Outsourcing and offshoring are two business strategies used by companies to optimize operations, reduce costs, and improve efficiency. While they are related concepts, they have distinct characteristics and implications.

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Outsourcing & Offshoring

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• The term “Off-shoring” is referred to the outsourcing
of business processes to a location distant from the
service consumers.
• The term “Near-shoring” has been coined by the
Latin-American countries to refer to their close
proximity to the US and other major service
consumers.
• “Farm-shoring” means the placement of jobs in low-
cost regions of the service recipient’s home country.
Offshoring, Near-shoring & Farm-shoring

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Ways of Business Process Execution

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Reasons for Outsourcing

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Business Processes Outsourced

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Avoiding Outsourcing Pitfalls