Does Business Environment Affect Outsourcing?
Sure it does! As the outsourcing industry grows in leaps and bounds, several hard truths about what makes a location sell come to the forefront. Experts watching the pace of this growth agree that the key to maintaining and enhancing long term competitiveness lies in skills development, infrastructure investment, and regulatory environment – not in attempts to control wages. As services move up the value chain, a dramatic shift in cost advantages is seen. Both leading offshore service locations, India and China which up till now have attributed their success to people and skills availability at competitive costs, are gradually waking up to the sleeping tabby in their corridors – business environment. Several ongoing surveys to gauge consistent improvements regarding this important parameter indicate similar results. Ease of doing business indicates how favorable the business environment is for operating businesses. For offshore firms which rely on syndicated data to provide them with p