Valuation in Information Technology (IT) Sector
Mr. Chander Sawhney Vice President +9810557353 chander@indiacp.com It has been believed in the market that “Technology has the shelf life of a banana.” If that happens then what factors drives the value of Information Technology based companies whose survival is totally dependent on that. The answer of this question is not so easy as it appears to be, As whatever the size of organizations large or small face the same dilemma: Scare resources, choosing and deploying the right resources at right time at right place to maximize the organization performance. Why Sub Sector Categorization is necessary There is a difference in valuing a Company which invest in IT to increase the efficiency of its business and the Company whose survival is totally dependent on IT because Companies with a view to increase the efficiency might Invest in IT and often viewed as a cost center, and when a department is viewed solely as a cost center, budgets get squeezed year over year, but th...