One of the favorite questions that the candidates may have to answer during an interview is related to the challenges in a business. Fortunately, if the candidates can figure out those problems and demonstrate their knowledge about how the events in the future can impact the business, they can suggest ways to eliminate those problems as well. The advancement of technology has led to infinite changes in our lives. Among them, the most prominent change is the accessibility to information making it easy for people to brush their skills. However, the flip side is that the same people who gather knowledge from different sources are going to be demanding as well while looking for services and a similar thing has affected the business of law. The clients in need of legal services demand more now when compared with the previous times. Here are some of the problems that the corporate law firms in India are facing today.
Intervention of technology
In a world that is ever changing, one of the biggest problems that a corporate and commercial law firm can face is technological advancement. Even though technology can impact a firm positively such as enhancing international communication and the automating the tasks thereby freeing more time for the solicitors to be devoted to the other tasks, it is still a matter of concern. However, the corporate law firms find it challenging to stay in track with those changes as they are fast and a lot of uncertainty surrounds them. On the other hand, if a law firm cannot follow the new trends of technology, it might be left behind the competitors even though the adoption of a new technology can prove to be a hindrance instead of a benefit. Quite naturally, the law firms must perform the balancing act and make choices that impact the progress of the firm positively. Given the nature of work they perform, the threat of cyber security cannot be ruled out as well.
Threat from new business
More and more companies offering other types of services are now trying their luck into offering legal services. Apart from the huge competition that exists between different law firms today, the non-conventional legal service providers also pose a threat to the traditional law firms as the clients may prefer using the services of the new firms. The competition emanating from the non-traditional legal services can be considered a major challenge during the coming years. Quite naturally, the corporate law firms in Delhi may be plagued by the new entrants in the market of Delhi as it tends to destroy their prospects to a great extent.
The corporate law firms today consider different models of billing for operating their firm. Since the economic meltdown, these firms have been under a great deal of pressure to offer value for money to the clients although they are expected to limit their costs. Several firms are trying to change their billing strategies. For the rest, deciding the billable hours is a real challenge as there is a lot of uncertainty regarding the flexibility of the clients in the perspective of the payment they are going to make even though the legal costs are on the rise. Even the top corporate law firms in India are in the grip of this trouble. To enhance the predictability of the costs, some of these legal firms have switched to other modes of billing such as the non-hourly billing.
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Transparency in billing
The corporate law firms today cannot just handover the bill to the clients after the completion of work as it is less likely to be sanctioned. Today, they have to provide the entire breakup of the cost along with the details of the expenditure some of which may not be related to the legal issues. Apart from this, the law firms also find it difficult to explain all the legal terms in a lucid language to make it easy for the clients to understand.
Quick turnaround time
The changes in technology has impacted different realms of the best corporate law firms in India especially the turnaround time. It also signifies that these law firms are under the increasing pressure to deliver high quality or superior services without asking for more prices. Resolving the legal complications in the corporate world is not really a piece of cake although the law firms have to improve the quality of services for better outcome if they are keen to stay ahead of their competitors.
Fixed and capped cost
There is no doubt that fixed prices of legal services have brought predictability and certainty to litigation. However, there are category of cases that require the corporate lawyers in Delhi to devote a significant amount of time due to the complexities they involve. Today, the corporate law firms need to find ways to improve and streamline the process of work. They must also ensure that they can still take such cases for the clients for which they may incur more expenses even though it is hard to recover the money.
The changing ways
Unlike the previous days when few people studied corporate law, the situation has undergone a sea change. There are more corporate lawyers available today to resolve the legal complexities that make them ask for lower prices without compromising the quality of services. Although the top corporate legal firms have different ways to follow and are more experienced than the novice firms in the market, offering quality services at lower rates are becoming a real challenge for them. It is to be seen whether the corporate law firms have the potential to survive the tough competition.