Aspirations for better education, career, and lifestyle opportunities have always attracted heavy migration to India’s top metropolitan cities. Today, Mumbai, Delhi, and Bangalore are teeming with young migrant populations, that have evolved with and contributed to their changing socio-economic fabric. But this rapid growth has also led to a strain on infrastructure and opportunities in these cities, creating a need for alternate growth channels. Today, evolving Tier-2 cities and sub-metros are taking the baton from saturated metros to become the new centres of growth. And bright young professionals who call these cities home can now live the corporate dream here without compromising on their lifestyles.
How Tier 2 Cities in India are Adapting to the New Business Culture?
With the extended remote working conditions created by the pandemic, many people are working out of these cities. Also, a fair number of job opportunities have come up in Tier 2 cities created by growing investment there. Over the years, with a greater focus on accessibility and quality of lifestyle, more Tier 2 cities have been evolving into new urban centres. Let’s have a look at the factors that are helping build a new ecosystem:
Growing business landscape:
The rise of IT companies in Indore is a prime example of how the city has turned itself into a business and technology hub, attracting many young professionals from across the country. Startups and technology-enabled businesses are now one of the main growth drivers in Tier-2 cities. Thanks to good, affordable business infrastructure and comparatively cheaper labour, Tier-2 cities are now acting as the home ground for many innovative startups and SMEs that find it easier to launch their operations here than in expensive metros. Cities like Ahmedabad, Vadodara, Vizag, Trivandrum, Raipur are some examples of Tier-2 startup ecosystems that have grown rapidly over the last few years.
In recent years, there has been a surge to establish new IT companies in Nagpur, Raipur, and other non-metro cities. These cities are in focus for funding activities from private and government investors, who are eyeing non-metros to improve the economic value of homegrown organizations. While startups are looking at Tier-2 cities to initiate their operations, MNCs too are attracted to them on similar grounds.
Cities like Jaipur, Surat, Patna, and Indore have become attractive locations for mega conglomerates. Yet again, companies here find the low investment cost appealing and find it easier to build scalable operations. With competitive talent growing across all cities, MNCs can also directly tap into the vast human resource pool here, finding it easier to train and upskill the local youth.
Access to a better lifestyle and career opportunities:
Many young professionals look for opportunities that allow them to grow in their careers while staying close to their families. Sometimes, there is less competition that may work in the favour of these professionals or it may be the lower cost of living without compromising on the quality of life that can play a vital role in attracting talent to upcoming Tier-2 cities. For those living with their families, a rent-free lifestyle is very tempting and can allow a certain section of the young population to ditch the Tier-1 dream, provided they get near equivalent opportunities in these cities. Delivery services and e-commerce amenities now reaching every part of the country also contribute substantially to raising the stature of Tier-2 cities and make it more appealing for those looking for metro-like amenities and lifestyle. Supported by well-planned infrastructure, convenient lifestyle amenities and growing education and career opportunities has created a case for migrant movement to Indore.
The new business wave in these cities is now giving way to technology-enabled growth, greater socio-economic development, and the rise of more flexible opportunities to work and live. Clearly, the idea of moving to a big city is no more the standard rule of progressing in one’s career. With growing opportunities closer home, talented professionals will contribute significantly in creating the next wave of growth in Tier 2 cities.
