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#nearshore ukraine
mariacallous · 9 months
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The divergence between the Republican Party’s internationalist and more isolationist wings was on full display at the first debate of the U.S. presidential primary season in August. But though contenders were divided on how to counter China’s quest for global supremacy as well as on the U.S. response to Russia’s invasion of Ukraine, they seemed to approach consensus on a third foreign-policy issue: the need to take unilateral, kinetic action against Mexico’s cartels. Mexico occupied such a sizable portion of the debate’s foreign-policy discussion that willingness to “take out the cartels” appears to have become something akin to an early litmus test.
The Republican hopefuls are right to sense something deeply flawed about the current state of U.S.-Mexico relations, but the dynamic of both countries holding near-simultaneous presidential elections in 2024—something that occurs only once every 12 years—coupled with the penchant on both sides of the border to use the other as a cudgel in domestic politics, presents important and underappreciated risks. A cycle of retaliatory rhetoric and escalating policy proposals risks damaging a relationship in need of repair. This tit-for-tat could strengthen Mexican President Andrés Manuel López Obrador’s hand. Now that his term is almost up, if his chosen successor becomes president and continues his policies, it will hamstring U.S. efforts to rebuild security and economic ties.
Much of the Republican Party’s focus on Mexico is attributable to López Obrador himself. Not only has the United States’ top trading partner pursued an economic policy that is at odds with the openness of the preceding 20 years, but several of López Obrador’s policies have violated the United States-Mexico-Canada Agreement (USMCA), agreed to in 2018 to replace NAFTA. Meanwhile, the cartels have grown in lethality and criminal sophistication during his nearly five years in office, despite his insistence to the contrary.
A consummate nationalist, the Mexican president has systematically deconstructed what was once robust bilateral security cooperation. Describing his security policy as “hugs, not bullets”—a nonexistent policy—López Obrador successfully pushed for a “foreign agent law” to limit the operations of the U.S. Drug Enforcement Administration (DEA) in the country, destroying much of Mexico’s actionable intelligence; received the family members of notorious drug traffickers such as Joaquín “El Chapo” Guzmán; and upheld the preposterous notion that Mexico does not produce fentanyl, even as his own armed forces tout monthly seizures of the deadly substance.
The results have been all too predictable. It is estimated that cartels control nearly half of Mexico’s territory—a figure that could be an undercount. Seven of the 10 most homicidal cities globally on a per capita basis are now in Mexico. With roughly a year remaining in his term, homicides on López Obrador’s watch have nearly equaled those during his predecessor’s six years in office and have far surpassed those under former President Felipe Calderón, who launched a frontal challenge to cartels that López Obrador derides as a feckless “war on drugs.” At the border, disorder reigns, with illegal crossings rising again after a brief period of decline. And farther north of the border, for several years in a row now, American overdose deaths have topped 100,000, much of them attributable to illicit drugs produced in or trafficked through Mexico.
All this has had deleterious effects downstream for Mexico’s economy, as well as key U.S. foreign-policy objectives. Despite record interest and financial incentives to nearshore supply chains from East Asia, Mexico—which represents about one-quarter of Latin America and the Caribbean’s regional GDP—received just 17 percent of all foreign direct investment to the region in 2022. In the midst of a full-blown security crisis and policy uncertainty, Mexico has yet to convince foreign companies that it is sufficiently stable to support large-scale investments in strategic sectors such as semiconductors.
Given the grim reality, then, Republican impatience with Mexico is understandable. Yet the prevailing consensus in the Republican primary on the use of force seems equally misguided. Deploying troops to Mexico, launching precision-guided munitions to blow up fentanyl labs, or initiating a trade war through escalating tariffs: This is a counterproductive set of solutions to all the right questions. Further, the more these policies consolidate within the candidates’ foreign-policy debates, the more Mexico’s presidential candidates will feel domestic pressure to respond in kind. That will be a temptation not just for candidates such as former Mexico City Mayor Claudia Sheinbaum, López Obrador’s preferred successor and ideological kin, but also Xóchitl Gálvez, a little-known senator who has come out of nowhere to capture the nomination for the Frente Amplio por México coalition—and who offers the opposition the best chance to challenge López Obrador’s grip on Mexican politics.
There is also the question of what the relationship between the two countries will look like after simultaneous elections. Even a candidate like Gálvez, whose National Action Party arguably took U.S.-Mexico cooperation to its apex the last time it held the presidency during the Calderón years, could be forced to fall back on the defense of sovereignty if faced with the specter of U.S. action on Mexican soil. For López Obrador’s leftist Morena party, the defense of sovereignty forms a critical part of its appeal, and exhortations to send in U.S. forces may well provide further motivation for Morena’s project of selective strategic uncoupling from the United States. In either case, presidential candidates should avoid sowing the seeds of a complete breakdown in bilateral cooperation once the campaign dust settles.
It is inevitable that the role of each country in the other’s domestic politics will contribute to heightened tensions. After all, Mexico has featured prominently in modern U.S. elections since before the passage of NAFTA. Throughout Mexico’s democratic history, candidates positioning themselves as anti-American, anti-imperial sovereignty hawks have always reaped electoral benefits. Although the two countries share much in common through decades of integration, there is also a long history of pillorying each other for electoral gain. The U.S.-Mexico relationship has survived an extreme form of campaign politics in the past. The goal should thus be to maintain a bilateral relationship that can endure the mutual recriminations and set out to aggressively pursue strategic interests once Mexico City has held its inauguration in late 2024 and Washington has followed suit in early 2025.
Although the erstwhile Mérida Initiative, a bilateral, bipartisan approach to security cooperation that embraced “shared responsibility,” may be dead, it is imperative for the next administration to get U.S.-Mexico security cooperation back on track with a comprehensive plan of action. In order to meet López Obrador’s demands, the Biden administration negotiated the so-called Bicentennial Framework, which replaced Mérida, slimmed cooperation, and shuffled the pillars to deprioritize security and interdiction to focus instead on development initiatives. Yet López Obrador’s abject neglect of public security has featured the proliferation of hundreds of criminal organizations as well as the consolidation of Mexico’s two largest groups, the Sinaloa Cartel and the Jalisco New Generation Cartel. Further, the DEA says it seized enough lethal doses of fentanyl in 2022 to kill every American, while an “iron river” of weapons flows south to the cartels.
The Republican presidential candidates would do well to study the early stages of the successful (and bipartisan) Plan Colombia, which focused on territorial contestation and training Colombia’s armed forces. Like every modern, functioning state, Mexico must regain the monopoly on the use of force and control its territory. This should be a relatively easy sell to Republican voters looking for U.S. partners to shoulder more of their own burdens. The United States should establish programs to train and professionalize Mexico’s armed forces, weed out corruption within its ranks, and cultivate and vet elite special forces units capable of tracking and hunting down the highest-level targets, leveraging joint intelligence operations.
With Mexico’s armed forces taking the lead on the interdiction and dismantling of criminal cartels, the United States should proceed concurrently by beefing up border security and dismantling the cartels’ financial operations. As Kimberly Breier, a former U.S. assistant secretary of state for Western Hemisphere affairs, put it: “Mexico is a target-rich environment, not for U.S. missiles, but for [financial] sanctions.” Perhaps one of the most sensitive areas the two countries will have to untangle is the increasing use of unprecedented levels of remittances from the United States to Mexico to launder cartel proceeds. A recent report estimated that of the nearly $60 billion sent to Mexico last year, at least $4.4 billion—and possibly much more—could have derived from illegal activity.
