Tuesday, March 13, 2007

An unlikely competitor

Thanks to India’s blazing success in outsourcing, developing states all over the world are searching the same magical solution to improve their often-struggling economies. India becomes much searched for country, as delegates from around the world are looking for advice from experts that run its hundreds of call centers, into-tech support operations, and back-office processing facilities.

Among those is an unlikely competitor indeed:

Botswana, a little landlocked country on the African continent—a continent not much looked to in the search of outsourcing opportunities— which suffers from an HIV epidemic that affects about one third of the work force, is now advancing into the competitive outsourcing market.

Botswana, with only 2 million people, has nevertheless some things going for it: It has been a stable democracy in the region, its good governance has given it the honorable status of least corrupt nation in Africa, and its government is bend to use its English language skills to build call centers to pave the way to economic growth. Smart economic management and incentives, such as offers to exempt foreign businesses from value-added taxes; a flat 15% corporate tax rate guaranteed until 2020, and unbeatable, 200% credit on employee training programs, are making Botswana a pleasant location for business. Botswana may indeed evolve to be an unlikely competitor in the outsourcing market.