Outsourcing in Kosovo: An analysis of Kosovo's comparative advantage and the potential for growth
The main focus of this research project is to explore the implications of outsourcing on the service provider countries, specifically for the case of Kosovo. With the emergence of globalization, international markets are more interconnected than ever. Technology has facilitated businesses with different ways of reducing costs, one of them being outsourcing part of their business processes internationally, also known as offshore outsourcing. While the impact of such strategies on the client countries is controversial, there is almost universal agreement that the impact on provider countries, especially when they are developing countries, is positive. Being a developing country, Kosovo can also benefit from improving its services trade balance, and one way to achieve that is by the expansion and development of its outsourcing sector. Using both primary and secondary data research, this study analyzes Kosovo’s outsourcing sector, the potential for development, and the main challenges faced by startup businesses in this sector. Since there is limited existing data (both qualitative and quantitative) regarding Kosovo’s potential as an outsourcing destination, this study can contribute in filling in some of the gaps. Based on first-hand information from representatives of existing outsourcing companies in Kosovo, as well as examples from literature on other countries, a list of recommendations for the Kosovar government and other stakeholders is provided.
Hoti, Yllza, "Outsourcing in Kosovo: An analysis of Kosovo's comparative advantage and the potential for growth" (2018). Thesis. Rochester Institute of Technology. Accessed from