The Information Technology and Business Process Outsourcing Industry: Diversity and Challenges in Asia
AbstractSome countries and regions have been more successful than others in developing information technology-business process outsourcing (IT-BPO) services industries. India and the Philippines in particular have offered educated human resources at low cost, attractive fiscal incentives, and industrial parks although these factors alone do not explain the rapid growth of the industry there as other countries also had these strengths but failed to develop industries as rapidly. A wide range of factors driving and constraining industry development must be taken into account, namely human resources; financial, infrastructure, technology, legal, and regulatory developments; the roles of foreign companies, diasporas, and of indigenous entrepreneurs; the government; industry associations; civil society; production, trade, and knowledge networks; and the interplay of all these factors locally, nationally, and internationally. This analysis of IT-BPO industry developments in Asia points to continued expansion in domestic, regional, and global demand and supply. There is a need for timely, concerted efforts by key stakeholders to define strategies, programs, and projects to respond to opportunities and challenges at all levels. Experiences from Asian economies can offer lessons, but each situation has its own peculiarities. There is no single approach to developing an IT-BPO industry.
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Bibliographic InfoPaper provided by Asian Development Bank in its series ADB Economics Working Paper Series with number 365.
Length: 35 pages
Date of creation: 20 Aug 2013
Date of revision:
information technology; business process outsourcing; software industry; offshoring; services; knowledge economy; India; ASEAN; Asia;
Find related papers by JEL classification:
- O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-11-16 (All new papers)
- NEP-CSE-2013-11-16 (Economics of Strategic Management)
- NEP-CWA-2013-11-16 (Central & Western Asia)
- NEP-SEA-2013-11-16 (South East Asia)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Olivier Cattaneo & Michael Engman & Sebastián Sáez & Robert M. Stern, 2010. "International Trade in Services : New Trends and Opportunities for Developing Countries," World Bank Publications, The World Bank, number 2476, October.
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