Page 13 - Nearshoring to Romania
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The idea behind nearshoring is that it provides a more sustainable business climate because it offers the
same benefits as offshoring with fewer drawbacks. The main benefits of nearshoring are:
Cost savings
Access to a new market
An attractive labour market
Closer communication and cooperation between the companies involved
Corporate Social Responsibility (CSR) considerations
Compared to offshoring, the following downsides can still be present for nearshoring and should be
looked at by companies that consider nearshoring:
Infrastructure of the destination county
Governance of the out-of-country branch or partner
Inefficient communications
Expenses related to travel
2.3.3 Comparison between nearshoring and offshoring
The conclusions of paragraphs andare summarized in the table below. For 'benefits', the plus sign
indicates the solution offers good benefits and a minus sign indicates the benefits are not there. For
'challenges', a minus sign indicates the problem is very likely to appear in the indicated solution while a
plus sign indicates that the chance of those problems arising is slim.
Benefits Nearshoring
Benefits Cost savings + +
Access to a new market + +
An attractive labour market + +
Problems Infrastructure of the destination country - -
Governance of the overseas branche or partner - +/-
Cost of oversight - +
Inefficient communications - +/-
Problems in cross-cultural collaboration - +
Expenses related to travel - +
2.4 Why go to Romania
Romania offers particular benefits for nearshoring from the Netherlands. The main benefits of
nearshoring to Romania are described in paragraph . At the same time companies should be aware that
there are issues that need to be taken into account when planning to nearshore to Romania. The most
pertinent issues are discussed in paragraph .
2.4.1 Benefits
Based on the experience of NRCC members the main benefits of working in Romania are:
ØEmployment
It is relatively easy to hire well-educated and well-trained employees in Romania;
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Nearshoring to Romania, NRCC 2013
