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India Still Unrivalled As Outsourcing Hotspot

By ESOutlook | Wednesday, February 11, 2015

AT Kearney’s latest index, that ranks business services locations, recently recognized India as still the leading player in the market, as far as outsourcing is concerned. The scale and availability of skill proves vital, and though six of the top 10 locations for business are in Asia, India is second to none. India, China, Malaysia, Indonesia, Thailand and the Philippines all feature on the list. While India, China and Malaysia have constantly been the most sought-after locations, Sri Lanka (16) and Bangladesh (26) have also been doing well, resulting in a strong sub-continental presence on the index.

“India continues to provide all-around strengths across the off-shoring spectrum. In China, despite rising wages, the IT sector shows promise, not only for the growing domestic market, but also for other Asian countries seeking near-shore options. Southeast Asia includes both established players, such as Malaysia and the Philippines, and newer entrants, such as Indonesia and Thailand, both of which present good fundamentals accompanied by still-improving English-language skills,” the report elaborated.

The report further states that India is likely to continue dominating, as the services portfolio looks strong and leading IT corporations continue to expand. Also, the IT and BPO sectors are gradually amalgamating, as providers are offering bundled services to clients. China is being stifled by their rising wages, while Malaysia is hindered by their smaller labour pool. Latin American and Eastern & Central European countries are also emerging as key players, with Mexico, Bulgaria and Brazil among the top 10, while Poland, Chile, Romania, Costa Rica, Hungary and Colombia all on the top-50 list.

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