Offshoring

Offshoring is the practice of relocating business processes or services to another country, often to reduce costs. Companies might move manufacturing, customer support, or IT services abroad where labor is cheaper or regulations are more favorable. This strategy can improve efficiency and competitiveness but may also lead to job losses in the home country. Offshoring can benefit both the company and the host country economically, but it can raise concerns about quality control, communication challenges, and the impact on local employment. Overall, it is a strategic choice driven by various business considerations.