Insecurity lies at the root of irregular migration and Mexico’s sluggish economic growth. It stands to reason, then, that achieving greater security in Mexico will have salutary effects on other U.S. strategic interests. Without resolving trade tensions, Mexico cannot hope to attract the levels of foreign direct investment required to advance its economy and prevent further emigration. Currently, the USMCA lacks full compliance, mostly owing to López Obrador’s statist policies in sectors such as energy. This is robbing Mexico of the regulatory stability and investor guarantees necessary to reap the rewards of supply chain reorientation following renewed interest in Mexico’s manufacturing sector.
Strengthening trade enforcement will also permit the United States to more easily pursue nearshoring from East Asia in vulnerable economic sectors. Yet, despite bipartisan calls to action, the Biden administration, inexplicably, has refrained from pursuing arbitration alongside Canada under the USMCA—an option it could have availed itself of nearly a year ago. Republicans should remember the binational institutions and trade dispute resolution mechanisms contained in the USMCA and campaign for the dogged pursuit of arbitration. Reducing U.S. supply chain vulnerabilities through nearshoring cannot happen as long as Mexico is out of compliance with the USMCA. While modest amounts of nearshoring to Mexico have occurred organically, this is in spite of López Obrador’s policies, not because of them. The fact remains: The drive to nearshore supply chains is the opportunity of a generation for Mexico’s economy to leapfrog into upper-income status and serve as a bulwark on the southern U.S. border.
In 2024, the bilateral relationship will need to weather the storm of concurrent elections while ensuring a relationship robust enough to last long after the campaign rallies have faded from the headlines.
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newstfionline · 5 months
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Saturday, December 23, 2023
Drought-prone California OKs new rules for turning wastewater directly into drinking water (AP) When a toilet is flushed in California, the water can end up in a lot of places: An ice skating rink near Disneyland, ski slopes around Lake Tahoe, farmland in the Central Valley. And—coming soon—kitchen faucets. California regulators on Tuesday approved new rules to let water agencies recycle wastewater and put it right back into the pipes that carry drinking water to homes, schools and businesses. It’s a big step for a state that has struggled for decades to secure reliable sources of drinking water for its more than 39 million residents. And it signals a shift in public opinion on a subject that as recently as two decades ago prompted backlash that scuttled similar projects.
Nearshoring in Mexico (Foreign Policy) Washington’s efforts to shift supply chains of goods purchased by U.S. consumers away from China to places closer to home bore major dividends for Mexico this year. Companies looking to move their China-based manufacturing elsewhere sought alternative countries with cheap labor and a preexisting industrial base. Mexico’s location and free trade agreement with the United States made it a strong candidate. This year, Mexico surpassed China as the United States’ number one trade partner. In the first nine months of the year, foreign direct investment in Mexico was 30 percent higher than in the same period in 2022, according to government data.
Under US pressure over fentanyl, Mexico wages “imaginary war on drugs” (Reuters) Mexico’s army appears to be raiding only a handful of active drug labs every month, despite U.S. pressure to crack down on fentanyl trafficking, with facilities that were already out of use accounting for 95% of seizures this year, according to defense ministry figures obtained by Reuters. Reuters revealed in March that Mexico had dramatically revised upward the number of lab raids by including hundreds of inactive labs on its seizures list since President Andres Manuel Lopez Obrador took office in 2018. At the time, the news agency was unable to establish what percentage of the raided labs were operational when they were captured. New data obtained by Reuters in August from the Mexican Defense Ministry (SEDENA) after a freedom of information request shows that out of the 527 labs raided by Mexico’s army in the first seven months of this year, only 24 laboratories, or less than 5%, were “active” labs. The figures suggest Mexico is “fighting an imaginary war on drugs designed to score political points rather than save lives,” said Senator Chuck Grassley, a conservative Republican.
Global Conflicts Stir Sleeping Energy Giant in South America (WSJ) South America has long been the world’s sleeping energy giant, with massive oil-and-gas reserves still untapped. Now it is rumbling awake, with huge implications for the global market. From the deep waters off the northern shoulder of the continent down to Patagonia, a number of countries in the region are ramping up oil-and-gas production. South American companies are fast trying to position themselves to become new global suppliers as Western governments and energy majors are increasingly looking at the region to diversify away from conflict-ridden choke points of the Middle East and Russia.
UK at risk of recession after economy shrinks (BBC) The UK is at risk of recession after revised figures showed the economy shrank between July and September. There have been concerns over the UK's weak economic growth for some time, but the country has managed to avoid a recession so far. Ashley Webb, UK economist at Capital Economics, said that the revised figures "may mean that the mildest of mild recessions started" in the third quarter between July and September. But he added regardless of whether there was a "small recession", the bigger picture was that economists expected economic growth to "remain subdued throughout 2024."
War in Ukraine Has China Cashing In (NYT) On China’s snowy border with Russia, a dealership that sells trucks has seen its sales double in the past year thanks to Russian customers. China’s exports to its neighbor are so strong that Chinese construction workers built warehouses and 20-story office towers at the border this summer. The border town Heihe is a microcosm of China’s ever closer economic relationship with Russia. China is profiting from Russia’s invasion of Ukraine, which has led Russia to switch from the West to China for purchases of everything from cars to computer chips. Russia, in turn, has sold oil and natural gas to China at deep discounts. Russian chocolates, sausages and other consumer goods have become plentiful in Chinese supermarkets. Trade between Russia and China surpassed $200 billion in the first 11 months of this year, a level the countries had not expected to reach until 2024. Russia’s war in Ukraine has also gotten an image boost from China. State media disseminates a steady diet of Russian propaganda in China and around the world. Russia is so popular in China that social media influencers flock to Harbin, the capital of China’s northernmost province in the east, Heilongjiang, to pose in Russian garb in front of a former Russian cathedral there.
A Viral Dance and ‘Happiness Campaign’ Frustrates Iran’s Clerics (NYT) A new form of protest against the government is rocking Iran: a viral dance craze set to an upbeat folk song where crowds clap and chant the rhythmic chorus, “Oh, oh, oh, oh.” In cities across Iran men and women of all ages are gyrating their hips, swirling their arms in the air, and chanting the song’s catchy lines. People are dancing on the streets, in shops, at sport stadiums, in classrooms, malls, restaurants, gyms, parties and everywhere else they congregate. In Tehran traffic was stopped in a major highway tunnel for an impromptu dance party to the song. Young women, hair uncovered and flowing, dance in parks and young men performed a choreographed hip-hop dance. In most countries dancing and singing in public would not be considered taboo. But in Iran, dancing in public, especially by women and between men and women, is banned. Although the rule is regularly defied, enforcing it has been arbitrary. Music, dancing and singing are deeply rooted in Iran’s culture and attempts by Islamic clerics to take that away in their 43 years of rule have by and large failed. But seldom has a single song and dance turned into a collective act of civil disobedience. “The regime has no common sense,” said Mahan, a 50-year-old physician in the city of Rasht, who asked his last name not be used for fear of retribution. “It has become like an authoritarian father, unable to protect and guide his family and resorting to violence as the only way to feel relevant and powerful.”
More than 20,000 dead in Gaza, a historic human toll (Washington Post) More than 20,000 people have been killed in the Gaza Strip in the war between Israel and Hamas, according to the Gaza Health Ministry. Hamas militants led an attack on Israel on Oct. 7 that killed more than 1,200 people, according to Israeli officials. Israel’s response—an all-out bombardment of Gaza and a ground invasion—has killed almost 1 in 100 people in the Strip. The number of deaths is far higher than in any conflict in Gaza in recent history. And it is higher than the estimated 15,000 Palestinians killed in the violence that followed the 1948 Arab-Israeli war, according to the Palestinian Central Bureau of Statistics. Palestinians call that mass displacement the Nakba, or “the catastrophe.”
