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Pakistan pitches for slice of outsourcing market

It’s so obvious that India is a market leader in business process outsourcing that it’s become almost a truism. It’s perhaps odd, then, that people rarely ask: what about the neighbours? India’s history with Pakistan could reasonably be called “chequered” but the younger country now has many of the attributes it would need to be taken seriously.

It hasn’t always been thus, as an article in Pakistan Defence points out. There has been political and economic turmoil, enabling India to grab the market while Pakistan stalled after a promising start in the early part of the century.

That may be about to change. Karachi is being promoted as a good place to do business, with India’s growth (and that of the Philippines) forcing their rates up.

We note that joining this sort of race can become self-defeating; if you do well then your own people’s pay demands increase so the initial advantage starts to ebb away, as India may well be finding now.

It should be an interesting one to watch, though.

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