Indian Globalization

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Question 1: «The reason behind the global economic downturn is the financial crisis which is hitting the world of work» was discussed by The International Institute for labor in the opening profile. The collapse of stock markets, credit crunch and subprime mortgage mess in US eroded the global economy and affected companies investment decision for global market as well as employees incomes. Reduced costs met the requirement in new hiring decisions. As the market recovers, hiring rates for the larger companies are increasing – companies have capacity to hire more employees to help economy to grow. It is clearly shown in the case study by India’s example. Based on it’s size and mature economy, India is fairly high on the list attractive markets. In approximately fifteen years the BPO industry had shown tremendous growth and high numbers within the sector signified maturity and consolidation for the industry due to high level of employment for young educated English speaking labors. Since the BPO industry requires low-cost employees, what is not possible in highly developed countries (USA, Australia, Europe), the only solution that provides a boost for outsourcing demand is an outsourcing in countries with a possibility for reducing costs and hirind more skilled labors within a budget. Question 2: In times of globalization are faced with a hugh amount of necessery costs e.g. they had to invest in trainee programms and infrastructure to sent their employees to a foreign country. Cause of this in the last years the reducing of costs became one of the major tasks of any company to establish their market position. Todays markets are very tough and you have to react immediately to be successful in the future. The companies are moving to new global operating models, driven by the rapid rise of ermerging and developing economies. The reasons for the globalization of human capital are different: • • • • an abundant, skilled man power well educated workforce low wage...
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