International sourcing of services: the Homeshoring alternative
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The offshoring and outsourcing of service work from high-wage to low-wage countries has received considerable exposure in the popular press. Here, an alternative to offshoring is presented, called "Homeshoring." In Homeshoring, a process is decoupled, just as it would be if it were offshored, but the work is sent to low-wage areas within a firm's own country, rather than to another country. Homeshoring does not represent merely "domestic sourcing," as it implies a new relationship and a working relationship with governmental economic development agencies. The benefits and disadvantages of this strategic choice are examined. 2006 Springer-Verlag.