Outsourcing? Head to Europe

9 May 2007
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10 May 2007

Central and eastern Europe is "hard to beat" as an outsourcing location, new research has found.

The cultural similarities and language skills of European locations have made them increasingly attractive for business process outsourcing, according to the Everest Research Institute. The number of providers in the region has grown by 88 per cent since 2004.

EU accession for many countries in the region has also helped. Sabimir Sabev, engagement director at the Everest Group, said: "EU membership has provided comfort in the business environment and from a regulatory standpoint".

He said cities in the area could be divided into two groups. The first comprises more mature locations, such as Prague and Budapest. The second, featuring less well-known locations such as Brno and Riga, can be cheaper, but represents a greater risk to buyers.

He urged countries to do more to attract buyers. "They must address the market with a unified voice."

SMmay2007

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