Outsourcing & Offshoring OVERVIEW
Some industries, such as ecommerce related logistics saw revenues soar.
Others, such as outsourced apparel manufacturing, suffered immense downturns. Offshoring, as opposed to outsourcing, covers such a wide variety of nations, products and practices that it is difficult to put a number on the size of the market.
A significant share of offshoring revenue is created by contract manufacturing of electronics, including laptop computers, tablet computers, cellular telephones and items such as iPods.
Another major sector in offshoring is contract manufacturing of shoes, apparel and accessories.
Contract electronics manufacturing has changed dramatically over the past few years, as consumers more and more tend to use their smartphones as multipurpose devices, such as cameras, game players and music players.
However, the growing popularity of internet-connected personal assistants, such as Alexa and Google Home, help to boost manufacturing activity, and sudden intense demand for laptops and PCs for work-from-home during the Coronavirus pandemic caused considerable disruption to the supply chain. Offshore cost savings have become less advantageous in many cases, as wages and operating costs have been rising rapidly in the business and manufacturing centers of China and India.
Leading offshore services providers, such as IT consulting giant Wipro, have been opening offices and making acquisitions in America and Europe—the locales of some of their leading customers—as these international firms become more global and mature in nature. A large portion of the products manufactured offshore for corporations