BIZSCI IN BRIEF
With continued weakness in the U.S. dollar and increases in India labor costs due to greater talent competition and wage expectations, I expected to see changes in the shift of U.S. service work to India. Indeed, during a recent trip to India, I did see clear evidence of a slowdown in U.S. outsourcing growth. But based upon confidential estimates from in country contacts, the U.S. outsourcing market is still growing (albeit at a slower rate), and any slowdown in U.S. growth will be more than covered by anticipated growth from Europe, Asia, South America and Africa.

In chatting with the car driver about prices in India, he calculated that the dollar, approaching three to a hundred rupee, buys just a kilogram of the cheap shorter grain rice. Calculating further, he indicated the same dollar buys just a few cups of the prized long grain balsamati used for many local dishes.

Tags: Globalization