"i want to understand how the IT business is run? "
IT business is no different than any other business. Business has producers and consumers. The producers deliver a value, hopefully more value than they consume delivering their product or service. The consumers consume the value delivered by the producers. Hopefully, the consumers pay more money back than the cost of the goods or services they consume.
So for example, this is why you cannot just let developers write any code they want. If you allow developers to add all the bells and whistles they want to have, the cost of the value delivered to the business would be far too great.
A consumer is willing to pay X rupees for some product, good, or service. If it costs two times X to produce that good or service, no one would buy that.
A good book to read about the IT business, or any business in general, is "Crossing the Chasm", by Geoffrey Moore. http://en.wikipedia.org/wiki/Crossing_the_Chasm
You can get the paperback for a penny on Amazon : http://www.amazon.com/Crossing-Chasm-Marketing-High-Tech-Mainstream/dp/0066620023