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By maria lopez on Oct 8, 2009 |Business
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There are many geographical locations to set up a call center industry. But what makes India and Philippines call center industries the strongest in the world? There are many factors that one has to consider for a geographical location to be absolutely perfect for a contact center business processing. These factors are: big population, readily available infrastructure, cheaper costs of utilities, cultural affinity, and mastery of the English language. Big population Every contact center location has to consider if the area has a big population. Why? First of all, a large population means a lot of things. If an area in the third world is so densely populated, then more often than not, it also means that labor is significantly cheaper. The third world has always been exploited for cheap labor. And there is no need to prove to anyone how large the population in India is and how cheap labor is in that country. Now, some people might be doubtful of the population in the Philippines, but they would be surprised to know that the archipelago is so densely populated. The density is especially true in the cities such as Manila, Baguio, Alabang, and Cebu City. But a large population can be found in so many third world countries. There must be other factors to determine whether a call center business will be successful in a location or not. Readily available infrastructure There are readily available infrastructure in both India and the Philippines. The business centers in these two countries have burgeoned and even more buildings are being set up in order to accommodate the growing industry of BPO as well as KPO. There are also readily available phone lines, power, and telecommunications infrastructure and companies offering cheap and quick internet connectivity that is absolutely necessary for any call center. Both India and Philippine call center businesses are provided with fast and reliable internet connectivity because various telecommunications and internet companies have set up the infrastructure in those countries. Cheaper costs of utilities Water and electricity utility bills are not as expensive in the Philippines and India as compared to the United States. Also, compare the Peso and the Rupee to the dollar and you will see that the exchange rate also works in the favor of companies that use dollars. These companies will simply get more bang for their bucks if they spend it in the two aforementioned companies. Cultural Affinity and Mastery of the English Language India has been a British colony, while the Philippines has been a U.S. occupied colony. Almost everyone in the Philippines can speak and understand English and in India, if not almost everyone, a very large part population can. Western shows and influence are also prevalent in these countries. These factors alone are perhaps the most important in the success of the two countries in the global contact center industry game. China and Latin America are also great locations because these have the same large population, infrastructures, and cheap expenses. But these countries do not have cultural affinity and a Mastery of the English language that India and Philippines call center businesses can take advantage of.
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About maria lopez
Maria Lopez is a professor of Media studies and Sociology at the Iowa University and does freelance journalistic work in her free time.
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