India pricing itself out of the global market

In an incisive article, Janmejaya Sinha analyses the cost angle to India's leadership in the global services market, and how spiralling costs are going to hurt this, if it is not checked in time. I agree with him broadly, however, do feel that talent can be attracted at salaries that are commensurate with the price of the talent, and in the race for humanware-dominated industries' leadership, the price may have to be paid by companies. Plus any fixed-pricing regime will backfire, leading to babudom and blackmarketing, leading to disincentive for private industry to grow.