Offshore Outsourcing Phobia

Although the rapid pace and extent of globalization favours global trade, lack of global and regional stability has an even more serious impact on the offshore outsourcing. Given the fact that a large scale IT outsourcing contract has a relatively larger time horizon and reversing the trend in the short term (e.g. discontinue operations, lay off people) would impact the company economically, such a scenario would make firms wary of outsourcing their business processes.