Industry Analysis Case Study

Indian BPO Industry: A Changing Landscape

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Abstract:
In a development that promised to change the face of the Indian business process outsourcing (BPO) industry, global giant IBM announced in April 2004, its plan to acquire Daksh e-Services, one of India's largest BPO companies. Within a week of this announcement, Citigroup also announced its plans to increase its stake in its Indian BPO subsidiary to 100%. While some saw these developments as vindication of India's emerging status as a services superpower, others believed that these acquisitions could be reflective of a lacuna in the management of these BPO companies.

Pedagogical Objectives:

• To discuss the strengths and weaknesses of the Indian BPO industry as it went through a period of consolidation.

Keywords : Government and Business Environment Case Study,Indian business process outsourcing (BPO) industry, Business process outsourcing, Daksh e-Services, Comparative cost advantage theory, Information technology enabled services (ITES), e-Serve International, Customer Relationship Management, Unemployment, Mergers and acquisitions, Productivity,Business Environment Case Study, Low cost destination, NASSCOM (National Association of Software and Service Companies), International trade, free trade, Citigroup, Off-shoring hotspot