Abstract
AbstractThis paper examines the options available to a developing country, Fiji, for participating in the exploding international trade in IT‐enabled business services. A rapidly‐growing portion of this trade takes place when firms from developed countries purchase services from providers located in low‐income countries or place remote service delivery facilities in such locations. The paper describes the segments of IT‐enabled business services in terms of their skill‐intensity and the value they add, and discusses current trends in the international trade in business services, with particular emphasis on North‐South service outsourcing. The paper identifies conditions that low‐income countries must create in order to develop entry‐level IT‐enabled service delivery capability and then analyses Fiji's potential to develop or attract such services delivery capability. Policy options to facilitate the development of an indigenous IT‐enabled service industry in Fiji are proposed.
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