Americans struggle to save relatives in Gaza stalked by war, hunger (Washington Post) For weeks, Susan Abdelsalam has checked to see whether her husband’s name was on a list that could mean the difference between life and death. Susan and her husband, Ramadan, both 73, live a quiet retired life in a suburb of Indianapolis. In September, he traveled to the Gaza Strip to visit his ailing sister. Then came the war and Ramadan was trapped. The medications he takes for his diabetes and high blood pressure ran out long ago. He told Susan that he felt hungry all the time. Last week, several nearby buildings were bombed, he wrote his wife in a text message. Dozens of people were killed. On Wednesday, after more than two months of frantic efforts, Ramadan became one of the lucky ones to get permission to leave. Others are not so fortunate. There are roughly 50 Americans, along with about 250 immediate family members and legal permanent residents, who are still trying to leave Gaza as Israel deepens its invasion of the territory after the Oct. 7 attack by Hamas. Foreigners and their close relatives are among a small number of people who can leave the besieged enclave, but only if their names appear on a list of those authorized to exit through the Rafah border crossing with Egypt.
Rafah: Swelling city (Washington Post) For Palestinians in Gaza, there’s nowhere left to go. Almost 1.9 million people, 85 percent of Gaza’s population, have been forced from their homes. Rafah, which makes up just 17 percent of Gaza’s area, has become the epicenter for displacement. Before the war, Rafah was home to 280,000 people. But population density has increased fourfold as more than 1 million people—about half of Gaza’s population—have poured into Rafah, according to the United Nations. An aid worker called it a “super crisis moment.” The agency planned to host 150,000 people in 56 shelters in a worst-case conflict scenario; now, it’s supporting nearly 1.4 million in 155 shelters, according to UNRWA media adviser Adnan Abu Hasna. At some shelters, 1,000 people share one toilet, he said. The wait is hours. For a shower, which 5,000 people share, “you have to wait days,” Abu Hasna said. There are lines for water “everywhere” in the Strip, he added.
Houthi attacks upend trade as ships are forced long way around Africa (Washington Post) Most of the massive ships that carry some 12 percent of all world trade through the Suez Canal have turned course, set to travel the long way around southern Africa instead. Attacks on passing ships by Iranian-aligned Houthi militants in Yemen, in response to Israel’s war with Hamas in the Gaza Strip, have choked the only southern approach to the planet’s most-trafficked shortcut.
Russia’s foreign minister tours North Africa as anger toward the West swells across the region (AP) Not far from where Russia’s Foreign Minister is holding meetings in Tunisia on Thursday, large green billboards advertising Russia Today, a Kremlin-backed media outlet, have been recently erected. The ads are yet another indicator that Russia continues to expand its presence in North Africa as support for western powers across the Arab World fades amid the Israel-Hamas war in Gaza. Since October the region has been convulsed by protests about Israel’s latest war with Hamas, including in Tunis, where demonstrators have rallied in front of the United States and French embassies, chanting for a free Palestine. Arab Barometer, a non-partisan research firm, published data last week that suggested the United States’ popularity fell 30 percentage points in the weeks after the Israel-Hamas war began. It found France’s image also suffered. In the vacuum created by western powers’ diminishing popularity, Moscow has doubled down on efforts to strengthen its ties to North Africa and spread its narrative about issues including Ukraine and Gaza.
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angelikabozh · 10 months
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New Post has been published on https://www.nearshoring-info.ch/it-outsourcing-moldova-advantages-of-choosing-moldova-as-a-country-for-it-nearshoring/
It Outsourcing Moldova: Advantages of Choosing Moldova as a Country for It Nearshoring
Moldova’s Emergence as an IT Hub
Moldova, a small Eastern European country, is emerging as a hub for IT and software development. With a focus on IT education, around 4000 IT & Engineering students graduate annually, contributing to the impressive growth in the number of IT professionals. Currently, the country boasts 2,400 IT companies Moldova and 16,500 IT professionals, reflecting a thriving IT ecosystem.
As of recent data, the size of the IT services market in Moldova is estimated at around $249 million. The nation’s reputation for quality work and an increased number of international partnerships, especially in software outsourcing Moldova, mirrors the demand for Moldovan IT expertise. Furthermore, the average monthly wage in IT Park stands at 1,585 EUR, further illustrating the country’s competitive advantage in attracting IT nearshoring and outsourcing opportunities.
Benefits of IT Nearshoring to Moldova
Moldova is swiftly gaining recognition as a prime destination for IT nearshoring within Europe. With a unique blend of geographical advantages, cost-effectiveness, and skilled expertise, this Eastern European country offers a compelling proposition for businesses seeking quality solutions without overspending. Here’s a closer look at the key benefits that make outsourcing IT Moldavie an attractive choice.
Geographical Location
Strategic location near major European markets makes it an attractive destination for nearshoring Moldova. Situated in Eastern Europe, the country enjoys close proximity to key business hubs, making it convenient for travel and real-time communication. The advantage of being in the same or nearby time zones further enhances coordination with companii IT Moldova, allowing for more efficient project execution.
Easy Business
Moldova’s appeal for nearshoring extends beyond geography. Compared to other European countries, Moldova offers:
Cost-Effectiveness: Moldova’s economy enables companies to access quality work at competitive rates, making IT outsourcing Moldova an attractive option.
Cultural and Legal Alignment: Sharing many cultural and legal aspects with other European nations, Moldova eases business compatibility
Understanding Western business etiquette and legal regulations facilitates smoother collaboration with Moldavian companies.
Technical Expertise: Moldova has a growing pool of tech talent, skilled in modern technologies, reinforcing its place in the market.
Affordable rates
A standout advantage of nearshoring Moldova is the cost structure:
Average Developer Salary
In Moldova IT companies, the average developer salary is significantly lower than in Western Europe, at around $1700 per month. Even among Eastern European countries, Moldova presents a cost-efficient alternative. This competitive edge extends beyond other popular destinations, such as nearshoring Ukraine, positioning Moldova as an attractive option for cost-conscious businesses.
This competitive salary range is further enhanced by government incentives and a favorable tax regime that makes Moldova attractive for foreign businesses. The combination of cost savings, access to talented professionals, and alignment with European business practices creates an appealing balance of value and quality. In turn, it positions Moldova as a preferred destination for businesses seeking to maximize their IT investment without sacrificing the expertise needed to achieve their objectives.
Quality Assurance
Despite lower costs, IT companies Moldova maintain high standards of quality. They invest in continuous training and adhere to international best practices, ensuring a quality product.
Investment Value
This cost-saving is passed onto the clients, enabling them to get more value for their investment without compromising on quality. Whether it’s IT company Moldova or individual freelancers, the focus on value delivery is consistent.
Overall, outsourcing IT Moldavie presents an appealing option for businesses looking to achieve high-quality results without overspending. With its advantageous location, cultural compatibility, cost benefits, and skilled workforce, Moldova is cementing its position as a preferred destination for IT nearshoring within Europe.
How to Choose an IT Vendor in Moldova
Selecting the right vendor IT in Moldova for your IT needs requires a systematic approach. Top IT companies in Moldova have earned a reputation for their technological expertise and strong project management skills, but finding the one that fits your specific needs involves careful scrutiny. Here’s a step-by-step guide:
1. Research Options
Explore the Landscape: Start by researching the available companies, considering their specializations, technologies used, and relevant case studies.
Identify Expertise: Focus on companies that have expertise in the areas that match your project needs.
