User:Moritzwang

China’s rising importance in global outsourcing is unmistakable. With focus and key investments from the government in the areas of technology, education, and infrastructure, China has emerged as a favorable destination for information technology (ITO) and business process outsourcing (BPO).

China’s strong entrepreneurial culture supports the government initiatives aimed at growing the information technology sector in China. By 2020, the government plans to have a robust technology economy supporting the domestic and global market, providing higher-value service jobs outside of the manufacturing sector.

China has moved up the IT value chain by serving companies from a variety of global markets including Japan, Korea and the United States. The domestic market within China should not be underestimated. This market holds tremendous potential for outsourcing service providers. China’s large companies and financial institutions are exploring outsourcing, and represent an attractive market with considerable potential.

With today’s global economic conditions caused by the subprime mortgage crisis in the United States, providing severe challenges for business, more companies are looking to position themselves for the eventual recovery and are evaluating the effective use of external providers to help them support and expand their operations. China has positioned itself as a key location for consideration, by enhancing skill availability, making focused investments, addressing IPR concerns and highlighting success stories.

All of these factors combine to make the China outsourcing market an interesting place to watch.