The question of why businesses offshore is multifaceted, with several factors influencing the decision. While there isn’t a single universal reason, certain common motivations prevail, contingent on the specific context and needs of each company. Some prevalent reasons include: 

Cost Reduction and Control: The foremost and often primary motivation is to decrease and manage operational costs effectively. 

Enhanced Focus: Companies aim to improve their focus on core competencies by delegating non-core functions to external specialists. 

Resource Reallocation: Offshoring allows businesses to free up internal resources, redirecting them towards new and strategic purposes. 

Efficiency Improvement: External assistance is sought to enhance efficiency in time-consuming functions for which the company lacks adequate resources. 

Maximizing External Resources: Leveraging external expertise and capabilities to their fullest extent to achieve optimal results. 

Risk Sharing: Partnering with external firms helps in sharing business risks, providing a collaborative approach to addressing challenges. 

As companies explore the benefits of offshoring, it is imperative for them to conduct a thorough evaluation of the entire process. While offshoring can offer significant advantages, it is not without potential challenges. Companies must carefully weigh the benefits against the risks and ensure that the chosen offshoring strategy aligns seamlessly with their overall business model.