Abstract
As global economic integration deepens greatly in the 21st century, China and the
10 ASEAN countries established China-ASEAN Free Trade Area (CAFTA) on Jan. 1st,
2010. Nowadays, CAFTA, NAFTA and EU are the three main regional economic
integration organizations worldwide. Major advances in information and
communication technology (ICT) as well as globalization contributed vastly on the
emergence and development of offshore services outsourcing. CAFTA has become one
of the most attractive destinations of offshore services outsourcing. The main countries
in CAFTA quicken their pace to catch up with India which still maintains the lion’s
share of offshore services outsourcing market. With the economic development of
countries in CAFTA, service trade cooperation will be spurred and expand. The fast
development of services outsourcing provides opportunities for countries in CAFTA to
cooperate on services industry, especially the producer services. CAFTA countries are
preferred outsourcing vendors on Japanese offshore outsourcing market.
Research focused on the development strategy of outsourcing services in
developing countries, except for India, is not too much. Most scholars in developed
countries pay attention to research on how to make outsourcing decisions from the
outsourcer perspective. The studies of domestic scholars usually present insights to
competitiveness and determinants of service outsourcing activities. This paper presents
the development strategy of producer services outsourcing between Japan and CAFTA.
This paper can be divided into three parts:
The first part, which is the theoretical basis, discusses some related definitions,
reviews literatures, and analyses some important theories.
The second part, which is the realistic basis, comprises of three sections. The first
section examines the competitiveness of producer services of the main countries in
CAFTA based on competitiveness evaluation indexes, and demonstrates the service
industries with comparative advantage in every country. The second section concludes
the features of University-Industry-Government guided determinants of location
selection and vendor section. The third section cites the case of offshore services
outsourcing strategy of India and presents the status and characteristics of offshore
services outsourcing development in CAFTA. It is confirmed that a joint strategy of
University-Industry-Government is preferred.
The third part is the conclusions of this paper, which offers a discourse on a joint