Business Studies Paper on Off shoring Trends across the World

Off shoring Trends across the World

Off shoring and outsourcing operations across the world have been driven by technological advances since the late 1990s. Technology and the internet have resulted in the capacity to segregate businesses in the manufacturing as well as those in the service industry. Digitization has led to separate of services in different industries, while low end services such as coding and program testing also make it easier to off shore since they do not need in situ operations. Differences however still exist across the world in terms of off shoring practices, trends and expectations. From the West to the East, countries adopt off shoring to different degrees depending on skills availability and awareness of companies.

In the recent years, the western countries such as the U.S and some Latin American countries have formed the biggest markets for service off shoring. The UK comes in second as a market for the off shoring services. On the other hand, countries such as India are the major providers of offshore services. More than 60% of the Indian market for offshore services in the past years was dominated by the U.S while another 40% was dominated by the U.K. Countries in the Asia Pacific regions are also continuously expanding as market referees. According to Palugod and Palugod (2011), the differences among the countries in terms of adoption of off shoring as a business strategy is observable due to diversities in cultures and beliefs. Globalization has resulted in excessive need to utilize all available resources wherever organizations set up their officers. In this way, off shoring brings about the need to communicate inter-culturally across all ethnic backgrounds. During off shoring adopting practices such as cultural language and non- verbal communication cues can be effective in creating a bond in an off shoring environment.


Palugod, N.  and Palugod, P.A. (2011). Global trends in off- shoring and outsourcing. International Journal of Business and Social science, 2(16). Retrieved from