Although globalisation is generally understood to mean integration of the economy of the country with the world economy, it is a complex phenomenon. It is an outcome of the set of various polices that are aimed at transforming the world towards greater interdependence and integration. It is turning the world into one whole or creating a borderless world. Outsourcing is one of the important outcomes of the globalisation process. In outsourcing a company hires regular service from external sources, mostly from other countries, which was previously provided internally or from within the country. As a form of economic activity, outsourcing has intensified in recent times because of the growth of fast modes of communication, particularly the growth of information Technology (IT). India have become a favourite global outsourcing destination in the post reform period.

Out of the options given below which of them is not a reason for India being a favourite outsourcing destination in the post-reform period.

Growth of Gross Domestic Product (GDP)

The correct answer is option (4) : Growth of Gross Domestic Product (GDP)

"Growth of Gross Domestic Product (GDP)" is not a reason for India being a favorite outsourcing destination in the post-reform period.

Explanation:

• Low wage rates: India has been attractive for outsourcing due to relatively lower wage rates compared to developed countries, making it cost-effective for companies to outsource services.
• Availability of skilled manpower: India has a large pool of skilled professionals, particularly in sectors like information technology (IT), engineering, finance, and customer service, which makes it advantageous for outsourcing.
• Growth of information technology: The rapid growth of the IT sector in India has provided the infrastructure and expertise necessary for outsourcing services like software development, customer support, and business process outsourcing (BPO).