Hello Everybody,

I own a small, very young, EU based (Italy) company, and among other things, we sell IT solutions. I have a degree in applied mathematics, and I mainly deal with user interfaces, embedded systems, automation and web applications.

You can say that I'm an enlightened entrepreneur because I work only with open source software (OS, IDE, I release under BSD , ... everything is free as in freedom), I give high importance to post sales services and customer satisfaction, plus I think I'm the best boss someone could desire (LOL), as I have google in mind when I think about IT workers rights.

But the most beautiful thing is that, although everybody advised us not to use open source, is that we are quite profitable!!! (for the sixth trimester in a row).

Now I offshore most of the work to an Indian company. I divide the work in modules and I outsource the longer or more trivial ones. I spend a lot of time defining the specifications and I leave the hard work to them. Using productivity bonuses, a lot of prototypes and third-party audits I think that my software has reached a very good quality level.

I would like to start my own software development company, in order to improve control over process and cut costs. Obviously I can't afford the cost of labor in the EU, so I thought about opening a company in Asia.

What I need Is:

1) Cheap labor - I can afford to give productivity bonuses and higher than average wages and stay profitable just because labor is cheap.

2) Many talents - I need a good level of tertiary education, and a good number of graduates, so I can hire junior developers and train and teach them according to my needs and philosophies (e.g.: open source mind)

3) Good infrastructure - buildings, transport, internet, .... everything that a company might need.

I thought about 3 possible candidates:

1) India - I already work with indian people, I know that they are realiable and speak a good english. Big cities are too expensive, but maybe a small city like lucknow http://en.wikipedia.org/wiki/Lucknow could suits my needs.

2) China - They say it's cheaper than India, but I everytime I worked with a chineese company the language was a big barrier. They work hard, are somewhat skilled and cheap but maybe it's a risky path. Plus I feel a little uncofortable with their lack of human rights.

3) Philippines - Same as china: cheaper than india, but maybe less educated.

Where do you think it's the best place to start a software company? Any reading or book to advise?

thank you very much