2. Verify Credentials
Check Certifications: Ensure that the company you choose is certified and follows industry standards.
Review Track Record: Look into the company’s history, previous projects, and client testimonials to gauge credibility.
3. Communicate Needs
Define Requirements: Clearly outline your project needs, budget, and timeline.
Assess Capability: Engage in dialogue with potential vendors to ensure they understand your requirements and can fulfill them.
4. Compare and Evaluate
Consider Strengths and Weaknesses: Each of the IT outsourcing Moldova firms offers unique strengths; weigh these against your specific needs.
Negotiate Terms: Discuss and agree on project terms, including payment structure, milestones, and deliverables.
By following this structured approach, businesses can find a vendor in Moldova that aligns with their specific goals and expectations. The competitive and vibrant IT landscape in Moldova offers a plethora of options, making it essential to carry out a comprehensive evaluation to secure the best match for your project.
Conclusion
Moldova’s prominence in the IT sphere is rapidly growing. With a blend of skilled workforce, cost-effectiveness, and strategic geographical location, it is becoming a preferred destination for IT nearshoring. Companies can find in Moldova a capable partner that aligns with their needs and budget.
With its IT market expanding and top IT companies in Moldova offering world-class services, the country holds immense potential. This trend is likely to continue, reinforcing Moldova’s status as a favorable IT outsourcing destination within Europe. If wisely chosen, the right vendor can make Moldova’s promising IT landscape an integral part of your business’s success story.
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almostnoisydonut · 1 year
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𝓗𝓲𝓻𝓲𝓷𝓰 𝓞𝓯𝓯𝓼𝓱𝓸𝓻𝓮 𝓓𝓮𝓿𝓮𝓵𝓸𝓹𝓶𝓮𝓷𝓽 𝓣𝓮𝓪𝓶 𝓲𝓷 2023
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Post the disruption from the pandemic, many Enterprises realized that the remote model might not be as bad as it seems. The ongoing digital transformation had already ushered many tools that made quality collaboration with far-off resources realistically possible. The next natural, logical consequence of this was offshore collaboration.
Connecting with experienced IT teams in remote areas of the world looked feasible. You could quickly locate a talented group of qualified professionals to execute your project. However, going abroad does invite confusion. Multiple regions with a pool of experts, varying economics, cultural differences, and other parameters can make the hiring process a bit daunting.
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Offshore recruitment refers to the process where companies hire local talent for their operations in a foreign country. 
The biggest draw for a company when choosing an offshore location is the abundance of skilled and affordable labor. They may also consider factors like political stability, favorable trade laws and tax structures, and the business climate.
Outsourcing = the new normal
The massive shift to the new business model of remote work has pushed companies to dump the old rule book of hiring and switch to outsourced development teams. With offices shut and businesses affected, the popularity of outsourcing has skyrocketed. It is pretty easy to work with the remote team as more data protection solutions and distance work software appeared.
The days are brighter ahead for IT and Business Process Outsourcing.
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In Western Europe and the US, hiring the best developers comes at a premium cost. Thus, many businesses nowadays prefer to outsource software development, i.e., hire a development team based in another country. We are talking about the offshore development team when the chosen country is in two, three, or even ten time zones away from the client. It’s when companies from California hire developers from Ukraine or companies from the United Kingdom hire developers from India. Currently, in the world facing the COVID-19 pandemic, distances and borders mean even less, which opens new horizons for the technological sector and ubiquitous digital transformation. We see many companies understand that remote workers can be efficient and hire offshore development teams with more ease.
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One of the significant benefits of outsourcing is cost saving. The cost of hiring an outsourced software development team for building custom software in Western Europe and the US is pretty high. It averages a whopping $132/hour for any project, which may be as significant as telecom custom software development or as minor as an eCommerce website application development. Outsourced developers from an inexpensive location, on the other hand, can meet all your core business needs at a reasonable price. To give you an example, check profiles of Javascript developers for hire, React developers, and Node developers. Keep in mind that hiring in-house, you will need to pay for office space, employee benefits, and bonuses, contrary to nearshore or offshore outsourcing, where it is the vendor’s responsibility.
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Hiring an offshore development team is always easier and takes less time than starting with in-house developers. All you need is to find a reliable outsourcing partner and choose the most qualified tech talent for your needs. The offshore software development team is usually equipped with all the required stuff and can start working on your project after signing the contract. The process of signing contacts and onboarding remote developers is also typically easy. Moreover, when you hire a completely outsourced team in one company, the developers may know each other or have previously worked together. It also helps to avoid any communication problems from the beginning. If you still want to hire in-house for a long-term perspective, but you need to start working on product development right now, go for a temporary solution and choose staff augmentation not to lose time during the recruitment process.
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One of the significant competitive advantages of outsourcing is access to cost-efficient world-class technologies ensuring your company’s digital transformation. Offshoring to a product development team with the latest technologies, agile methodologies, quality software, and a project management system guarantees a smooth development process and delivers the next-level end-user experience.
Offshore recruitment helps companies operate in different time zones, facilitating continuous operations.
For example, an American company can have its onshore employees hand over the work to its offshore team in Asia after a 12-hour shift, ensuring 24/7 operations.
This can be especially beneficial for customer service businesses in ensuring a better experience. It can also help expand their customer base outside of the home country.
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Many global companies, such as CISCO and Microsoft, offshore their technical support and customer service operations to India. The 12.5 hours time difference between India and America (Pacific Time) helps US-based companies run their operations round the clock.
Similarly, an IT company can delegate maintenance and admin jobs to its overseas team after its onshore team signs off for the day.
Offshoring is a commonly used strategy by businesses looking to expand and scale their operations. Use the information shared above to find out ways offshoring can benefit your business.
However, hiring employees in a foreign location could be challenging. 
Having a reliable offshore partner for your recruitment needs will help you build a high-performing team and enhance your overall offshore experience.
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shiftasia · 1 year
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Onshore, Nearshore and Offshore Tradeoffs | Hybrid Model
Surge in offshore, nearshore solutions usage
Though it was already on our doorsteps, the digital-forward world came about. And transition became inevitable for businesses regardless of industry, which included the adoption of remote working options, increased communication through chat applications, security implementation, user interface updates, and so on. And that drastically increased demand for security testing and speedy development, especially in mobile applications. In order to accommodate the surge, many companies considered nearshore and offshore solutions but we hear not all those newly started partnerships went as planned.
This type of solution is also referred to as “Staff Augmentation” and each has pros and cons. In this article, we will talk about how these strategies can make all the difference for your company to scale, ramp up development, realign objectives, remain competitive, and accelerate digital transformation in the post-pandemic world. If you are interested, please read on!
What are the differences?
Onshore means that the outsourcing destination of software quality assurance and development locates in the same country or region. (ex. California to Colorado) Meanwhile, Offshore indicates that the company you hired is in another country with a different time zone – sometimes on the other side of the globe. (ex. US to Chile or India) Finally, Nearshore refers to a situation outsourcing partner is in a neighboring country that is a short distance away – often supported by strategic regional arrangements. (ex. Germany to Poland).
Why would anyone outsource afar?
With the help of technology, technically anyone connected to the internet would be able to work remotely and help you build your product. But I understand how many say it is better and at least feels safe to hire someone locally, as onshore teams have a similar cultural background, speak the same language, and are accessible if anything happens.
However, nearshore and offshore operations are adopted widely as it offers advantages that are unbeatable. The largest contribution is cost – things can be done at only a fraction of the cost compared to their onshore counterparts. In recent years, India, China, Ukraine, and Southeast Asia like Vietnam, Thailand, and Cambodia have been some of the most popular countries to outsource to and they still are for their competitive advantages.
