The US recession would start in Q4 of this year as a afternmath of the Sub-Prime effect.We need to be careful and watch teh market movement more diligently
Sub-prime affects the debt markets mostly and especially raises the cost of capital. Given an increase in the cost of capital, outsourcing becomes even more of an effective strategy. So if anything the BPO world should be more positive in the long term. Short term of course they must manage the investor hesitation
RE:If anything the outsourcing of non-essential services will increase
by Siddharth Pandit on Aug 20, 2007 09:01 PM Permalink
For this to happen the number of business that can outsource should remain in business. Even if some business can stay afloat it is difficult to grow in those circumstances hence would lead to cut backs and can effect the investments made in this sector. Hence infact if these worries continue it is not going to help this sector.
