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date: 30 November 2021

Abstract and Keywords

This chapter analyzes Latin America’s participation in the offshore services industry and its contribution to global service trade by using the global value chain (GVC) framework. It examines the structure of the industry, the business models driving the lead firms in the sector, and favorable factors of its different countries. The GVC framework allows one to understand how this global industry is organized by examining the structure and dynamics of different actors involved. This framework is also a useful tool to trace the shifting patterns of global demand and supply, to link geographically dispersed activities and actors, and to determine the roles they play in developed and developing countries alike. The GVC methodology focuses on the sequences of value-added within an industry, from conception to production and end use. It examines the job descriptions, technologies, standards, regulations, products, processes, and markets in specific industries and places, thus providing a holistic view of this global industry from both the top down and the bottom up, and facilitates an understanding for firms and policy makers in developing countries to drive growth.

Keywords: offshore services industry, outsourcing, global value chain framework

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