What are the trade-offs and characteristics?
Onshore
o No concerns about language barriers or cultural differences
o Almost non-existent time-zone differences (0-2 hours)
o Onshore development team is accessible in case of emergency or on-site training
Cost benefits are usually minimal – slight savings due to rent or living costs
Nearshore
o Bigger pool of talent accessible compared to onshore option
o Minimal time-zone differences (2-4 hours)
o Cheaper labor cost (15-30% reduction)
Some cultural differences are possible but not too significant that hinder smooth communication. Potentially the most balanced option if your company doesn’t wish to venture much.
Offshore
o Access to a global pool of talent not limited to geography
o Dedicated team with established online communication and operation
o Larger cost savings (25-60% reduction)
Hiring a highly qualified team at much lower costs is made possible with offshore hiring. However, time-zone differences can be an issue if you don’t have any other offices in-between, as well as cultural differences and unfamiliar business regulations. Here is an article on choosing the right offshore development team.
Hybrid
What we have learned from our clients that are pro-remote hiring and have an effective global chain of command is, more and more companies are employing this hybrid model. In this model, the QA manager or project manager is locally hired to be in close contact with the product owner/headquarter. Then, a QA manager often from local culture, can either be sent somewhere nearshore or in-between offshore and headquarter to maintain accessibility and to remotely manage offshore production teams with less time difference.
Hybrid Delivery Model in Post-covid
Especially post-covid, business travel will always be low, but relocations of the technical nearshore hubs to neighboring countries would come with a number of benefits under the economic agreements and new tax regulations as countries try to attract more foreign investments and remote workers.
Pre-covid, companies already took advantage of this strategy and established a global delivery scheme making the most out of financial packages, a high-skilled labor force, and cultural diversification. Examples include this data visualization software company is headquartered in the US, has a local product manager in US nearshore city and project manager/ QA lead in Japan, and utilizes offshore delivery centers in The Philippines and Vietnam. This way, the company has smooth coordination and can potentially make the teams work and fix bugs around the clock by combining resources in the US and Asia in different time zone.
Conclusion
What works really depends on the priorities of each business, however, in the Nearshore / Offshore Hybrid delivery model, the client gets to enjoy the advantage of both types of outsourcing models and help stay competitive. Maybe it is time to think past geographical boundaries when making strategic decisions.
Please check out our software testing outsourcing page.
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cyrelbureros · 1 year
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Globalization of trade isn't ending, despite Covid, war, inflation
According to the news from CNBC, forecasts for global trade to slow down as supply chains reposition through nearshoring and reshoring of manufacturing operations is not happening, according to a new report by DHL Express and the NYU Stern School of Business.
Trade is expected to grow slightly faster in 2022 and 2023 than it did in the previous decade, despite the headwinds of Covid, a global economic slowdown and the war in Ukraine.
Some of the key points from the news are:
• Trade is expected to grow slightly faster in 2022 and 2023 than it did over the previous decade, according to a new report from DHL and the NYU Stern School of Business.
• Many companies backed away from reshoring and nearshoring plans, leading trade to grow faster in emerging economies close to China.
For more information about the news, please click here.
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joshuaotwell · 3 years
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Joshua Otwell is a Backend Developer using MySQL, Python, and PHP technologies to deliver results. With a background as a Pipeline Surveyor, the transition to a Pipeline Survey Data Analyst sparked a desire to provide Web Applications, Web Sites, and Reporting Dashboards manipulating Pipeline Survey data he is an expert on. MySQL is his passion, sweet spot, and strongest skill.
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thenetionalnews · 2 years
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HCL Tech to double headcount in nearshore locations in 3-5 yrs: CEO
HCL Tech to double headcount in nearshore locations in 3-5 yrs: CEO
IT services company HCL Tech plans to double its headcount in nearshore locations over the next 3-5 years, CEO C Vijayakumar said and asserted that the Russia-Ukraine war has not impacted demand from Europe. HCL Tech employs about 10,000 people in all its nearshore locations, globally. “We expect that number to double over the next 3-5 years,” Vijayakumar told PTI. The company operates from 20…
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mariacallous · 1 year
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It’s no surprise that international trade is experiencing turbulence. After the global financial crisis began in 2007, a decades-old trend of increased globalization first decelerated and then started to reverse course. The COVID-19 pandemic emerged in 2020, instantly snapping supply chains. Countries and companies focused on so-called “nearshoring” and “friendshoring.” Then Russia invaded Ukraine, and geopolitics began to impact trade even more. Add in a brewing cold war between the United States and China, as well as a wave of nationalism around the globe, and one can start to see why the world seems to have embarked on an era of industrial policy. From the United States to China, India, Europe, and beyond, major economies are turning inward, favoring domestic expansion over free trade and the global flow of goods.
In his State of the Union address in February, U.S. President Joe Biden deployed the phrase “Buy American” to loud applause. His administration has passed landmark legislation such as the Inflation Reduction Act (IRA) and the CHIPS and Science Act, which provide subsidies in clean energy and semiconductors worth well over $400 billion. But the inducements encourage U.S. companies to invest only at home—not elsewhere. Opportunistic firms in Asia and Europe have already begun to relocate investments to the United States. Cue the protests from other parts of the globe: A chorus of nations are accusing Washington of fostering unfair competition.
If the United States is turning protectionist, it is hardly the only country to consider its own interests above those of others. But it raises questions about whether a subsidies race represents sound economics. After the initial sugar high, will the world end up sacrificing the benefits of efficiency and innovation? Who benefits from a new era of great-power competition?
To understand Washington’s part in fostering industrial policy, I sat down with U.S. Trade Representative Katherine Tai, the Biden administration’s top official tasked with mapping out and implementing the White House’s trade policy. Our conversation was broadcast on FP Live, the magazine’s forum for live journalism. FP subscribers can watch the interview via the video box above. What follows is an edited and condensed transcript.
Foreign Policy: Ambassador Tai, European policymakers look at the IRA or the CHIPS Act and smell unfair competition and protectionism. How do you respond to their criticisms?
Katherine Tai: The CHIPS Act and the IRA are significant accomplishments. Finally, after many years of inability and neglect, we are investing in ourselves. For a very long time, we have pursued a liberalization policy to integrate ourselves with the rest of the world without paying attention to the needs that we have here.
The criticism that you describe is more what I read in the press rather than what I hear in the room. It’s delivered to me as concerns [from] our partners. That’s an important distinction.
Take the Inflation Reduction Act. In all of my conversations with partners and counterparts in Europe, the conversation always begins with congratulations to President Biden for an incredible accomplishment—the largest contribution we have ever made to battling the climate crisis. The reason why the conversation starts there is an important fact to keep in mind: The United States and Europe are completely unified in recognizing the significant challenge that we are all facing as an entire planet with respect to a changing climate and its impacts on the sustainability and the future of our economies.
We take extremely seriously the concerns that our partners and our allies are sharing with us. It is important to recognize that while the IRA is a signature and significant contribution to the fight against climate change, it is also a product of a democratic rule-of-law system that we have here. The partners that we are in conversation with and working with most closely are also democracies. Democracies are coming together in the work we are doing and are seriously grappling with the challenges that we are facing to figure out how we can do this together. In that overall context, the IRA is not going to be the thing that solves [the economic sustainability challenge]. It is an important motivator to incentivize technologies and economies to meet the challenge. This may be the first, but it will not be the last significant policy contribution that will need to be made.
FP: You’re addressing the criticism from Europe, but there’s also a macroeconomic angle. Economists worry about the world embarking on an era of industrial policy. They say that unlike free trade, industrial policy can be inefficient in the long run. They also say that when you subsidize large industries, that can stymie innovation.
