Introduction
Introduction
In a landscape where high-quality talent is scarce and difficult to find, nearshore software outsourcing has become a popular alternative for companies worldwide. This is especially true for countries like the United States and Canada, which are increasingly choosing to work with Latin American technology companies as their preferred partners.
In 2020, a Statista report stated that the US outsourcing industry market was valued at $132.9 billion and was projected to grow by 1.6% that year. This helps illustrate the importance of this industry, and it's no surprise, as nearshore outsourcing partners deliver expertise, high-quality results, and increased productivity and efficiency at reduced costs.
What is Nearshore Outsourcing?
Nearshore outsourcing is a business model in which a company subcontracts its business processes, services, or tasks to an external service provider located in a nearby country or region. This differs from outsourcing to another country, where the service provider is geographically distant.
Nearshore outsourcing offers several advantages over offshore outsourcing. For one, the proximity of the service provider allows for easier communication and collaboration between the two parties. This can help ensure that projects are completed on time and within budget, with fewer misunderstandings and delays.
Some common examples of close outsourcing include US-based companies that outsource services to suppliers in Mexico or Canada, or companies in Europe that outsource services to suppliers in Eastern Europe.
