Abstract
In this paper we explicate the role of external knowledge search motives and host country context (local embeddedness) in driving different knowledge outcomes in offshoring. Drawing on the offshoring/offshore outsourcing literature, we develop a classification scheme based on different knowledge search motives (exploitation vs. exploration) and local embeddedness (low vs. deep). Utilizing this classification scheme, we discuss four important knowledge outcomes in offshoring: knowledge replication, refinement, renewal, and recombination. Additionally, we highlight how client-supplier relational governance, and offshoring knowledge, skills and abilities (KSAs) may accentuate the effectiveness of various knowledge outcomes and value creation potential.
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