China’s continuing development and rapid growth of its economy has paved the way for the occurrence of outsourcing business ventures inside the country. Today, several companies are on their way to outsourcing business stardom because of the factors and benefits they get from having a business in the said country. Indeed, it’s improvement in the field of IT infrastructure and operation has made its name known to the market world of IT outsourcing. In support to this, the World Economic Forum report’s last June says, really China has made an improvement in its information technology infrastructure and has garnered a higher ranking in terms of IT usage globally. Currently, China ranked in 46th position globally, from 57th a year earlier, based on the NRI – networked readiness index.

Moreover, according to the Global Information Technology Report 2008-2009, China takes the leading position over India among the BRICS -countries including itself, Brazil, Russia and India as well. In addition, really improvements have shown the advantage of having a well-developed infrastructure to the country’s IT outsourcing industries and companies.

Merely, China is making its way to climb the economic ladder of success as it asserts its efforts to boost the country’s global outsourcing business most especially with the use of Information Technology. Way back in 2006, the announcement regarding the plans in prioritizing service outsourcing in the forthcoming years has been led by China’s central government. The support coming from the country’s government emphasizes that outsourcing business has its place in the economic dealings of the country. As a matter of fact, its Ministry of Commerce had launching projects which involved the set up of ten bases for service outsourcing before 2011 with having a budget of at least 100 million Yuan (US$12.5 million equivalence). Actually, the project is aiming to convince the 100 multinational corporations in a way that there will be a partial transference of their outsourcing business into the mainland China with regards also in grabbing the opportunity to have a 1000 large-scale international service outsourcing enterprise. Also, a 15 percent preferential corporate income tax, have been granted to China’s outsourcing companies. Likewise, this development report assures that outsourcing companies has a chance to increase its productivity and achieve maximum business satisfaction.

Furthermore, a lot of outsourcing companies are also outsourcing IT related services in the country. Many foreign business investors are being attracted to invest in the mainland China despite the fact of the economic downturns phenomenon. On the other hand, one of the leading IT services provider company, Long Circle, a US-registered company founded by Hayden Hong in 2005 have helped China in terms of IT outsourcing development. This IT firm provider has been providing IT services for a long time. Such outsourcing services includes GPS, mobile, VoIP, wireless, video surveillance, .NET and communication products to high-tech clients from around the world, including Motorola (MOT) and China Telecom (CHA). All these services have made China’s global outsourcing market boom and enhancing the capacities of the country as a successful landmark for IT outsourcing business. Stressing the situations of the country, the economic downturn is making China’s strengths more attractive. “We are finding a lot more interests in our service from global customers in these recent months,” says Hong. “Some of them have gone through downsizing. Our cost advantage is attractive in good time, and equally attractive in bad time.” This hopeful statement encourages every business enterprise to be seemingly not hopeless because of the government’s unending support and thrust.

Even more and more Chinese businesses and public agencies also contract out their IT, back office and call center operations. This is due the fact that a lot of firms can render their services and has the ability in offering connections to Western firms as way to enter the world of new foreign markets competitively. Chen Yuhong, Chinasoft’s managing director, once said to a Los Angeles-based newspaper last year, “We tell them, “You give us business in [your country], and we’ll give you the market here.”

Finally, China’s potential to develop its engineering talents and global outsourcing business is making a room to grow and being a worldwide top outsourcing service provider in the coming years.