Founder and CEO of Remote Team Solutions. International entrepreneur with a demonstrated history of success in different industries.

Businesses and corporations are always looking for ways to grow and compete in different markets. Offshoring was born as a way to compete by lowering production costs. The strategies of offshoring and outsourcing have been used for more than half a century, since the late ’60s or beginning of the ’70s, with General Electric being one of the pioneers. Large corporations offshored their manufacturing plants to low-cost countries to take advantage of lower wages.

Based on my experience, in the late 1990s and early 2000s, large corporations found a new way to reduce their costs. This time, instead of lowering their production costs, they lowered their service and employee costs. They began to outsource their call centers, as well as back-office tasks such as customer support, to other developing countries. This was a win/win strategy for corporations as they lowered their costs and for the low- and middle-income countries as their employment rates surged.