‘China should learn from India in developing outsourcing business’March 8th, 2008 - 5:25 pm ICT by admin
Beijing, March 8 (Xinhua) A senior member of the ongoing National Committee of the Chinese People’s Political Consultative Conference (CPPCC) here Saturday advised the government to learn from the Indian experience for developing the market for outsourcing business. Zhang Chunjiang said at the plenary session of the CPPCC that in 2006 Indian firms had 65 percent share of the world’s IT industry outsourcing market and 47 percent of office work outsourcing.
The major reason for this was that Indian firms benefited greatly from government policy, especially tax concessions, he said.
“The government shall expand preferential tax policies on software firms to all outsourcing business so as to help develop an advantage based on low cost,” Zhang said.
He said that in comparison to Indian and other foreign outsourcing companies, Chinese firms lag behind in service quality and attracting talented people.
China’s high-quality IT infrastructure has laid a technical foundation for the business and the country has already attracted a number of multinationals, which could be potential clients, he said.
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