It's now tilted toward the Philippines. That's where the smart startup and small-business outsourcing funds are moving - and away from India. Way back in 2008, Forbes predicted this will be a primary disruptive trend in outsourcing.
Instead of paying $12 an hour for your Virtual Assistant (VA) in India, you can contract with one in the Philippines for about $2.50 an hour. That's because wage inflation in India has been double-digits. In the Philippines it hovers around 2%.
In the Philippines, you also get the added benefit of having VAs who speak American English. That means they understand your slang such as instructing them to "play around with an idea." In India, where contract workers use British English, you usually can't leverage that kind of shorthand. Here, observe how comfortable Filipino contract worker, Joven, is with conversational English .
Another advantage which comes with outsourcing to Filipino workers is there is no caste system. In India, the caste system shapes a '"yes man" workforce. Your VAs in India see you as above them. So they fear saying "no" or delivering negative reports. Everything is "yes."
In that Happy Valley, you never get warning that the project is going over budget and won't make the deadline. As long as you structure projects so that they involve original problem-solving, your Filipino VAs will let you know how the initiative can get accomplished better, cheaper, and faster.
A fourth homerun for entrepreneurs is the mindset of the Filipino worker. That's analogous to the long-term relationship you Baby Boomers had treasured in Corporate America. They want to partner with you, for the long-term. In India, there is high turnover in just about every category of labor. The loyal Filipino workforce means you can invest in training and development, just the way Corporate America used to.
Now and then outsourcing firms outsource communications projects to me.