Comparative Analysis Of Sino-india Service Outsourcing Industry

In today's world,The global economy is in an era of globalization. From the beginning of 1990s, the point of division and cooperation of the global economy is transfering from trade in goods to service trade. Trade in services is becoming one of the important measures of international competitiveness. The rapid development of international trade, global information network and the international division of labor of specialization greatly promots the further development of service trade. Service outsourcing, as a new form of trade in the domestic and international economic activities play an increasingly important role.Facing such a rare opportunity, many developing countries are actively to adjust their economic structure. India is the symbol of global outsourcing industry, and since the 1990s has been leading the development trend of global industries, especially its software outsourcing industry, from insufficient $10 million in 1981 to 30 billion dollars in 2008. India is recognized as one of the most important power of the software outsourcing industry, known as the "world office". As the "world factory", China is facing the block of further development. The disadvantages of low value-added industries waste of resources, serious environment pollution, slow development of the third industry is more and more obvious, Economic transformation and structural adjustment is urgently needed. Service outsourcing is resource-conserving, environment-friendly industry. With the consideration of China's current economic development, thus developing service outsourcing industry is a good choice.India as a developing country has many similarities with China. India, in the service trade, especially service outsourcing industry development has achieved great success. China's service outsourcing industry is in the primary stage of development, unreasonable structure, lack of technical content, relative weakness of overall level of international competitiveness, etc. So to learn from the successful experience of India should be able to enhance the international competitiveness of China's service industry, push China's economic transformation and the structural adjustment.There has been a lot of research and abundant achievements in the comparison and analysis of China and India service outsourcing industry.The achievements have put forward many problems that need to be further studied. In this paper, on the basis of the previous studies further discuss the differences between China and India service outsourcing industry, reveals the shortage of China's service outsourcing industry,puts forward several proposals with the reality of China. Article is divided into five chapters, four content, the first chapter is of predecessors' research and literature review, a simple theoretical achievement are summarized from different angles. The second and the third chapter are of the concept of service outsourcing industry, summarizes the present situation of global service outsourcing industry,presents a comparison of the service outsourcing industry development between the two countries from four angles,summarized the characteristics and difference of their service outsourcing industry. The fourth chapter is of relations between the two countries on the service outsourcing industry qualitative and quantitative analysis and qualitative analysis using the Michael porter diamond model from six aspects. Quantitative analysis is using the the market share and revealed comparative advantage indices. The fifth chapter puts forward several suggestions.