Outsourcing revenue to post 30% increase
SHANGHAI expects its outsourcing service industry to record a 30 percent annual increase in revenue, Vice Mayor Tang Dengjie said yesterday.
"Shanghai has created an amiable business environment to develop the outsourcing service industry. With a recovering global economy, the sector is expected to grow rapidly this year," Tang said.
Shanghai's revenue generated from the outsourcing service industry climbed 20.3 percent to US$1.03 billion in 2009 from a year ago, while the contract value gained 18.3 percent to US$1.68 billion.
Shanghai aims to become a global outsourcing center despite fierce competition from India, another major outsourcing center.
"Shanghai should develop high-end outsourcing to avoid price wars with other areas," Tang said. "Shanghai's better business infrastructure and a large pool of professionals are its strength."
Outsourcing is the practice of subcontracting a certain process of production, such as designing, packaging or information management, to a third party to lower costs and raise efficiency.
Shanghai targets information technology, financial services, human resources, and research and development of medicines as key sectors of its outsourcing industry. By the end of 2009, Shanghai was home to 606 companies providing outsourcing services, which created 100,000 jobs.
"Shanghai has created an amiable business environment to develop the outsourcing service industry. With a recovering global economy, the sector is expected to grow rapidly this year," Tang said.
Shanghai's revenue generated from the outsourcing service industry climbed 20.3 percent to US$1.03 billion in 2009 from a year ago, while the contract value gained 18.3 percent to US$1.68 billion.
Shanghai aims to become a global outsourcing center despite fierce competition from India, another major outsourcing center.
"Shanghai should develop high-end outsourcing to avoid price wars with other areas," Tang said. "Shanghai's better business infrastructure and a large pool of professionals are its strength."
Outsourcing is the practice of subcontracting a certain process of production, such as designing, packaging or information management, to a third party to lower costs and raise efficiency.
Shanghai targets information technology, financial services, human resources, and research and development of medicines as key sectors of its outsourcing industry. By the end of 2009, Shanghai was home to 606 companies providing outsourcing services, which created 100,000 jobs.
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