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Difference Between Offshore, Nearshore And Onshore Outsourcing

By Expert Author: hadennmichael

In the 90s, when the term ‘offshore’ was first used in the IT industry, it denoted any form of software production that was outsourced to a different country for reasons related to lesser labor cost and the fee charged for the services. This term was also used for coast oil drilling (i.e.) Territories, where some taxes are not on all levied or charged at a lower cost. During those periods, the nations suitable for offshore outsourcing were some parts of Russia, Europe and most importantly India. Later, when the internet access gained importance, some people came with the idea of reducing the distance, mainly to reduce the difference in the time zone. This resulted in the introduction of the concept called ‘nearshore outsourcing’.

For the United States, the concept of nearshore outsourcing, applies to countries falling under Mexico to Argentina. When it comes to European countries, it denotes, countries located in the eastern part like Turkey, Serbia, Bulgaria, Romania, Poland and Czech Republic. Like this, every nation has their own neighboring countries for outsourcing the work. For instance, for countries located near Costa Rica, there are companies providing Costa Rica Software development services.

When talking about onshore outsourcing, it is of course letting out the work within the country, in such a way that the service provider can be reached not only via phone and internet, but directly as well.

Even though, some years ago, organizations were showing interest towards letting out work under the method of offshore outsourcing, nowadays, they are showing interest towards an onshore alternative. This is because this alternative is not longer in distance as the offshore option and also not shorter in distance like the onshore option. It is the middle and also it is turning out to be a convenient alternative as well. In addition, there will not be the huge time difference between the two countries, which will be a convenient option for the working force to improve their productivity considerably as they will not have to work in varied shifts.

As mentioned earlier, countries near Costa Rica, like Bahamas, US Virgin Islands, Cayman Islands, Cuba, Ecuador and Saint Lucia looking for the best nearshore software outsourcing can get in touch with Costa Rica Software development companies for getting their work completed in the best manner. Also, nearshore option will provide them the opportunity to save a lot on the task.

Hope, the difference between offshore, nearshore and onshore would have been understood.

This content has been taken from http://goarticles.com/article/Difference-Between-Offshore-Nearshore-And-Onshore-Outsourcing/8547701/

If you are looking for best Costa Rica software development, then Antaresmit.com is the right place for you. It is a nearshore IT software outsourcing company in Costa Rica, develops many advanced software solutions for your business development. To know more, please Click Here.

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