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Indian Outsourcing and the Dollar Dip
  Outsourcing strengthening economies, improving infrastructure and upgrading quality of life...We've heard it all. So doesn't the sunshine industry ever face any glitches? It surely does, what with global equations and the economic realities of various countries and people coming into play. And what better example than how the outsourcing capital of the world, India, is facing a backlash because of the flux surrounding its economy and that of the dollar.

The sharp fall in the dollar is sparking waves throughout the global financial communities. The International Monetary Fund in their latest report on the U.S. economy has stated that a plummeting dollar remains a risk to the global economy, partly because financial markets react adversely to a downshift in the currency. The dollar, which had lost about 5% against the pound and the euro this year, is again facing a devaluation...
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Subprime Mortgage Crisis: Impact on the Outsourcing World
  US mortgage markets and the economies of outsourcing countries – what’s the relation you might ask. The extent of globalization and economic interdependence in the new world comes out in full view with events like the subprime mortgage crisis in the US and its reeling impact on the global economy. Ideally, only companies in the US real estate sector or subprime mortgage industry should have been affected. But countries all over the world, right from Europe and India to Tokyo, are facing the brunt of the US subprime mortgage meltdown.

The subprime mortgage crisis in the US

What exactly is the subprime mortgage crisis that has sent tremors through the world, not to mention the global IT and call center industry? The US real estate industry experienced a boom between 2001 and 2005 with property prices scaling unprecedented highs because of factors like low interest rates, price-to-rent ratios etc...
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Business Process Outsourcing – Captive service or third party vendors?
 

Which is a more viable option – captive providers or third party vendors? This has been a question plaguing the outsourcing industry since the BPO (Business Process Outsourcing) boom in the 90s. For many global players, offshoring is not so much the issue as the choice between opting to set up a captive unit or outsourcing to a third party service provider.

Background

Realizing the potential of countries like India in terms of cost saving and brain power, many Fortune 500 companies opted to outsource none-core processes in the 80s. GE and British Airways led the path for captive services by setting up wholly owned subsidiaries in India. Local players also realized the scope of this budding industry and offered services, with the backing of established players or venture capitalists. The industry soon realized the advantages of outsourcing to third party service providers (TPSP) instead of investing in captive units in terms of responsibility and cost savings.

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