Outsourcing is an important outcome of which economic process?

Concept

Globalisation is the growing integration of national economies through cross-border flows of goods, services, investment, technology, information, and production.

A process is identified by the broad economic relationship it creates, not merely by one policy instrument or ownership system.

Application

Outsourcing means that a firm contracts an activity or service to an outside provider, often located in another country. It expands cross-border production and service networks, so it is treated as an important outcome of globalisation.

Contrast

• Capitalisation concerns converting or recording value as capital and the financing structure of an enterprise.

• Liberalisation concerns reducing government controls, licences, and trade or investment restrictions.

• Communism concerns collective ownership of the means of production and planned allocation.

Cross-check

Outsourcing connects firms and service providers across national borders. That defining cross-border integration points to globalisation.

Result

Therefore, the answer is Globalisation.