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Do you think that with market slowdown, cost competitiveness would not be a parameter for offshoring decision?

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Do you think that with market slowdown, cost competitiveness would not be a parameter for offshoring decision?

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When offshoring first started resource availability played a crucial role in the decision making process. In the Y2K days the corporations did not have enough manpower to undertake the large scale migration that was required and the secnario continued in the dot com boom days. Post this period emerged the scenario of cost competitiveness where providers based out of India, Russia, Philippine and a few other countries leveraged the availability of resources at low cost to win business. But in this tough economic times when there is a large resource pool available at competitive cost, what is the deciding factor for corporations to outsource various IT functions and is this going to change over a period of time.

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