Why Should You Outsource?

Experts believe that outsourcing is essential to prosper in the twenty-first century. According to [Berger02], companies that outsource are then able to focus on their core competencies. For example, some game development companies could focus on game design and production (their core competency) and outsource the non-core activities of programming, artwork, testing, and so forth.

Beyond this reason, perhaps the most important and decisive factor for many companies is the significant cost reduction that offshore outsourcing implies. Outsourcing to Asian and Eastern European countries for this reason has been a common practice for several years, and recently new countries (e.g., Argentina and Brazil) have entered this worldwide market, due to devaluation processes, with interesting advantages that we will now examine.