Social capital and university–industry–government networks in offshore outsourcing – the case of India

Abstract

This paper argues that the recent success that India has enjoyed in the domain of outsourcing of services can be explained through the triple helix paradigm of university–industry–government networks albeit in a manner that does not conform strictly to the existing notions of triple helix. First, it presents an analytical discussion on offshore outsourcing focusing on the heightened sense of uncertainty that prevails in this particular form of procurement. It is suggested here that one of the ways of managing uncertainty is to leverage personal and social ties which are constitutive of the social capital of firms engaged in such economic exchanges. Second, it looks at the case of India through in terms of social networks and the triple helix thesis and illustrates how university–industry–government networks and the social capital of the firms involved have played a central role in India's success in the export of knowledge-intensive services.