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Competitive Advantage Case Study

Case Title:

China Calling: Can it be the Next BPO Hub?

Publication Year : 2010

Authors: Bindal S, Arora D, Gollapalli S

Industry: BPO


Case Code: CCA0057IRC

Teaching Note: Not Available

Structured Assignment: Not Available

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"For years, China was known to be the manufacturing hub of the world. But in recent times, China, like India, emerged as the most sought after destination for BPO (business process outsourcing) / IT outsourcing services. In 2003, China's BPO market turnover (ie, customer care, finance and accounting, human resources, training, and procurement segments) was only US$0.2 billion, which increased to $1.06 billion in 2007, and it was expected to reach $2.93 billion in 2012, with a compound annual growth rate of 22.6%. The case throws light on the growth of the BPO market in China, by focusing on the factors which triggered the growth. It also critically analyses the future of the BPO industry in China.

Pedagogical Objectives:

  • To the origin and growth of the BPO industry in China.
  • To the favourable factors triggering the BPO growth in China.
  • To the challenges faced by the BPO industry in China.

Keywords : China; BPO (business process outsourcing) / IT; Outsourcing; Dalian; Low cost; Language; Infrastructure; Software; Coding; Application development; Skilled labour; Government; Multinationals; NIIT; IBM

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