Outsourcing Results Preservation (Bulgaria)
Bulgaria is among the European countries that have achieved impressive progress in outsourcing for the last few years. This is a destination that long ago turned into a synonym of a successful outsourcing platform providing vast opportunities for new business projects development as well as re-distribution and dislocation of departments and branches of big corporations.
A considerable growth was accomplished through outsourcing of IT and business processes in the last few years. Computer programming, software solutions development and overall high-tech industry achievements have reached impressive results – the revenue of this outsourcing type is nearly 1 billion leva on an annual basis. „Raw“ numbers are, however, not the only reason for optimism in Bulgaria – the far more important result could be the long-term efficiency of the national economy, the competence and qualification of the labor force, etc.
Outsourcing investments in Bulgaria are not equally distributed in geographic and economic terms. Almost 85 % of them are concentrated in the capital city of Sofia. A great part of the rest outsourcing business projects is located in the country’s second largest city – Plovdiv. As a rule of thumb, investors concentrate mostly on destinations popular for their educational potential – not surprisingly is Plovdiv one of the typically appropriate for that purpose places (several universities and 40,000 students).
The high growth in outsourcing achieved by the country in the last few years should be preserved. This is one of the main tasks before the Bulgarian economy and the new Bulgarian government in particular. This challenge seems even greater in the context of the ongoing internal political crisis and the fragile economic results in national and international terms. Of course, Bulgaria is most likely going to preserve its advantages over other European countries, but the preservation of the outsourcing growth rate is an open question for now. Logic dictates that once being recognized as “hospitable” and open to foreign investors the country will relatively easily manage to maintain and even add to its achievements in this regard. And yet – only time will show if the national results in outsourcing will turn out invaluable economic assets with long-term investment efficiency.