ABSTRACT
This chapter examines the causal reasons for Bangalore’s dominance in the Information Technology industry in India. It describes the urban competitiveness is defined as a process by which one urban area or one region dominates a particular economic activity more than other urban areas or regions in a geographical area. Studies related to urban competitiveness or territorial competition has largely been conducted in Western Europe and in North America. The economic liberalisation that is now taking place in many countries, including India, has increased the importance of the urban areas as recipients of Foreign Direct Investment. Economic determinants can be divided into factors of production, infrastructure, location, economic structure and urban amenities. The strategic determinants are mainly governmental effectiveness, urban strategy, institutional flexibility, and private-public sector co-operation. Urban amenities are those aspects of human society that can be realised only in cities, where there sufficient people to support a variety of services.
