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Business / Industry Watch

Outsourcing summit shows off vitality of the sector

By Wang Xin (China Daily) Updated: 2013-07-03 08:03

Outsourcing summit shows off vitality of the sector

The ChinaSourcing Summit draws a great number of IT service providers, executives of multinationals, representatives of trade associations and top analysts from around the globe. Photos Provided to China Daily

Outsourcing summit shows off vitality of the sector

Big international buyers meet with domestic suppliers, Wang Xin reports.

The ChinaSourcing Summit that opens on Wednesday in Hangzhou, Zhejiang province has drawn about 200 buyers seeking service providers, roughly three fours of them from abroad.

Among the international buyers are big names such as cell phone maker Nokia, IT titan HP, consumer goods manufacturer Johnson & Johnson, engineering conglomerate ABB and electronics giant Philips.

"The international and professional business gathering will integrate wide resources in the IT service-outsourcing sector and promote exchanges and cooperation," said Zhou Ming, executive vice-president and secretary general of the China Council for International Investment Promotion, organizer of the annual event.

Service buyers are the majority of participants in the ongoing three-day meeting, with a three-to-one ratio in proportion to suppliers.

That reflects a trend in the industry - leading service suppliers secure orders and then sub-contract some of the deals to smaller businesses for final delivery, Zhou said at a press conference in Beijing in mid-June.

Legions of Chinese service providers present a stronger force at this year's summit, with a growing group of leading players and growth companies from the home turf, she said.

The vice-president recalled that international buyers invited to the first session of the event in 2008 found it hard to find counterparts.

Then still on the early stage of development, the domestic service industry stayed weak and needed nurturing, she added.

Years of development have brought maturity to domestic suppliers that are now in a position to have dialog with overseas buyers, she said.

As domestic companies become increasingly competitive and confident, the summit is open to more of foreign providers.

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