The offshore services value chain: upgrading trajectories in developing countries
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This article analyses the offshore services industry using the global value chain approach. This industry has grown at a rapid pace over the last decade, driven principally by the search of businesses to reduce costs by unbundling and offshoring corporate services. This paper explores how developing nations have seized these growth opportunities. While developed countries consume the vast majority of global services, demand from developing economies and new end markets is beginning to grow. Supply is dominated by India, which in 2009 had 45% of the global market share for offshore services. Indian firms occupy most value chain segments and they have expanded in the South to serve both domestic and export markets. Although the quality and quantity of human capital remains the key factor in the location of offshore services, formal education is being supplemented by demand-driven training and compliance with required international professional certifications and performance standards. Copyright © 2011 Inderscience Enterprises Ltd.
Published Version (Please cite this version)10.1504/IJTLID.2011.041905
Publication InfoBamber, Penny; Gereffi, Gary; & Stark, Karina Fernandez (2011). The offshore services value chain: upgrading trajectories in developing countries. International Journal of Technological Learning, Innovation and Development, 4(1/2/3). 10.1504/IJTLID.2011.041905. Retrieved from https://hdl.handle.net/10161/16489.
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Professor Emeritus of Sociology
Gary Gereffi's major ongoing research projects are: (1) a book (co-authored with Frederick Mayer) on the uptake of the global value chain paradigm by major international organizations in the economic and social development arena; (2) a forthcoming co-edited volume with Valentina De Marchi and Eleonora Di Maria on Local Clusters in Global Value Chains: Linking Actors and Territories Through Manufacturing and Innovation (Routledge, 2017); (3) work with the World Bank and the Inter-Ame