When it comes to business process outsourcing and IT outsourcing, nearshore and offshore are two outsourcing terms often confused. Both options provide access to talented software developer teams in regions outside of your own national boundaries – and often, at reduced rates. But what’s the difference between the two?
Offshoring means that you’ll hire a software development organization from a different part of the world – for the US markets some leading destinations are China, India, Poland and Ukraine in terms of quality and low labor costs.
Nearshoring means that you’ll hire a software development organization that’s within similar time zones and geographic proximity. There is often no language barrier or culture-differences, which makes communication and time-management easier.
Working with a business in another country is going to be a challenge because of distance – no matter how close or how far away you are from each other. In many cases it is difficult to decide which option is better unless both methods are tried. Make sure to weigh the advantages and disadvantages before making the final decision. Start by researching nearshore and offshore software development companies by checking our popular searches.