Tata Consultancy Services will follow a three-pronged strategy to grow its business in China, which it sees as a market with huge domestic demand, impressive infrastructure and lack of delivery skills.

"TCS is looking at its presence in China to address three business needs," S Ramadorai, chief executive officer, said at the sidelines of a function to launch the citizen to government portal of the West Bengal government.

First, TCS will be looking to service existing multinational clients which have expanded operations in China and need support in that country, such as GE Medical Systems and telecom heavyweights.

Second, China would be the base for servicing Asia-Pacific markets such as Japan, South Korea and Taiwan as it is a base with excellent infrastructure and low costs.

Third, China has a huge domestic market which has demand for services and solutions which TCS would like to tap.

"In all three instances, we will be working with local partners and Chinese employees as part of TCS-led teams, and we have several hundred employees there already," the CEO said.

While US will continue to be the engine for the global revival in the sector followed by UK and Europe, TCS perceives China as a geography offering every type of infrastructure.

The principal drawbacks in the market were lack of talent and lack of delivery capability in part on account of language problems.

The single-minded devotion of the administrative machinery and the political system in China to develop the information technology sector without any barriers were factors that attracted TCS to that country in the first place.

"Unlike some European countries which follow deliberately time-consuming procedures to issue work permits and impose restrictions on transition of work from one centre to another, China has no barriers," Ramadorai said.

CMC integration on course: The operational integration between Tata Consultancy Services and CMC Ltd, in which the company acquired majority control from the government, is moving at a rapid pace, S Ramadorai, said.

When asked whether the two companies were likely to be merged, he refused to comment and said, "All I can say is that integration is on."

The government still holds a shade over 26 per cent in CMC. As per the share purchase agreement, the Centre has the right to exercise put option at the end of 2 years and TCS call option at the end of 3 years.

Ramadorai said, so far there has been no communication from the government on the subject.