Captive Center

In recent years an increasing number of Americans have visited the charming country of Vietnam for the first time. Unfortunately, they have been military personnel, government officials, and newsmen involved with the Vietnam War. I spite of the war, civilian travelers have not been banned from South Vietnam, provided they obtained required special visa. North Vietnam does not welcome Western tourists, particularly Americans.

Vietnam was mostly viewed as a state that depends on its agricultural exports and low-wage manufacturing. But that scenario has completely changed. Back in the day when Bill Gates, the founder of Microsoft Corporation visited Vietnam, he said that “there was no reason why Vietnam could not follow India into software development and other forms of outsourcing”.

In the past, Vietnam was identified as one of the unpromising countries in the world. In fact, it was in the business of making bicycles, shoes and clothes cheaper than anybody else. While established countries like India, the Philippines and South Africa were already up the race latching on more outsourcing business.

But now, it is already an emerging software outsourcing destination. If truth be told, the country has gained recognition as a low cost quality software maker in Asia. Vietnamese government is trying hard to boost its rising economy by pushing itself into higher-technology and higher-margin businesses. The

Actually, Vietnam is a top contender these days when it comes to captive centers. Factor like low wages, improving English-language skills and technical proficiency have made this country reach the top. Without a doubt, Vietnam has an edge over other top countries in offshoring and outsourcing such as when attrition and wages were getting higher in India.

Today loads of companies in North America employs over a thousand people across Vietnam through captive centers. And it appears that many potential investors had long sensed that Vietnam is equipped of doing much more after it opened up its economy in the late 1980s.

When you come right down to it, Vietnam is entering the main stream of outsourcing destinations. Perhaps it is time for you to consider Vietnam for your IT outsourcing and offshore software development too. As a matter of fact, Vietnam has long been a popular destination for offshore manufacturing, with many large American and European manufacturers establishing operations.