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Lakhota Hill

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Submitted By narpat289
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GLOBANT
Question:
* Problem Globant facing to become global company * Sales cycle of IT off sourcing company * Discuss the opportunities and provide the best suited opportunities for current.

Back ground: GLOBANT is an IT firm in Argentina focusing in off sourcing. In current they have the 600 employees and 3million monthly revenue in 2010.
Situation Analysis:
Current Cons: * They don’t know their country’s client. * Fear of criminal activity and political instability. * Language issue * Marketing strategies are very basic and only word of mouth, with which globalization is very difficult.

Currently they are thinking to provide the portfolio of services. * Software development * Infrastructure Management * Globalization
Culture:
* Their culture is very informal. * 8% below industry average employee turnover * Culture was very creative basis but very informal * HR are working in 3 different part * In personal benefit * Professional Growth * Personal trainer

As we can see in the exhibit 4 the growth of an IT in USA is very high. And in 6 we can see that the criteria of selecting the off sourcing are very hard of access with current situation.

Reason for IT outsourcing project fails and success will help us to know more inside of out sourcing business. Exhibit 7

Compotators in Global market * TCS –very big compotator from India with 90000 * Luxoft from Europ-3000 employee in 2009 * Other compotators in Exhibit 9

For accessing the global market they have to access the broader market.
They have to think in global market instead of only US market.
Industry Review: * High Tech:
In this sector they have very big competitors and the big companies handled most of the project.
We can say 30% of this sector is handled by these big names only.
Most of the works on the project basis and will get by reference because all the time technology changes very rapidly you have to be update.
We are providing the several type of services like manufacturing, data processing and prepackaged software etc.

* Travel:
This industry provides the online portal to book the tickets and it will had the huge growth.
We can say, it will now don’t have the opportunity as in past. And not they are moving towards the e-commerce.
This is very hard to maintain because we have to provide the services for 24/7.
It will also depends on the agent network as well.

* Telecom:
This is the new sector and expected growth is 32-50% which give them the huge opportunity.
But as we can say that this will arises the issue of unknown market and customers.
For 5his we require some prerequisites like good contacts with client for off sourcing.

* Financial Services:
This segment is very specific and very secure type. Most of the projects will be assigned to the research based institutes and they will be innovative for their sectors.
This sectors is controlled by Government’s finance department and bank.
Data security is huge issue.
This is very difficult in off sourcing due to high risk and safety issues.
Legacy system is also the big issue.
We also require to update the security and the technology all the time.

Making the sales:
They have very depended marketing strategy in which they have very less options to access the new client.they are mostly relay on the referral way of marketing.

They have to access the new way to introduce in market like via contractor or bid kind of way to get the project.
They can also access the market on via broker networks as well.

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