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Backshoring and nearshoring: An overview
Author(s) -
Piatanesi Benedetta,
ArauzoCarod JosepMaria
Publication year - 2019
Publication title -
growth and change
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.657
H-Index - 55
eISSN - 1468-2257
pISSN - 0017-4815
DOI - 10.1111/grow.12316
Subject(s) - offshoring , phenomenon , economic geography , core (optical fiber) , economics , industrial organization , business , outsourcing , engineering , marketing , telecommunications , physics , quantum mechanics
Increasingly, economies that have traditionally benefited from offshoring are losing some of their strategical advantages, with a consequent increase in backshoring by developed economies. This paper describes the phenomenon and tries to shed light on the current challenges, trends, and debates in the area, and on the main determinants of backshoring. A new phenomenon known as nearshoring is also analysed—this consists of relocating some previously offshored manufacturing activities so that they are now close to previous core locations, but not so close as to suffer from disagglomeration effects. This combines the advantages of offshoring and backshoring.