Author(s)

Lijun chen, Jiaying Lin, Zhang yi, Huiyong Jiang

Corresponding Author

Lijun chen

ABSTRACT

Outsourcing is not a new concept, but research, practice and analysis in different contexts. Outsourcing was originally introduced in developed countries to use high -skilled, low -cost labour in developing countries, mainly in areas such as manufacturing and information technology. the main idea is to optimize the cost structure of different industries in develop countries.When outsourcing began to gain momentum in developing countries, this trend changed, while in countries where operating costs were already lagging behind, the problem of optimizing costs was challenged. The purpose of this paper is to analyze the relationship between outsourcing as a concept and cost optimization as the goal of outsourcing. Potential research areas,such as how outsourcing is suitable for telecommunications and other technologysuch-related services,are also proposed.

KEYWORDS

Cost Optimization; Outsourcing; Transaction Cost