10.5 billion—then praised Trump’s ‘daring imaginative and prescient’ minutes later

by Index Investing News
May 29, 2025
0

© 2025 Fortune Media IP Restricted. All Rights Reserved. Use of this web site constitutes acceptance of our Phrases of...

Gen Merch Retailer Case Research

Gen Merch Retailer Case Research

by Index Investing News
May 28, 2025
0

Managing unmanifested, big-and-bulky buyer returns is a problem for even the most important retailers. Counting on a single purchaser could...

Next Post
LRE on Tour 3/1

LRE on Tour 3/1

DHS: Dividend Stocks Returning To Favor As Mag-7 Luster Languishes

DHS: Dividend Stocks Returning To Favor As Mag-7 Luster Languishes

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED

Expedia Group: Travelling Toward Recovery And Breakout From The US (NASDAQ:EXPE)

Expedia Group: Travelling Toward Recovery And Breakout From The US (NASDAQ:EXPE)

April 5, 2024
Roman Reigns makes a huge decision regarding Sami Zayn ahead of WWE Royal Rumble 2023

Roman Reigns makes a huge decision regarding Sami Zayn ahead of WWE Royal Rumble 2023

January 29, 2023
Tencent Music opts for Hong Kong listing by introduction, to debut next week By Reuters

Tencent Music opts for Hong Kong listing by introduction, to debut next week By Reuters

September 15, 2022
Brazil Rolls Out National Digital ID Powered By Blockchain

Brazil Rolls Out National Digital ID Powered By Blockchain

October 1, 2023

China throws Europe an energy lifeline with LNG resales

August 30, 2022
Covid-19 statistics: The question of rational thinking and science

Covid-19 statistics: The question of rational thinking and science

July 15, 2022
SA Asks: Which protection inventory is the perfect long-term funding? (NYSE:RTX)

SA Asks: Which protection inventory is the perfect long-term funding? (NYSE:RTX)

September 8, 2024
San Juan Islands consider annual tourism fee for residents, visitors

San Juan Islands consider annual tourism fee for residents, visitors

October 29, 2023
Index Investing News

Get the latest news and follow the coverage of Investing, World News, Stocks, Market Analysis, Business & Financial News, and more from the top trusted sources.

  • 1717575246.7
  • Browse the latest news about investing and more
  • Contact us
  • Cookie Privacy Policy
  • Disclaimer
  • DMCA
  • Privacy Policy
  • Terms and Conditions
  • xtw18387b488

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

No Result
View All Result
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In