People say "Gone are the times when underdeveloped and developing countries were being exploited by the developed nations". Does this statement imply that no-one in this world is exploited or the developed are being exploited by the under-developed and developing nations. Recently, I read an interesting article on globalization and realized that the line between exploiting and getting exploited is getting thinner and thinner. Sounds queer! Ain't it!! Consider the case of Tata Consultancy Service's American subsidiary, America International. The case goes back to year 2003, the period when internet was booming. To revive its operations and be up to date, the Indiana state came out with a bid to upgrade the state's computer systems that process unemployment claims. Guess What... Tata won from its nearest competitors i.e. Deloitte and Accenture by a whopping $8.1 million. What was the position of Indiana based firms? Well, none of the firms was in a position to bid for this project. It was too big for them to handle.
As expected, after America International won the bid, the Indiana politics came into picture.Republicans resented. Democrats gave up. The final result- Project was divided into smaller bites so that local firms may bid. Sounds good for Indiana firms, but costly and inefficient for state.Who bears the extra cost? Without any doubt, the Indiana citizens. What happened to America International? Undoubtedly, they were paid a check for around $1 million for the services they carried out till the time their bid was cancelled. The overall effect - TATA lost a huge business. The state of Indiana had to pay more and got an inefficient system in return. The citizens of Indiana had to get a double hit for they were the ones who suffered in the whole tussle- their money was wasted on an inefficient system and a penalty fee that was paid to Tata. The question still looms- Who is exploited in the whole process?