India: Employment Black Hole?

Abstract

With a very low wage level, an abundance of college graduates, and an ability to speak English, India has become the most favored nation for the outsourcing of back-office operations. Not only are clerical and customer service jobs being outsourced to India, increasingly the outsourcing has moved up the job food chain to include financial analysis and medical support tasks. The case explores the increasing practice of the outsourcing of jobs to India, the competition India faces as other developing countries seek to attract outsourced work, and the impact the practice has on the economies of developed countries.