Software Industry in Jordan
software Industry: Jordan
Many experts are seeing an opportunity for economic growth in the software industry. This is especially true for the case of developing countries. Some of the countries that have already gained from that industry include India and Ireland. There are major factors that contribute to this kind of growth. The globalization of business processes and developments in telecommunication technologies are some of the major factors contributing to such growths. In order for developing countries to benefit from software industry, there is need to have low cost labor as well as a good telecommunication infrastructure supported by good national policies.
That means that software industry is actually a vehicle for national development. This is a high tech industry that is based on human capital than any other industry of the same level. There are multiple products in other industries that need embedded software. It is also worth noting that the e-business industry requires software which is more effective. Jordan is a country with limited resources. There are a number of areas that support the software industry. These are: intellectual property rights (IPR) as well as the education sector. Apart from human capital, it is not a guarantee that the industry will perform well without the other sectors.
Many conferences have been held in the Middle East that is aimed at promoting the creation of knowledge-based economies. In order to come up with such high tech economic environment, the involved governments have to plan well in order to create wealth as well as jobs.
There are a number of critical success factors that make it possible for a competitive software sector to be developed.
Reason as to why Software Industry is Important to the economy
The software industry is very attractive and quite strategic to the building of the economy. The information age has made software industry to be part and parcel of most economies across the world. To illustrate that, we will take a look at the US software and software related services. This industry is worthy $108 billion. The rest of the world was estimated to be worth $117 billion by the year 2001.The industry growth at a faster rate. In the US alone, it experienced some 12.5 per cent growth for the period of 1990-1996. This was nearly 2.5 times the general economic growth. This growth is expected to continue for several years to come. Software products have helped greatly in the collapse of distance as well as time. A lot of transactions are carried over the internet. Software products are easy to distribute after developing them because there are no additional costs in producing extra copies of particular software. All companies are given equal chances to compete irrespective of their sizes or even location. That means the entry of new firms to the market does not face any barriers at all.
The Factors that Ensure Success in the Software Industry
There are a number of ingredients that must be available for a country to succeed in developing their software industry. The workforce has to be highly talented, proper funding, government infrastructure and finally secure infrastructure.
The most popular place for software development is called Silicon Valley in the US. This is a piece of land that is found between San Jose and San Francisco. This is where major companies such as Cisco Systems, HP, Netscape, Adope as well as Yahoo have their headquarters. On annual basis over 3,500 companies in the high tech industry are added to Silicon Valley.
The area is supplied with a talent pool from a number of UCLA, Stanford as well Berkeley universities.