Export earnings of telecommunication, software and ITeS — A comparative study post financial crisis

Service sector plays a leading role in Indian economy with largest contribution to exports. Telecommunication, computer software and ITeS are the most high powered service sectors with consistent increase in the export earnings over the last five years. Global economic crisis 2007–08 put the entire world in jeopardy and India is no exception. As the recession deepens, the exports from India has been hugely affected particularly exports from service sectors. In this study, a comparative analysis of export earnings was performed across Telecommunication, software and ITeS industry groups. Using TOBIT analysis, the impact of financial crisis on export has been studied along with firm characteristics and industry groups as control variables. The results show that the overall export performance has decreased post financial crisis with major influence on telecommunication and computer software industries.