The Business of Outsourcing

The primary reason why outsourcing in India may suffer going forward is its bureaucracy. Corruption is rampant in the Indian system of government and has been accepted as part of the culture. Some critics have counter intuitively suggested that this red tape may in fact be favorable for Indian companies since they need to work against the government in order to establish their business. This leads to a form of organic growth where the instigators of the development are the companies and individuals themselves as opposed to the government. The model of the individual preceding the state contrasts strongly with the Chinese form of government, where the expansion has been due to political leaders instituting artificial measures to help spur growth - – the bottom up approach as opposed to a top-down model.