I worked for an Indian IT services company wayback in 2006, I think the culture comes from American companies. American managers want offshore managers reporting to them and not engineers and would pay top dollar for it.
Companies reacted by promoting toadies to be managers with good salaries and paid little to the engineers who did all of the work.
Gate keeping by said managers also helps with miscommunication. Then came the MBA rush too. If only they focused on paying people who did a good job, instead of paying per head/degree/title.
One of the reasons why the quality has gone down drastically is that engineering colleges have started catering to the manpower needs of low-tech, back office and BPO jobs.
Western companies did make a big mistake in not embracing the large talent pool in India early enough for more cutting edge R&D or engineering work. This has worked to harm both sides.
Now it has lost the competitive edge to Huawei which has access to a large and cheap pool of talent. While neither Huawei or Ericsson work on essential/Core R&D in India,
Huawei has a larger presence in India than Ericsson which just runs back office jobs and backend SW development.
India is Ericsson's largest and most promising future market and has been there for 100 years but has always lacked the commitment, thanks to "misplaced nationalism". While I am suspicious of Huawei and China in general, I am happy that Ericsson has competition.