KT: The first challenge that the IRA is responding to is the climate crisis, but we are encountering the urgency of this crisis at a time of significant world economic disruption and volatility. What we have seen through the pandemic, through Russia’s decision to invade Ukraine, is a fragility in the world economy that we’ve got to navigate.
The global economy is also experiencing a significant distortion from the rise of a very large and growing economy that has an incredibly important role to play in the world economy but structurally does not operate the way that our economy does.
FP: You’re talking about China.
KT: I am talking about China. That is a factor that we absolutely cannot ignore in terms of the challenge to the fundamental premise of the globalization project that has been going on for the past several decades.
To your point about subsidies being inefficient—to the extent that we are providing subsidies or tax incentives—they’re meant to operate in a market system and to influence firm behavior. The types of subsidies and state support that we see powering the Chinese economy are of a completely different scale. In fact, they power the economy; they are not about creating incentives in a market system. There is a direct through line between the state and expression in the economy. And that is a really important aspect of another shared challenge we have with our European friends and other partners around the world in terms of a sustainable path to economic growth and development. In a version of globalization where the field is not level, we are having to figure out how to adapt. We will need to adapt together.
FP: It always seems to me that so much of U.S. domestic and foreign policy is filtered through the prism of competition with China. Is the United States already decoupling from China?
KT: There are a couple of words used in questions I get asked that I always fight against. Decoupling is one of them, and deglobalization is another one. If you mean by decoupling that we are trying to completely divorce our economies, even if that were the desired goal, I think it would be extremely difficult to make that happen.
What we are trying to do is to ensure and to identify where the risks and vulnerabilities are—in the version of globalization that we see right now. The supply chain challenges we experienced through the pandemic are instructive. Whether it was personal protective equipment, masks, gloves, or ventilators early in the pandemic [or] the semiconductor chip shortage that impacted all of us, we see global supply chains that were designed for efficiency, chasing the lowest cost, without recognition that concentrations of supply and production create significant risks and vulnerabilities.
Our focus is on what I hear my European friends call de-risking, and that is actually quite a helpful way of thinking about things. From my perspective, it is to build resilience in our supply chains and to create incentives to ensure resilience for our economies. Because whether it is geopolitical, climate-related, or epidemics, there will be more crises that we will encounter. What we need to do to be constructive and productive through this period of time is to figure out how to adapt and prepare the global economy to be able to withstand and cushion future shocks. I wouldn’t call that decoupling. It is really about ensuring that we all have more options.
FP: I’m not satisfied with the word decoupling either, so I’ll just point out that several U.S. officials, including your predecessor Robert Lighthizer, have used the term and advocated for decoupling as U.S. policy.
But staying on China: If part of U.S. policy is to contain China or to slow its rise, doesn’t that have negative impacts on the global economy itself?
KT: From my perspective—at least in the trade and economic lane—it isn’t about containing China. It is about lifting up America. Lifting up our workers in certain sectors who felt as if they have been very much invisible in the pursuit of efficiency in global economic integration; lifting up our infrastructure, which is really still coasting on investments that we made a couple of generations ago; and pulling ourselves up to make sure that we can run faster and jump higher. That is probably the most useful lens through which to view our economic policies, including our trade policy.
FP: Of course, your role is to look at America’s interests first. But again, there are economists who will say that in a world in which big countries are building up their own resilience—their own industrial policies—what often ends up happening is that smaller economies end up suffering. The global south doesn’t win in an era where the United States, China, and Europe are looking inward. How do you think through that in your role?
KT: You said “America’s interests first,” and that triggered another pet peeve around [former U.S. President Donald Trump’s policy of] America First. All countries are looking after their interest, right? But I would distinguish the Biden administration approach. It’s not America first and only. It’s also about how America can lead and how America can partner. We need to invest in ourselves, but how do we not do it alone? Because that just isn’t the kind of world that we want to live in, that we would be doing things alone.
To your question about what happens to smaller countries or developing economies: All along the spectrum of least developed to middle-income countries, in order to be able to be a leader, as befits the largest economy in the world, we necessarily have to take good care of ourselves while never losing sight of the need to be a good partner.
In trying to facilitate the creation of a new, more resilient version of globalization, there is an important element that we’ve got to innovate in, which is how the United States can improve on previous models of partnership between large, developed economies and smaller, less developed economies.
You are absolutely right that the global economy does feel as if it is in flux, but we all have a certain prejudice against change because change is scary and there’s no guarantee in terms of what the change will look like.
FP: What is the long-term goal of U.S. trade policy with respect to China?
KT: I gave a speech on the U.S.-China trade relationship a little over a year ago. I stand by everything that is in it, which is that we need to find a way that we can coexist and compete fairly and continue to be able to thrive and to safeguard the institutions and principles that we hold dear that are really core to our political and economic DNA. And that is to ensure that we have the space to continue to have a strong democracy and thriving economy based on market competition principles.
How do we accomplish these goals, given that the second-largest economy in the world operates on a very different system, has a lot of heft, is its own sovereign, and makes its own decisions? This is one of the most important issues that we will grapple with as the United States, along with our partners and allies, who are looking to create the space to safeguard and to thrive in the ways that we are.
FP: I have one last question, and I’m going to make it a personal one. I’m an Asian American. You’re an Asian American. Here’s a question I grapple with myself: How do you think through your cultural heritage, your multiple identities, and the many hats that you wear? I should add that you are a fluent Mandarin speaker as well, one of very few in the administration. How do all of these factors inform your policymaking, given that America’s interests are what you were hired to defend but you also have this global outlook that isn’t always the case for people in your position?
KT: Being the child of immigrants, having grown up speaking a different language at home, I love to learn languages. I think I can ask, “Where is the bathroom?” in many languages, and I might be able to understand the response in at least two or three. It underscores an important aspect of the work that we do at [the Office of the U.S. Trade Representative] but also the Biden administration’s outlook internationally, which is that you have to be able to build bridges and you have to be able to bridge gaps—in communication and in understanding. I spend so much of my time seizing opportunities, like this one with you, to have the conversation and be able to elaborate on and explain our thinking and what we’re trying to accomplish.
In terms of our partners in Asia, including China, a very large, important partner with which we have a quite complex relationship, you always have to start with being able to communicate your point of view and then also being able to listen and receive that communication. This is a skill set that is really important to policymaking on the domestic side as well. These differences aren’t just limited to national outlooks. Something that I take particular pride and a sense of responsibility in is maintaining a bipartisan outlook on how we advance American trade policy, because it really is in the title of my job and in the title of our agency: We are the Office of the U.S. Trade Representative, and it is the interest of all of America, all the component parts of the economy and communities and regions, that we need to drive and formulate policy for.
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meret118 · 2 years
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The CEO, whose company manages $10 trillion in assets, predicted that Russia’s isolation will “prompt companies and governments worldwide to reevaluate their dependencies and reanalyze their manufacturing and assembly footprints.” But some countries could benefit from focusing on building up their domestic industries, as companies onshore or “nearshore” their operations, he said. Fink said that the coronavirus pandemic had already set these wheels in motion. Early in the pandemic, countries struggled to secure desperately needed personal protective equipment made in China. When economies reopened — and demand surged — supply-chain bottlenecks helped push inflation up to levels not seen in decades. A shortage of semiconductor chips, in particular, has plagued industries over the past year, from carmakers to tech companies. And now Russia’s assault on Ukraine — followed by swift and punishing Western sanctions and a raft of company exits — has disrupted international export markets. The price of Brent crude, the global benchmark, surged above $139 a barrel in early March as buyers feared supply shocks, though oil has since come down.
