Has Obama overcome his aversion to outsourcing to India?
November 13, 2010

Now that President Obama has had a super successful Indian trip with business deals worth $ 10 billion under the belt that will create 50,000 jobs back home in America, will he stop flogging the outsourcing threat? No less a personage than the Prime Minister of India has publicly asserted that India is not in the business of stealing American jobs. If anything outsourcing to India has increased the competitiveness of American firms. And Bangalore is the name of an India city and not a process by which American get laid off-never mind the bad pun. Read more

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Why you can’t stop outsourcing?
October 18, 2010

In most of my blogs I mention somewhere that outsourcing to India from the US and other countries will continue till the time it makes economic sense for businesses to outsource. Proposed legislation against it would not work for the simple reason that businesses are not run on election time contingencies, but are based on the cold facts of efficiency and cost effectiveness. The recent non passage of President Obama’s protectionist legislation may or may not have been foreseen by perceptive analysts, but outsourcing would have continued unabated even if it had been passed. Read more

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Outsourcing blues: What should Indian companies do?
September 26, 2010

Now that Obama has once again come out strongly against outsourcing stressing that the 8 million Americans who lost their jobs during the recession needed succor and putting the brakes on outsourcing was one step in that direction. One may of course question the wisdom and indeed the efficacy of the move, and attribute it to populism which is aimed at garnering voter support in the coming November election; the fact is that the Indian IT sector which obtains 60% of its revenue from the US is smarting from it. Read more

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U.S. Hikes Visa Fees For Overseas Workers; Angers Indian Outsourcers
August 15, 2010

The outsourcing industry, one of India’s flagship industries, responded vehemently to a U.S. law that is designed to toughen the control of the Mexican border. It will also spike visa fees for American work visas. Many Indian IT graduates are employed on the work visa by companies in the U.S. India is among the top outsourcing locations and has dominated the outsourcing landscape for the last decade. Read more

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Will Obama’s proposed withdrawal of tax incentives to outsourcing companies impact India?
February 11, 2010

The Indian outsourcing industry does not seem to think so. As a matter of fact they are quite sanguine that it will be business as usual for Indian companies as they feel that US companies will continue to find outsourcing to India cheaper for their businesses. They are actually willing to concede that Obama may have had to resort to these measures more as a symbol of his solidarity with the people who have lost jobs in the current difficult times and also to shore up his slipping popularity ratings. Read more

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Wise words from Obama at last!
July 8, 2009

Thankfully, and before too late, President Barack Obama has changed track. Addressing a bunch of students this Tuesday at the New Economic School in Moscow, he said: “Think of what’s possible today that was unthinkable two decades ago. Read more

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Can President Obama alter offshore outsourcing for US companies?
June 18, 2009

President Obama’s new tax proposal has been widely discussed topic in the offshore outsource industry for the past month or so.  Read more

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Tax credits have no place in free market economy
May 11, 2009

Aren’t we glad President Barrack Obama finally did away with the tax incentives for the outsourcing industry? Historically, tax credits are government rewards for good behavior, say for reducing your carbon imprint, buying a hybrid car, getting a solar plant installed on your rooftop etc. Even with those sort of activities, there is no empirical evidence that tax credits incentivise good behavior.
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Trouble with TARP
May 4, 2009

I once happened to watch a TV programme that showed Japanese children in kindergarden set out in the freezing cold in nothing more than their undies! The idea, as I discovered later is to harden toddlers against adversity. Those Japanese sure know a thing or two about the competitive human spirit.
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Outsourcing elections
April 14, 2009

President Obama’s ambivalent posturing again outsourcing notwithstanding, reports are that he too engaged a team of Indian strategists to work on his presidential campaign, while a bunch of techie fans in India’s IT hub Bangalore got together to raise funds for him, and worked overtime to get their friends and contacts in the US to vote for him!
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