Insourcing is becoming a hot topic from sometime in the US. Obama
Administration is working on its campaign for the next election and is
hitting hard their opponent i.e. Mitt Romney for outsourcing jobs. This
election campaign has deep influence on the global market. Especially,
the outsourcing companies can smell the hidden threat for their future.
The US is a target market for a majority of outsourcing companies and
that’s why, the patriotic slogan raised by Mr. Obama will have impacts
on these third party back office services providing companies.
Today’s world is a global village in true sense. This was not so true before this. Despite the announcements made by Mr. Obama, the facts favor the outsourcing phenomenon. It seems natural to get specialized solutions at a fraction of cost to streamline one’s business and then to reap the fruit of online visibility. The difference of currency is always a key factor involved when outsourcing is a topic of discussion especially while outsourcing to countries like China, India and Pakistan. Though Govt. is offering a lot to those who go for outsourcing and bring jobs back to country, yet we can’t overlook the law of ‘survival of the fittest’. Several companies won’t go for this trend of insourcing for not being a tested and long-lasting solution.
The SMEs who already have outsourced to some third party back office services company and are beating their competitors, won’t consider the insourcing option. The current global market is flexible enough that it accommodates new experiments like the one done by two friends to come up with a website like Pinstagram. However, the businesses already moving smoothly won’t go for something that has lot of risk. Insourcing can be good from patriotic standpoint but it can be a replacement for outsourcing for having national boundaries.
Today’s world is a global village in true sense. This was not so true before this. Despite the announcements made by Mr. Obama, the facts favor the outsourcing phenomenon. It seems natural to get specialized solutions at a fraction of cost to streamline one’s business and then to reap the fruit of online visibility. The difference of currency is always a key factor involved when outsourcing is a topic of discussion especially while outsourcing to countries like China, India and Pakistan. Though Govt. is offering a lot to those who go for outsourcing and bring jobs back to country, yet we can’t overlook the law of ‘survival of the fittest’. Several companies won’t go for this trend of insourcing for not being a tested and long-lasting solution.
The SMEs who already have outsourced to some third party back office services company and are beating their competitors, won’t consider the insourcing option. The current global market is flexible enough that it accommodates new experiments like the one done by two friends to come up with a website like Pinstagram. However, the businesses already moving smoothly won’t go for something that has lot of risk. Insourcing can be good from patriotic standpoint but it can be a replacement for outsourcing for having national boundaries.
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