Chile Favored As Nearshoring Hotspot By Survey
May 5, 2011
According to a press release Latin American countries like Chile have been given high grades for lower safety risks associated with outsourcing.
The research is part of Nearshore Nexus, a conference hosted by Nearshore Americas, a leading provider of news and information on the region. Nexus is a one of its kind meeting that looks at knowledge outsourcing to nearshoring destinations. It is currently being held in New Jersey as the first such industry gathering and exhibition.
Research results confirm that Chile is a robust newcomer to the outsourcing landscape. The need to find new areas for outsourcing stems from some of the geopolitical problems surround Egypt, which was a top 4 destination for outsourcing in terms of cost savings. Other areas like Libya and neighboring African countries are also at risk of political upheavals, not to mention China’s crackdown at the Tiananmen Square protests in 1989. There are still some issues being raised against China’s violation of human rights despite the fact that it is only second to India in terms of volume in several areas of outsourcing.
It is amid this background that U.S. business leaders are reorganizing the priority list of countries that can provide consistently safe outsourcing practices. The need for stability in outsourcing is imminent, as more and more countries are prone to political problems.
A survey of more than 200 decision makers in outsourcing in North and South America, Chile was found to be one of the stable locations for outsourcing, according to Nearshore Americas. Nearly eighty percent of those polled said that Chile carries very low risk. Additionally, crime was also considered to be low by 74% of the respondents, reports prweb.com.
Outdated safety perceptions of Latin America are widespread, and decision-makers are frequently too reliant on partial or imprecise information, not assessments of the situation on the ground, when evaluating geopolitical risk on a market-by-market basis.”