Sunday, November 7, 2010

India's Outsourcing Fears

The article "India Outsources Feel Unloved in the US" discusses issues facing India's large number of outsourcing companies.  The recent economic downturn in the US and increased fees for companies outsourcing outside of the US has decreased the number of IT outsourcing projects given to companies in India.  While these issues have decreased jobs in the past few years, it is expected that outsourcing to India will increase in the upcoming year as companies begin to start spending on IT again.
While one can see the benefits to companies in outsourcing, however companies should also consider how offshoring to a country like India will affect the US economy.  At what point does the government step in regulate how much a company should be allowed to offshore in an effort to help improve economic growth?

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