Vastavam web: Mortality rate among start-ups in India is not alarming, and their success ratio is actually good and on par with global trend, said an expert in information technology (IT) industry.”In the start-up industry (in India), if you look at ten companies at least three or four will succeed. It’s a good rate. Globally, that’s the norm.The nature of the industry is like that. Nothing alarming,” former Chief Financial Officer of Infosys V Balakrishnan said.”But I think the IT industry is the only industry which is growing, has good cash flows, and return on equity is very good,” he said.
There are very few industries in India with such a scale and good financial matrix, Balakrishnan said, adding “Once the headwinds somehow minimise, the market will see more value in those stocks.” “A lot of changes are required in labour laws but I don’t know whether it will happen in India with the kind of political situation what we have today. So, we have to build a consensus,” he said.