Offshore refers to activities located outside a country's national boundaries. The document discusses offshore outsourcing, where work is contracted to other countries to reduce costs. India is the largest offshore outsourcing market due to its skilled workforce and government support of education. Offshore outsourcing provides cost savings up to 80% and allows companies to focus on core competencies. Common destinations for offshore outsourcing include India, China, Mexico, and the Philippines due to lower costs and skilled labor.

1. Topic
Offshore

3. What is “offshore”
Offshore is based outside of one's
national boundaries. The term offshore is
used to describe foreign banks,
corporations, investments and deposits.

4. Introduction
•Began in 1970s with U.S. computer manufacturers hiring technical
staff from India for service centers (initially to save costs).
•India developed skilled base of technologists (understand wide
range of ops systems and service a variety of hardware).

5. Barriers of the trade
•Communication due to language/cultural barriers
•Time differentiations
•Bad management, Security issues

6. Demand started…
India

7. Start for india
• Most mature here
• Holds 85-90 percent of offshore outsourcing market today
• Maturity due to government support for past decades and their
continued improvements of the education system built by the
British

8. Size of market
• In 2014: $20 billion market
• in 2015: 3.3million US jobs and $136 billion in wages
will transfer offshore.

9. Where
Off Shore
• India
• China
• Mexico
• Ireland
• Canada

10. Where
Off Shore
• Singapore
• Russia
• Malaysia
• Philippines
• Pakistan

11. Purpose of the trade
•Cost savings – up to 80 percent
•More resources = attention to core competence, design and
business knowledge

12. Purpose of the trade
•Offshore needs meet with competence
•Demand for temporary work and consulting met
•On-demand, at short notice, without commitments

13. Why Invested
• Specialist financial services : Highly developed financial
services sectors with expertise in stock broking.
• Lower levels of regulation : A broader range of investment
options are available.(huge funds)

14. Why Invested
• Avoidance of forced heirship: Rules, a person is not free to dictate who
will inherit their estate. Alternatively, forced Alternatively heirship laws
require a departed person's estate to pass to one or more blood relatives
(usually children and grandchildren).
• Investment diversification : Risk can be managed by diversifying
investments among a wider range of options than are available for
onshore investment.