We have an full report talking about the top destinations when it comes to software outsourcing, in which we briefly talk about Panama and the many advantages this small country has when it comes to IT outsourcing services, you can check that out here, and continue with this reading later.
In thar previous blog we mentioned how several different countries of Central and Latin America are slowly becoming huge software outsourcing competitors, so much so, the latin america software outsourcing market is slowly surpassing India.
Of course, Latin America is a huge region to tackle when looking for a nearshore solution partner, which is why today we will focus only on Panama, discovering the software outsourcing market of this powerful country.
Before we dive in into understanding Panama’s IT outsourcing market, let’s take a moment to evaluate the situation in Latin America, and how the forecast looks for this region.
For starters, after Asia, Latin America is the second largest IT outsourcing services sector in the world, this according to a report made by Stack Overflow. A report that also shows that over 1 million software developers reside in the different countries of Latin America.
It is also important to mention that Latin America is catalogued as the second most engaged region in outsourcing, surpassed only by Southern Europe, and even sitting over Asia.
When you take this numbers into consideration, it becomes extremely clear that software outsourcing in Latin America is truly becoming one of the strongest sectors of this particular market, with nothing but expected growth for the upcoming years.
If you would like to read more about the current status on the latin america software outsourcing market, make sure to check out our previous study about it, where we touch on several different important topics regarding this matter, here.
When most people look for a nearshore solution in Latin America, they tend to go for countries like Brazil or Argentina, two super-countries with that represent a great outsourcing destination, but today, it’s time time to take a look at Panama.
This large but small country is actually located in Central America, however, when it comes to the outsourcing market, they are considered as part of the Latin American region (same thing that happens with Mexico)
The thing with Panama, and what sets them apart from most of the other countries, is how technological advanced they are and the easiness for business that reigns in this particular region.
Take a look at the numbers, for example. Panama has been one of the fastest growing economies during the last five years and counting, not to mention, they are known for adapting to new technologies and a taste for improvement.
When you combine the strategic location of Panama, its history with the United States, and their growing business market, it makes perfect sense that they are slowly but surely locating themselves as the next bit software outsourcing destinations, both for offshore and nearshore solutions.
Just like we mentioned before, Panama has one benefit that other countries simply don’t: Their unique global location. Being so close to the United States, and still being part of Latin America makes them the best nearshore solution.
As a matter of fact, according to a report made by Business Panama, the IT outsourcing services and nearshore solution wave has picked up in the region in the recent years thanks to the many services this country has to offer to foreign companies looking for a software solution.
This has made companies from everywhere, especially the United States and Canada, outsource their software development processes to this country over the years, considering Panama as their first nearshore solution option.
It is also worth to mention that even when India is still one of the biggest offshore developers in the world, European countries are starting to movie their services towards America, specifically, Latin America, which contributes to the growth of Panama in the offshore outsourcing market as well.
We have previously talked about why you should outsource to Latin America and the many benefits working with a nearshore company from this region could bring you, which you can read, here.
However, today we will talk specifically about the reasons why outsourcing to Panama will be perhaps the greatest decision you will ever make. And we will based our report on three factors that usually influence people when they look for a nearshore solution:
1. Language barrier
2. Talent pool
3. Nearshore opportunities and options.
That being said, we will also touch on subjects like: Prices and experience, since those are two main factors that make or break a decision for any company that is looking for a software outsourcing solution.
As stated in the article/report made by Business Panama, english is the country’s second language, meaning nearshore solution companies in Panama can easily manage both english and spanish without any problem whatsoever.
This opens a huge door of possibilities for US and Canada based companies that are looking to outsource to Latin America, specifically to Panama, since they won’t have to worry about any language barrier at all.
We have mentioned several times through most of our blogs how looking at the talent pool of each country is extremely important before deciding who will be your nearshore solution partner, and this case is no exception.
Panama is a country that embraces technology, encourages education, and has a high range of college graduation population, with over 91% of their general population managing to finish each state of their studies.
This means Panama has a very high rate of professional and certified software engineers who are qualified to enroll in your software development projects any time you need them.
Due to the fact Panama is such an advanced country, the presence of nearshore solution services and nearshore companies is well known all across the region, with many companies already established mainly in the capital of the country.
Of course this means you, as an outsider, get more options to choose from and more opportunities to find the perfect software outsourcing partner that can match your necessities. From big to small nearshore solution companies, Panama has an option for everyone.
This of course embloges the other two factors we mentioned, such as price and experience. With so many different options to choose from, you’ll experience a great variety of price ranges (most still cheaper than companies in the US), and several difference when it comes to the experience and expertise of each company.
Like we previously said, it is up to you to find the perfect nearshore partner that meets the specific requirements for the project you’re planning to develop. The options will be there, you just have to pick right.
Luckily for you, Panama is a great country for software outsourcing, and you won’t have a hard time finding a nearshore company you actually feel comfortable working with, that’s for sure.