Benefits of BPO

We’ve seen in earlier articles how the BPO phenomena helps Western countries (the US, Europe, and so on) by lowering the expenses of companies who outsource their back office labour. In this essay, we’ll look at how the BPO phenomenon is affecting the economy of the nations that are being outsourced to. In other words, nations like Pakistan and other Asian countries, where the majority of outsourced labour is performed, have received the greatest benefits from the BPO phenomenon.



For starters, the flood of foreign cash, particularly dollars, benefits these countries since the US Dollar is the reserve currency, or the currency in which the world’s economies trade. The premise is that by conducting outsourced work, these economies build Dollar reserves, putting them at a competitive advantage over nations with large Dollar reserves.


The majority of the employable workforce in these nations is then absorbed by the BPO sector’s employment. To put it another way, the enormous number of jobs provided by BPO businesses function as a buffer against unemployment while also allowing graduates in these nations to advance up the economic ladder. Indeed, several studies have shown that formerly economically disadvantaged groups have profited to a considerable extent from the revenues generated by working in the BPO industry. Indeed, the BPO phenomenon has been a godsend for third-world nations in terms of pulling people out of poverty and driving them into middle-class lifestyles.


Last, the BPO phenomenon has influenced Western nations’ opinions of Asian countries in a good way. Gone are the days when the West regarded Asian countries with suspicion and dismissed them as backward and unsuited for value-added labour. As a result of the BPO phenomena, Asian countries may now be considered in the same category as the West when it comes to performing cutting-edge work.




To summarize the conclusion is, the BPO phenomenon is a positive development for Asian countries in a variety of ways. It remains to be seen if the gains that have accrued to these countries will be sustained.


Benefits of BPO

Advantages of BPO

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