“Energy security has joined the energy transition as a top global priority,” Fink said. While Fink anticipates that coal consumption may increase over the next year as Europe and Asia try to wean themselves off Russian oil and gas, soaring energy prices will likely make renewables more competitive, he said. “Longer-term, I believe that recent events will actually accelerate the shift toward greener sources of energy in many parts of the world,” Fink wrote.
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angelikabozh · 1 year
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New Post has been published on https://www.nearshoring-info.ch/nearshoring-to-croatia-vs-ukraine-which-eastern-european-destination-offers-better-prospects-for-your-business/
Nearshoring to Croatia vs Ukraine: Which Eastern European Destination Offers Better Prospects for Your Business
The global business landscape is constantly evolving, and companies are always looking for ways to stay competitive and expand their operations. Nearshoring has become a popular strategy for businesses looking to leverage the expertise and cost-effectiveness of neighboring countries. In this article, we will compare two Eastern European destinations, Croatia and Ukraine, to help you decide which one offers better prospects for your business.
Nearshoring to Ukraine
Nearshoring to Ukraine refers to the process of relocating or outsourcing business operations, services, or development tasks from one country, typically in Western Europe or North America, to a nearby country with a lower cost base, skilled workforce, and similar time zone—in this case, Ukraine. Nearshoring is a popular strategy for businesses looking to cut costs, streamline operations, and access a larger talent pool without the logistical and cultural challenges associated with offshoring to more distant countries.
Software Development Zagreb
Zagreb has become a hub for software development in Croatia in recent years. With a growing number of IT companies in Croatia, the city has attracted talented developers who specialize in various fields, including app development Croatia and software development. These companies offer high-quality services at competitive prices, making Zagreb an attractive nearshoring destination.
Croatia Software Engineer Salary & Software Developer Salary Croatia
When compared to Western European countries, the software engineer and developer salaries in Croatia are considerably lower. This cost-effectiveness is one of the main factors driving businesses to consider outsourcing Croatia for their software development needs. The lower labor costs, combined with the high level of technical expertise, make Croatia an appealing choice for nearshoring.
Developers Croatia
Croatian developers are known for their strong technical skills and proficiency in various programming languages. Many of them have experience working with international clients, which ensures smooth communication and project management. The growing pool of talented developers in Croatia makes it an ideal destination for businesses looking to outsource their software development projects.
IT Companies in Croatia
The IT industry in Croatia has experienced significant growth in recent years, with numerous software development companies, app development firms, and other IT service providers establishing themselves in the country. These companies cater to a wide range of industries, offering customized solutions to meet the unique needs of their clients.
Outsourcing Croatia & Nearshoring Croatia
Outsourcing and nearshoring to Croatia can offer several benefits to businesses. With its strategic location in Eastern Europe, Croatia provides easy access to other European markets. The country also boasts a well-educated workforce, strong technical skills, and competitive costs, making it an attractive destination for nearshoring software development projects.
Software Development Company in Croatia
Croatian software development companies offer a wide range of services, including custom software development, app development, and IT consulting. They are known for their flexibility and adaptability, which allows them to work with clients from various industries and cater to their unique requirements.
In conclusion, Croatia offers numerous advantages for businesses looking to nearshore their software development projects. With a growing IT industry, skilled developers, and competitive costs, it is an attractive destination for companies seeking to expand their operations in Eastern Europe.
Are you ready to explore nearshoring opportunities in Eastern Europe? Contact our team of experts today to learn more about how nearshoring to Croatia or Ukraine can help your business grow and succeed in the digital age.
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What is offshoring? Is it the same with outsourcing?
Offshoring, also known as offshore outsourcing, refers to the delegation of services to a country from a different region. Usually, businesses in the US and the UK either delegate one-off projects or an entire department to countries miles away from them.
Most people use outsourcing and offshoring interchangeably. While offshoring can be called outsourcing at some point, outsourcing is not always done offshore. This is since the latter is an umbrella term for delegating services, whether locally, in a nearby country (nearshoring), or offshore.
What countries can I turn to when delegating offshore?
You can try offshoring your services to a destination that specializes in certain functions. Some of these destinations include:
India - India remains to be a leading offshoring destination for IT and development services. U.S. companies prefer the country due to its low costs, high-quality services and 24/7 support.
The Philippines - The Philippines complements India’s IT expertise with its customer service and back-office specializations. Companies prefer to outsource in the location due to its solid cultural compatibility, hospitable employees and competitive workforce.
South Africa - With its rising popularity, South Africa is poised to be the next offshoring powerhouse competing with India and the Philippines. The country is known for its world-class infrastructures and the level of care to customers.
Eastern Europe - Eastern Europe is an ideal nearshoring and offshoring destination for software development and IT-related services. Destinations in the region such as Ukraine and Poland are known for producing talents with years of expertise in handling IT-related work.
Can offshoring benefit me in 2022?
Indeed, offshoring can provide you with more advantages than simply cost-cutting. Here are some key benefits that you can get by hiring offshore staffing:
Access to specialized experts. Companies don’t have to be restricted to their home countries when looking for suitable talent. They can hire highly-skilled experts with years of expertise from different locations. 
Government incentives. Most offshoring destinations get full support from their local government agencies. BPOs and their clients usually get tax incentives and duty-free imports as a way to attract foreign investments in these countries.
A better way to scale. Offshoring is also a better way to scale a business more efficiently. A $10,000 investment can go a long way with the cheap labor and operational costs in offshore destinations, helping them to maximize their profitability.
Encouraging business continuity. Lastly, offshore staffing won’t easily be affected by calamities and crises that their source country faces. With this, companies can still operate as usual without interruptions.
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spacialaudio · 3 years
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The Reason Why You Should Choose A Nearshore Software Firm?
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Modern businesses are more willing to outsource development teams. They often outsource projects to freelancers and not only other businesses. outsourcing helps them save money and time as well as stay productive. Outsourcing may also create problems due to problems with language barriers, timezones and inadequate management. This article will examine the advantages and disadvantages associated with nearshore software development as well as possible solutions.
What is Nearshore Software Development?
Nearshore outsourcing is when you outsource the development of software and other tasks to companies in close proximity to your country. The distance between you and the contractor should not exceed 3 hours when you employ an offshore company. There is a slight time difference with your contractor and you will not have to talk with them.
Why should you consider Nearshore software development outsourcing?
Nearshore outsourcing may not be suitable for every company despite the obvious advantages. Below are the signs that indicate that nearshore outsourcing is an ideal choice for your business.
Budgetary limitations
If you're working on a budget, software development outsourcing is a good option for cutting down on costs since there are any affordable services in your area. If you have the budget to employ software engineers, but are not restricted in the options available, you may look into hiring more staff within your own company. In any other case Nearshore software development companies will be the right choice.
Plans for the Future
Sometimes, it's best to have your own developer team. It's important to have a developer team when you are planning to build several applications. You don't have to unite everyone in a single task. The software outsourcing outsource can build an application and keep it running as long as you need. There's no need to shell out money on office space and salary.
Location
Among all of the outsourcing strategies, nearshore development relies on the location you are in the most. When choosing an outsourcing firm it is important to take into account the number of qualified specialists in the country.
If you are an entrepreneur in Norway seeking to outsource the work, it is more beneficial to employ a Ukrainian nearshore team instead of hiring an Indian or Philippine offshore firm. This is due to the fact that Ukraine is only an hour ahead of Norway and India is five hours and 7 hours, respectively.
