Outsourcing to india..

China won’t catch up India for outsourcing, according to Arie Y Lewin,a professor in Duke university said, Chinese firms are really struggling to get more it projects. Industry is reaching at fast saturation and competition is increasing among different global firms and Indian firms. He also says, language is also a great barrier which cause china’s inability to provide outsourcing services. According to survey, India IT firms are around past three decades but china is been into outsourcing for less than 10 years.

Lewin said , china is facing some problem in attracting talent because engineering graduates are not looking for IT services as first option rather they are going for manufacturing services. In 2009, Government try toencourage the IT outsourcing. The average IT services went down from 10-15% to 5% over the past years. So IT services are going private. According to expert china is focusing on domestic market. China has ability to gain market importance in many other growing economies. In northern china they have a very vast outsourcing industry which is delivery services to Japan and Korean companies.