With the rapid development of telecommunications technology over the past 200 years, the structure of trade has changed enormously and, above all, accelerated. The increased and faster flow of information has led to a situation where dependent entities of one enterprise do not have to be located in one place, but can be dispersed all over the world. The concept of offshoring was invented and introduced only in the second half of the 20th century with the decline in international transport prices and the growing importance of new communication technologies. Are you already interested in outsourcing some parts of your software development eastern europe ? Read on!
The rapid development of technology that Europe paid attention to
The use of airplanes, container ships, high-speed rail and, above all, media such as the Internet or telecommunications allowed for the relocation of enterprises and the delegation of some responsibilities to smaller branches specially created for this purpose. Offshoring gained importance in the 20th century and outsourcing has become one of the most important forms of trade in the 21st century. One should also pay attention to the differences between offshoring and outsourcing. Outsourcing consists of outsourcing a certain part of the processes to external companies, often located in countries with a lower level of economic advancement and therefore cheaper.
Outsourcing and offshoring of the software development
Both outsourcing and offshoring are usually introduced in less developed countries due to cheaper labor, and as the above-mentioned definitions say, it consists in transferring processes outside the home country of an inter- or transnational corporation.
After the enlargement of the European Union in 2004 and 2007, the importance and attractiveness of Central and Eastern European countries for potential investors increased. After 2004, many analyzes were made to try to assess the investment attractiveness of these countries and their potential. In terms of the amount and value of foreign investments and the growing importance of Poland in the region, Poland is often perceived as one of the biggest beneficiaries of EU accession.
The European Union plays a huge role
In Eastern Europe, Poland is the first country listed in the region as the most attractive outsourcing destination in 2013 in the Top 100 report. The dynamics of price growth is also one of the most important indicators taken into account in the A.T Kearney Global Services Location Index report. In this report, however, Poland is appreciated for the high level of education and for the high linguistic abilities of Poles, especially for the dynamics of the growth of people with higher education.
Which country in eastern Europe to choose for software development besides Poland?
Another example of attractive offshoring sites in Europe has recently become the Czech Republic and Estonia, which are characterized by similarly low living costs and a relatively large number of highly trained potential employees. In the Top 100 outsourcing destinations ranking, Prague ranks 16th and ranks second among Central and Eastern European cities. However, it should be remembered that the Czech Republic and the Baltic states are much smaller compared to Poland and Romania