A deficiency of developers
There is a chance that you will require more developers if you're involved in a massive and expanding project. Nearshore outsourcing is an ideal alternative. If you can only afford a portion of the task you can outsource the task to an outside firm. This takes the burden off your main team. Outsourcing was the key in the growth of some well-known businesses.
Closing up
Nearshore software has had a a significant impact on the IT sector. The benefits of developing nearshore are too significant to ignore. The only thing to do is locate an experienced company that will meet your expectations.
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jennajames1988 · 3 years
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Why You Should Employ A Nearshore Software Firm?
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Modern businesses are now open to hiring development teams that are outsourced. In reality, they frequently give some tasks to freelancers, not only other businesses. Outsourcing helps them save costs time and energy, as well as remain efficient. However, outsourcing can cause issues when it comes to problems with language barriers, timezones and inadequate management. This article will examine the pros and cons with offshore software development and possible solutions.
What Is Nearshore Software Development?
Nearshore outsourcing refers to the process of give software development or specific tasks to businesses located close to your nation. If you choose to hire an offshore company and you are a contractor, the time difference between you and the contractor should be between 1 and 3 hours. You will have a minimal time difference with your contractor and you won't need to communicate with them.
What are the benefits of Nearshore outsourcing of software development?
Nearshore outsourcing is not ideal for all businesses despite the obvious advantages. Below, I've listed the reasons why your business should look into nearshore outsourcing.
Budget limitations
If you're budget-conscious, software development outsource is a great option for cutting some expenses since there might be no low-cost providers in your area. However, if you're not restricted in your budget to hire software engineers, you may want to consider expanding an in-house team with more talents. If not close-to-home software development firms will be the right choice.
Plans for the Future
Sometimes , it's best to create your own team of developers. It is essential to be able to have a group of developers when you are planning to build several applications. However, a single task does not require an entire team under one roof of your workplace. The software outsourcing outsource can build an application and run it as long as you need. Therefore, there's no reason to shell out money on office rent and salaries.
Location
Of all outsourcing methods, nearshore development is dependent on your position the most. When selecting an outsourcing company it is important to be aware of the amount of skilled specialists within the country.
If you're an entrepreneur from Norway who is looking to outsource work the work, it is best to work with the services of a Ukrainian nearshore team instead of an Indian or Philippine offshore firm. The reason is that Ukraine is only an hour ahead of Norway and India takes 5 hours and the Philippines 7 hours.
Lack of Developers
If you're working on a large project that is rapidly growing it is likely that you'll require more developers. Nearshore outsourcing is an excellent option. For a fraction of the work you could delegate the task to an outside firm. This takes the load off your primary team. Certain well-known companies have achieved success through outsourcing.
The wrapping up
Nearshore software services have made a significant impact on the IT sector. Nearshore development has many benefits that should not be overlooked. The only thing to do is find an experienced company that will meet your needs.
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raddash · 3 years
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Nearshore Outsourcing: What Is It And Also How Perform You Use It?
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Providers from the United States, Europe, Australia pick to nearshore company and pass a lot of service procedures to all of them. It spares time for one more jobs in provider and can easily reduce finances significantly and also to discover a group that is experienced in you procedure and also may supply finest solutions.
What Is Nearshore-Outsourcing?
Nearshore outsourcing is a method of passing on some duties, especially program growth, service process, duties to companies in neighbouring nations to get better command over operational expenses. Other advantages of nearshoring are social closeness, convenient area and also time zones, very same or even comparable foreign language.
A few providers delegate to nearshore region countries withe the suggestion of cutting the distances as well as the handy time-zone overlaps.
They changed work to associations within their personal locations, still enabling them to conserve costs and/or locate sources for activities that could not be actually dealt with internal.
Along with transportation and modern technologies building swiftly, the planet is actually diminishing daily. This brings in the so-called overseas outsourcing-- delivering IT-related job anywhere in the world-- possible. This is how the nearshore software application development companies appeared.
What Is the Distinction Between Nearshore and also Offshore Service Providers?
Offshore Outsourcing
The primary function of offshore progression is actually to conserve funds while tapping the services of first-class designers as well as programmers in various other nations.
With adequate treatment, an offshore crew will give you a top quality product as well as will definitely cut your expenses and also opportunity.
Expenses and also top quality of engineers are the merely significant aspects that find out foreign growth. For the most of the cases, offshore firms might be actually found in an additional aspect of the world. For the United States, a good example of an overseas is Ukraine, for Germany, it is going to be actually Mexico.
Nearshore software program growth pays for extra importance to a deeper area and also lower language variation for the factors defined over. An excellent instance of a nearshore country for the States are going to be Mexico, the very same task Ukraine bets Germany. There are actually some scenarios when the time distinction is rather bigger than in these examples. That mentioned, for Australia or New Zealand the most effective location is actually Malaysia: although it is actually quite farther than, point out, Ukraine coming from Germany, it is still considerably closer than every other nation along with a major swimming pool of much cheaper professional programmers.
Offshore vs Nearshore. What Must I Select?
Your better choice must depend upon the difficulty and its intensity of situation.
You can conveniently go along with an offshore staff if you have a simple and effortless day-to-day make use of treatment in advancement. Offshore are actually also helpful for actually restricted finances, however, once again, you must pay additional focus to the premium as well as consistently inspect if every thing goes straight along with your task.
Nearshore IT outsourcing allows you to have a near devoted crew which is going to permit you a lot more control over your task progression circulation, additional engagement along with the crew and also a lot less possible complication aspects due to quicker response opportunity.
This makes it a lot better for aspect of big ventures, or even expanding your internal crew, both in brief or lasting fashion.
What exactly are the Benefits of Nearshoring?
Topographical closeness
If a task requires individual appointments throughout its lifecycle, traveling costs for you or your project supervisor may be a technique less than with offshore growth.
Often, spans between the principal development hubs as well as nearshore markets are actually covered by straight airlines, so in many cases, it additionally suggests journeying straight to as well as coming from a conference which won't call for a lodging stay.
Less (or even no) time-zone differences
Along With nearshore saas, partnering firms are generally found in the exact same or the nearest timezone, which takes full advantage of the quantity of your time you may invest in dependable interaction throughout the day.
The 1-hour difference obtains you a 7-hour window for a comfy interaction enabling you to address all feasible questions pertaining to the task today.
Expense savings
Almost instantaneous communication spares a large aspect of the budget plan contrasted to offshore, when designers may shed paid time on waiting for your reaction, activity monitoring, research study, or functioning the upside-down and after that carrying out the work once again after you notice a complication.
Easy as well as fast traveling to the nearby countries will certainly additionally save cash on tickets, as there are actually possibly lots of completing transportation providers that dispose the ticket prices.
Cultural as well as language similarities
Comparable foreign language as well as society are actually participating in a considerable part in the nearshore software growth method, as it quickens and also streamlines up the method.
If you and your nearshore development provider communicate the usual foreign language, you communication process might be much faster and also clearer than that in English, regardless of whether you both possess a great English proficiency.
Identical lifestyle will possibly aim the same bank holidays and lack of situations when your task hold-ups for partner's holiday, as well as one week later-- for yours.
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melissarobbins · 3 years
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The Distinction of Nearshore Software Development
Remote applications development by definition means remote collaboration with customers. Back in IT the term Nearshoring is connected with outsourcing businesses, often found in other nations. Nearshore computer program development enables the enterprise to decrease the price of executing its thoughts. Basically, the decrease development charge utilizing Nearshoring is associated with the reduce salary in the country where the outsourcing company is currently located, compared to the payment from the nation at which the consumer is currently located. Ukraine has made the standing of the country using a massive numbers of out sourcing organizations. https://parallelstaff.com/
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