Global Services Lesson 2 Introduction to Outsourcing and Offshoring
Global Services Lesson 2 Introduction to Outsourcing and Offshoring

Time: 10 minutes
Skills: Holistic Thinking
Objectives 1 & 2
Related Resources: n/a

The instructor highlights the differences between offshoring and outsourcing:

  • Outsourcing: to procure (as some goods or services needed by a business or organization) under contract with an outside supplier.
  • Offshoring: The relocation of some of a company’s production, services or jobs overseas.

The instructor asks the student to list potential outcomes of offshoring and outsourcing: (ie. Loss of jobs, creation of new jobs, decreased prices for services, national security, etc.)

The instructor asks the students to explain the contribution of offshoring and outsourcing to the shift from manufacturing-based to services-based economy.

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