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Offshore Outsourcing World: Offshore Outsourcing to India May Soon Feel the Business Cycle
outsourcing world covers news articles and commentary related offshore outsourcing, software development, and international business
Offshore Outsourcing World is intended to be a daily news magazine focused on offshore outsourcing - or offshoring. This publication will explain the process of offshoring.

Readers will learn how to select an offshore provider, what countries are leading the offshoring revolution, what business processes, in addition to software development, can be outsourced (BPO), and even how to help an outsourcing team perform at a high level.

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Saturday June 28, 2003 at 2:58AM - Offshore Outsourcing World Staff

Offshore Outsourcing to India May Soon Feel the Business Cycle

It was suggested recently that offshore outsourcing my soon deal with a swing in the business cycle. Within the span of 2 days, EDS announced cutting 2,700 jobs from it's "global work force", and the addition of 500 seat center in Mumbai India.

While North American technology workers struggle to find employment, skilled workers in India are able to comfortably afford a home and servants to maintain it. These same Indian workers are chased by recruiters working on behalf of Fortune 500 companies.

Clearly development in India does present a significant advantage. The cost of living is significantly cheaper. Also, Indian workers has become renowned for their high quality deliverables, and keen business knowledge.

Eventually offshore outsourcing should cause an equilibration in prices for high quality development around the world. However, this is not likely to happen in the short term future, even if major Indian service providers such as Tata Consultancy Services (TCS) and Infosys find that their margins are squeezed.

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