quantitative expansion of outsourcing of services is a reflection of advantages of division of labor and trade globally. With globalization on its advent outsourcing has become cheaper and beneficial to many nations.
The developing nations which are primary exporters of services benefit from the recent trends and processes by which it is eligible to sell its services and products in the international market i.e. the globalization trend
Technological advances in the fields of communication, transportation, information processing, web development, graphics and animation and many others have contributed to the development of trade exchange processes among industrial and not-so industrial nations.
What was primarily costly and thus not viable has become much affordable in this perspective. Although a typical industrial economy suffers from the threat of home services being replaced by outsourced services, it has been found the international outsourcing of material inputs is still larger than that of services.
Historically the service sector has always been resistant to international competition in all nations across the globe. Industries and individuals could benefit mostly from import of manufactured goods with economies opening up. With improved e- communication and the all inclusive facilities that internet provided services started crossing the political borders.
Many service industries actually had to physically relocate themselves to access the international markets prior to the era of communication technologies. Now outsourcing had made it possible for those institutions to operate from their home country and access skilled labor at costs which were cheaper.
The industrial nations that are mainly importers of such services as a result developed a fear of job loss in their home ground and anticipated huge unemployment in countries like USA, UK and Australia. These countries soon introduced legisl