Cramer's 'Mad Money' Recap: Your 'In' on Outsourcers

01/16/07 - 07:57 PM EST

TheStreet.com Staff

Click here for an archive of Cramer's "Mad Money" recaps.


Taking a look at offshore outsourcing on his "Mad Money" TV show Tuesday, Jim Cramer told viewers about the two major contenders in this field: the U.S. and India.

In the right corner, weighing in at a combined $39.5 billion in annual revenue, there is the U.S. tag team, said Cramer, which consists of Accenture (ACN Quote) and Electronic Data Systems (EDS Quote).

And in the left corner, from the streets of Bangalore, with annual revenue totaling $5.6 billion, he said, are the Indian challengers, Infosys Technologies (INFY Quote) and Wipro (WIT Quote).

Setting the stage, Cramer, donning a ref's uniform, said that in the ring are four of the best consulting and outsourcing companies fighting for a bigger piece of the pie. They are all the same kind of company, he said.

Cramer said he understands and sympathizes with the anger that people feel over outsourcing, and agrees that the government should stop ignoring the harm caused by globalization.

But on "Mad Money," Cramer said he doesn't deal with politics and chooses to focus on making people money instead.

While most people know what a "huge market" outsourcing is, what they don't know is the sweet consulting game, he said. Consulting firms get paid to make decisions for other companies, Cramer explained.

"When a company needs to improve its performance, it brings in consultants."

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