Top 5 Reasons for Outsourcing to Thailand
If your company is thinking of outsourcing, you know that Asia is your best bet. Most countries in Asia are very welcoming and are open to doing business with foreign companies. They also have a diverse range of services that are offered at a lower cost. Most importantly, many companies look towards Asia when it comes to outsourcing because they have skilled and experienced workers that are able to compete globally. Having a colorful culture and accepting policies also makes them even more desirable.
Take a look at Thailand. This South East Asian country is known for its vibrant culture, amazing tourist industry, and exquisite cuisine. What most people don’t know is that it is also an Asian outsourcing landmark. It’s a country that attracts many businesses for a number of reasons. Check them out below.
1. Incentives for Foreign Companies
Since the beginning of the 20th century, the government of Thailand has been allocating funds to develop its own smart cities. They have done this in hopes of driving more development towards a modern logistics and highly-digitized system through supporting foreign companies. As a result, companies who are investing in automation and are doing business in Thailand will receive tax incentives, exemptions on import duties, and more.
2. Welcoming Business Policies
Thailand is also hailed as a country where companies can easily do business. They have very welcoming policies that make them more attractive to investors. The country constantly updates its rules and regulation to keep up with the ever-changing market. They also protect investors and have a reliable system for new businesses. Even issues related to bankruptcy can be easily solved as Thailand has effective plans for these.
3. Increase in Economic Growth
In less than a generation, Thailand has moved from a low-income country to an upper-middle-income one. They have steady economic growth and it is evident in how they have continuously decreased their poverty rate. The quality of life is constantly improving and this has created a healthy working population that has helped push Thailand into having steady economic growth. Their government also has an extensive 20-year plan to continue strengthening and improving their economy.
4. Outstanding Manufacturing Sector
In their extensive economic transformation plans, it was detailed that Thailand will adopt smart technologies, green technologies, and innovation to boost their already outstanding manufacturing sector. Other technologies also include knowledge automation, blockchain, cloud, Internet of Things (IoT), 3D printing, and more to support various industries. This will result in businesses that are digitally ready to carry out Thailand’s plans of having smarter cities.
5. Great Location
Compared to other countries, Thailand is positioned as a gateway to Asia — also known as the fastest growing economic market in the world. Its prime location allows it to be the preferred destination for foreign companies looking to invest in Asia. Its transportation and infrastructure also make connecting to other countries easier. Additionally, many multinational companies have made Thailand their hub which makes the location more attractive to other foreign investors. Companies like Nestle, Toyota, IBM, Sony, Chevron, and more have headquarters in Thailand.
Outsourcing to Thailand
Thailand is the place to be for the outsourcing industry. Aside from its strategic location, its steadily growing economy can provide safety for foreign companies. Having welcoming policies and incentives also makes conducting business easy and rewarding. Moreover, Thailand’s extensive plans of creating a smart city that prioritizes innovation and pushes technology can help propel your business forward in such a digitally-driven environment.
Outsourcing your business to Thailand is no easy decision. You must first consider if this location will be beneficial for your business’s longevity. In this, we’d love to help you out! Book a free business consultation with Outsource Asia today and let us answer any questions you may have.