New Everest Group ‘Risk Watch’ report assesses risks of outsourcing to and setting up Global Business Service Centers in major delivery locations around the world.
The risks and uncertainties of doing business in a disrupted world cannot be entirely avoided, but Everest Group can assure enterprises that some countries are a far better bet than others when it comes to outsourcing and setting up global business service centers (GBSs).
Everest Group has released its Global Locations State of the Market 2021: Risk Watch, which includes a risk assessment of 61 countries. For each location, Everest Group rates the risk of doing business in each location; the assessment covers important occurrences in the past year and captures positive and negative movements in risk ratings based on these events.
Everest Group uses seven parameters to evaluate overall risk across locations:
- Infrastructure quality
- Geopolitical stability
- Macroeconomic stability
- Regulations and ease of doing business
- Safety and security
- Digital readiness
- Quality of life
In addition, Everest Group offers insights for buyers of IT, business process and engineering services and service providers in the sourcing industry by identifying key risks to watch out for and major developments underway in each region.
In general, the Asia Pacific (APAC) region offers a safe and secure business environment with relatively high macroeconomic stability. The Americas offer a high quality of life in general; however, there are some concerns in this region, primarily in Central and South America, with respect to regulatory environment, digital readiness, and quality of infrastructure. In general, locations within the Europe, Middle East and Africa (EMEA) region offer high-quality infrastructure, high quality of life, and a safe and secure business environment.
Asia Pacific: 14 countries assessed
- Most favorable – Singapore, Hong Kong, Taiwan and South Korea are characterized by high quality of infrastructure, stable economy, high safety and security and quality of life.
- Least favorable – Cambodia’s poor infrastructure and concerns in the geopolitical and regulatory environment make it the least favorable business environment in the region.
Americas: 19 countries assessed
- Most favorable – Canada, Chile and the United States offer the most favorable business conditions, given the high quality of infrastructure and stable political and macroeconomic environments.
- Least favorable – Nicaragua offers the least favorable business environment in the region, given its geopolitical instability and poor regulatory environment.
EMEA: 28 countries assessed
- Most favorable – Germany, the United Kingdom, Estonia and the Czech Republic are among the leading locations offering low risk across all parameters.
- Least favorable – Nigeria has one of the least favorable business environments given its poor state of infrastructure, macroeconomic instability, and concerns around the regulatory and business environment.
About Everest Group
Everest Group is a consulting and research firm focused on strategic IT, business services, engineering services, and sourcing. Our clients include leading global enterprises, service providers, and investors. Through our research-informed insights and deep experience, we guide clients in their journeys to achieve heightened operational and financial performance, accelerated value delivery, and high-impact business outcomes. Details and in-depth content are available at http://www.everestgrp.com/