Facebook Recommendations

Pages

Archives

September 2010
M T W T F S S
« May    
 12345
6789101112
13141516171819
20212223242526
27282930  

Outsourcing to India

Outsourcing: What does it mean ?

Without getting overwhelmed by the formal definition of outsourcing , let us first see what it actually means. Outsourcing is the practice of using subcontractors or other businesses, rather than paid employees, for various services such as  information technology, advertising,  accounting etc.

For example, say: you stay in USA and have a well settled business of information technology. This helps you to get a good number of service orders to execute. We consider such an order of say: 10000 USD, according to your estimate the time required to complete the project should be 3 months and the cost for that project is say 6000 USD, allowing you to have a net profit of 4000 USD. You may be happy with that figure as well. Now, let me ask a question, did you try any other alternatives to maximize this net profit amount or even thought of it? If you analyse, then you will find that getting the work done through a outsourcing process, by a Web design company in India, would have make the cost of the project to 1000 USD or even less. How ? Just look at the socio-economic difference … the set up cost and wages in India are 1/20 th of the same at your place! So the website development company in India like Openweb Solutions can offer a price that is never possible to offer for any organization operating in the same domain in USA. So in spite of the recent tax-deduction related announcement by Honourable President of USA for the USA based organisations, if you concentrate on the total cost incurred including tax, you will find the outsourcing solutions are far more efficient for maximizing the net profit amount.

In a tabular format

Project Cost Tax Total Expense Project Earning Net Profit
Develop In USA 6000 0 6000 10000 4000
Outsource to India 1000 [Max] 1000[Max] 2000 10000 8000

So from the above example you will find why you should outsource to India, Openweb Solutions offer multiple outsourcing schemes for their foreign clients. Please click here to get an overview of those.

Leave a Reply

 

 

 

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>