Volume 14 Article 2 Issue 1 Unraveling the Success of India’s IT-ITES Industry: Can India Sustain This Success? Debasish Chakraborty 1 Economics Department Central Michigan University debasish.chakraborty@cmich.edu Anil Kumar Business Information Systems Department Central Michigan University anil.kumar@cmich.edu In this paper we propose how India can sustain the success of its IT-ITES industry in the coming years. India has established itself as a global leader in the information technology-information technology enabled services (IT-ITES) offshoring industry. Different factors have been responsible for this success. While factors identified from the information systems (IS) and international business (IB) literature are adequate to explain the past success of India’s IT-ITES industry, they are not adequate to explain whether this success can be sustained in the long run. This paper uses the endogenous growth theory and the economics of ideas to conclude that innovation and technological growth are keys to sustaining this success over time. The paper also highlights policy options that will harness innovation and technology growth in India. Keywords: Offshoring, IT-ITES industry, endogenous growth theory 1 Authors are listed in alphabetical order. Volume 14, Issue 1, pp. 5-16, March 2013 Balaji Rajagopalan, Christer Magnusson, and Gustaf Juell-Skielse were the special issue editors for this paper. brought to you by CORE View metadata, citation and similar papers at core.ac.uk provided by AIS Electronic Library (AISeL)