Offshore Development/Outsourcing

Offshore outsourcing is the practice of hiring an external organization to perform some business functions (“Outsourcing”) in a country other than the one where the products or services are actually developed or manufactured (“Offshore”). It can be contrasted with offshoring, in which a company moves itself entirely to another country, or where functions are performed in a foreign country by a foreign subsidiary. Opponents point out that the practice of sending work overseas by countries with higher wages reduces their own domestic employment and domestic investment. Many customer service jobs as well as jobs in the information technology sectors (data processing, computer programming, and technical support) in countries such as the United States and the United Kingdom – have been or are potentially affected.