One of the reasons why many of the companies in the indian internet sector are making losses is because the largest companies are extremely unethical, devoid of personal and professional ethics, using illegal, shocking methods to acquire talent and technology cheaply. If they had been more kind, humane and ethical in their talent acquisition methods, they would have got and retained better quality talent with a better understanding of the indian market, compared to their current employees, who may be very smart looking, excellent speakers, yet lack the experience, judgement, to take the right decision about their business.
In the manufacturing sector, most companies are fairly ethical about talent acquisition, because material expenses form a large part of the expenses of any project and the person handling the project cannot make a very great difference, however experienced or competent he or she may be. However in the indian tech and internet sector, companies are extremely aggressive in acquiring talent and technology very cheaply, as it can make a very great difference to their profit. In the 1990s itself, TCS was notorious for exploiting hard working employees to the maximum extent possible, and allegedly that the attitude has worsened in the last few decades, as IT companies have perfected the art of handling/exploiting indian engineers to maximize their productivity