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Two Quick Case Studies of Where Virtual Onshoring has Come to Fruition

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While no university has truly worked to virtual onshore itself in a major way into the U.S. market, there are two places where I have seen virtual onshoring take off since I coined the term (although I won’t claim anyone uses my term!).   These are in physical goods that can be shipped internationally, and in services that can be delivered via the Internet.

The first example can be seen at Amazon. Their marketplace, makes it look like everyone you are buying from is kind of like you buying from Amazon.  And there have been a number of occasions when I bought something and it was shipped from China or elsewhere in the world.  Thus these businesses were able to enter into the U.S. Market via Amazon, and have U.S. customers not even fully know where the product was coming from.

The other example is that of Fiverr, which is a marketplace for services provided by freelancers throughout the world.  Most of these services are provided for $5, which shows how entrepreneurs in developing nations can directly bring their services to the U.S.

I think these examples would make for a great research paper for an economics major (possibly even doctoral research).  I’d do it myself, but unfortunately I do not have the time, and need to focus on my own doctoral research in Comparative Education.

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Written by Jacob Walker

February 10th, 2016 at 12:59 pm

Posted in Virtual Onshoring

One Response to 'Two Quick Case Studies of Where Virtual Onshoring has Come to Fruition'

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  1. What you are calling virtual onshoring is simply international marketing in what economists call the cottage industries. Nothing really new. Implementing such an approach over the internet invariably involves services rather than the production of hard goods for the obvious reason.

    The problem as applied to the third world is that effective service delivery requires inordinately high skills levels we normally take for granted such as speaking English fluently.

    Have you looked at what Fiverr offers? Computing programming services, voice-overs, contract talent to produce a demo of a song you have written, graphic design, and so on. The third world is hardly ready to deliver in these areas. If you want an English voice-over for a radio commercial, someone speaking in broken English would not be your first choice. Etc, etc.

    What third world nations need to do is exactly what India did many years ago under British rule, that being to develop an effective university system capable of teaching students practical competitive skills that can be easily be marketed under conditions of very strong demand.

    The Observer

    13 Feb 16 at 7:34 am

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