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Representing the Non-formal The Business of Internet Cafés in India

Representing the Non-formal The Business of Internet Cafés in India. NIMMI RANGASWAMY Microsoft Research India. 8 months of study in Mumbai city/outer suburbs Open-ended interviews 35 café owners and 18 regular users Observations in café premises.

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Representing the Non-formal The Business of Internet Cafés in India

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  1. Representing the Non-formal The Business of Internet Cafés in India NIMMI RANGASWAMY Microsoft Research India

  2. 8 months of study in Mumbai city/outer suburbs • Open-ended interviews • 35 café owners and • 18 regular users • Observations in café premises

  3. Urban cafes in India are of two kinds; Franchises promoted by big corporates and small businesses, mom and pop joints, that sprout all over urban areas • All cafes are part of allied businesses helping to stay afloat. • With PC penetration in India being 5% (around 20 million PCs but growing in urban areas) cafés become prime spaces for internet access.

  4. The Grey Zone of i-café Biz • Grey market for hardware/software • Multiple Unaccounted businesses • Unclear ownership • Irregular Billing

  5. The new cafes of Dharavi Popu: Around 1 Million, Density 314,887/km 4000 types of Industry 90% of Biz unregulated

  6. Demand for internet has cropped up recently • Most cafés are assorted communication centres • Café owners supported by social networks to maintain and trouble shoot computers • There is almost nil home PC penetration

  7. Non-formal business practices more pronounced • Deeply embedded in the larger grey economy • Slippages between non-formal and Illegal • Grey Internet activity

  8. Gamers and Chatters..

  9. Correspondence of greyness in youth behaviour and i-café business practice?

  10. Non-formality as Alternate Premise • The unregulated or beyond the legal • Grey markets • Formulate business strategy

  11. Thank You! http://research.microsoft.com/indianimmir@microsoft.com

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