Offshoring is a cost-saving strategy where a company relocates its business operations to another nation, often to maximize cost efficiencies. India emerges as a leading offshoring destination due to its significant cost-saving advantages. Saving on costs is the primary incentive that drives companies to choose India as their offshoring partner.
The decision to offshore to India provides various benefits for businesses, chiefly in the realm of cost savings. Here are some compelling reasons why companies choose India for offshoring:
For example, American Express was one of the first companies to offshore back-office operations to India. General Electric invested $130 million to set up a research and development center in Bangalore.
Yes, India is a top destination for offshoring. Offshoring is when a company moves its business operations to a less-developed country to reduce costs. India is a popular choice for offshoring because of its financial attractiveness, availability of staff, and skills.
India is the top country for IT & BPO offshoring. It's also one of the top two countries for outsourcing and offshoring call centers. India's IT sector, BPO/call centers, accounting, and finance industries are at the forefront of outsourcing.
India's technology has transformed in recent years, resulting in a surge in offshore outsourcing of IT-related services and software development services.
Offshoring can be a strategic necessity for cost savings or a way to expand overseas operations.
Offshoring can help businesses save money and time by:
Offshoring can also help companies access labor pools in countries with a better ecosystem for specific business functions.
Offshoring to India can save companies 30-40% on most services. The savings come from lower labor costs, infrastructure costs, and overhead costs. For example, a skilled developer in the US might cost $50-80 per hour, but the average in India is around $15 - $30 per hour.
Lucent Innovation is a software development company that can help you save time and money by:
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