Chile is a country in western Latin America. Over the past few decades, the country has been encouraging software development. Colombia is a northwestern country in Latin America and an emerging market economy for outsourcing businesses. Uruguay is located on the southeastern coast of Latin America. Mexico is situated in southern North America and has similar time zones as the US.
Read about the additional benefits of outsourcing to Mexico. This Latin American country is also fast gaining popularity as a software outsourcing destination. Peru is a Latin American country with a stabilizing economy and a growing number of foreign direct investments. Bolivia is located in central Latin America.
While initially slow in digitization, the country has dramatically improved its digital infrastructure in recent years. Countries like Brazil, Chile, etc. In this article, we covered everything you need to know about outsourcing to Latin America. Use the information to decide whether Latin America is the right outsourcing destination for your company.
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Necessary Necessary. Non-necessary Non-necessary. Another thing to consider when you are choosing between these two concepts is the price that you are ready to pay for the services. Offshore regions are widely known for their extremely competitive low prices, while nearshore regions are a bit more expensive. You can still expect the prices for nearshore software developers to be two-three times lower than in the United States. Lower rates do not necessarily mean that your software developers are less experienced or will work not as well as you expect them to.
Low quality is usually the biggest concern for business owners when choosing between nearshore and offshore options. Keep in mind that the country where you will outsource your development projects needs to share your culture and language, which will be the foundation of trust in your business relationship.
When deciding whether to leverage offshore or nearshore outsourcing, consider the following points below in order to guide you to whichever fits your organization best.
For many companies, this is a decisive factor when choosing an outsourcing provider. If reducing costs is your number one priority then offshoring would be a more sensible choice because of the lower hourly rates of other countries.
If you are ready to pay a bit more than the minimum, you might want to consider nearshore outsourcing to keep the remote team in the same time zone. At the end of the day, you will be hiring people, and finding the right fit is important. When you are choosing between nearshore versus offshore, you need to know that the biggest difference between them is the location of your outsourcing company. The time zone difference between the US and South America is on average less than two hours, which means there is more time for teams to coordinate and stay in touch.
The location also brings out the cultural differences, which can be an asset to your company if you are looking to enter a new market or looking to receive a fresh point of view on the problem. Collaboration is key to establishing productive professional relationships with an outsourcing provider. For that, you need to make sure that communications are not complicated by the language barrier. English is widely spoken in South America , which makes nearshore locations a bit of a favorite here.
Most of the South American countries show high proficiency in the English language, beating out China and India who have remained at low proficiency. Cultural fit is usually not the main concern when choosing between nearshore and offshore options.
However, it can play an important role in a successful development process. Share the same culture is important for a fruitful collaboration.
Countries in South America are experiencing an increase in interest for development talent from companies all over the world. Many of these companies come from the United States because of their geographical proximity and time zone similarities. South America is changing the perception that outsourcing is a risky business and is becoming a significant IT provider in the global arena with thriving economies and industries led by Brazil, Chile, and Argentina, among other countries.
South American outsourcing companies are winning the hearts of their American partners with cultural similarities, time-zone compatibility, and a tech-savvy demographic. In a perfect world, outsourcing should be painless. But many end up getting burned by firms that operate overseas. South America is a relatively new region to outsource from and has kept a good track record of passionate developers that are eager to do good work. Putting together a good team of developers from South America has several good things going for it.
South American governments invest in technical education, which allowed for the initial foundation for talent to flourish. While conversion rates from the U. S Dollar to any South American currency are favorable, the real value comes from the passion that South American developers have for their work and their eagerness to participate in the U. S tech market. So why outsource to South American software engineers? To put it bluntly, they do good work.
The cream of the crop know their tools and understand how to take a project from start to finish while making thoughtful considerations on software architecture to prepare applications for scaling and performance.
South American countries attract many global corporations that want to take advantage of the benefits remote engineers have to offer. Many talented developers have worked with global organizations on projects, learning new ideas and skills in the process.
Outsourcing is usually associated with cost-reduction. Those looking to minimize costs tend to roll the dice on countries like India, which has a subpar record of delivering value.
Countries in South America tend to bring substantial experience and work ethic to the table beyond the lower price tag. Being cost-efficient while maintaining a high quality of work is what makes South American countries strong players in the global software development arena. Bolivia is not the best known country in South America for software outsourcing, but that is its intrinsic advantage.
It has a solid infrastructure and an excellent university system that graduates 's of students with Bachelor of Science and Master's Degrees in computer science, but it does not suffer from an influx of research centers and large offshore companies.
Companies such as AssureSoft have access to this excellent talent pool and the ability to provide long term careers. The result? To learn more about the benefits of Outsourcing to Latin America, please contact us at latam assuresoft.
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