Many initial moves of expansion in global markets involved allocation of work to a single site mostly in India, China or the eastern part of the world. Cost was the biggest motivator in this regard as skilled labor is drastically cheaper in India than in the US or Europe.
It is a common trend nowadays as various enterprises are now establishing state-of-the-art development centers in a plethora of locations worldwide. Cost-effectiveness is a important factor but there are many other factors now that have come in to play:
* With a larger pool of available virtual resources placed in offshore companies, companies can now hire less full-time workers and better talents from different sites.
* With teams working in different time zones, companies can realize better utilization fof resources for software development.
* Eastern teams deliver work after completion of their day which is the beginning of the day at their western counterparts.
* Presence in a local market helps in globalization of applications and also boosts marketing.
As offshore development has been popular
(
Read more
)