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Journal of Information Technology

Document Type

Other

Abstract

Offshoring of services will shape the economic landscape for the coming decades, and present opportunities and challenges for individuals, organizations, and countries. Many countries are jostling in the global services marketplace to take advantage of the emerging opportunities. The success of an organization's offshoring initiative depends critically on the selection of a right destination; a wrong choice may result in a failure and impose significant costs. This paper presents a framework to assess the attractiveness of a target country, which identifies various motivating, inhibiting, and facilitating factors that may influence its attractiveness. The framework is used to analyze the future attractiveness of India, a topic that continues to be debated. The relative attractiveness of other potential competitors for offshoring of services is also discussed. Contrary to other analysts’ opinions, we conclude that India is likely to sustain its leading position for a long time in the services sector, and that it is likely to emerge as a global hub for the delivery of services, analogous to China's role in the manufacturing sector.

DOI

10.1057/jit.2008.13

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