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Northeast as “outsourcing capital for Brazil”

February 19th, 2009

If Americans outsource to India (because of language, cost & skills), and Japanese outsource to China (for language*, cost & skills)…where do Brazilians go for outsourcing?  Where can Brazilian companies go to cut costs?

My idea is that there is an opportunity for the NE region of Brazil to transform itself into the “outsourcing capital of Brazil”, focusing on delivering remote services to the (more expensive) southern part of the country.

Clearly, the NE region of Brazil could service the more expensive SE in terms of language and costs, but what about the necessary skills?  Im not sure about the availability of enough educated workforce, but if it doesnt exist yet, then it could be an area for strategic investment by the government (targeting education specifically for call centers, BPO, etc).

When looking at long term “comparative advantage”, the NE of Brazil clearly has all of the ingredients to transform itself into the “outsourcing capital of Brazil”.   My thought is that companies in southeastern Brazil could “outsource” to the NE of Brazil….where labor rates are much cheaper than in the South / Southeast.   Idea:  turn the NE region into an outsourcing hub to service the (much more expensive) Southeast region of Brazil.

http://www.classicprotectionsys.com/images/callcenter.jpg

* In Northern China, in a city called Dailan, there is a massive Japanese-language focus, with a huge center for Japanese outsourcing.  Read more here


Brian D. Butler Pernambuco, development , , , , , ,