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Innovation returns from offshored IT R&D: a response article

Ilan Oshri (Loughborough School of Business and Economics, Loughborough University, Loughborough, UK)

Strategic Outsourcing: An International Journal

ISSN: 1753-8297

Article publication date: 17 February 2012



This paper aims to serve as a response to the article “Innovation returns from offshored IT R&D”.


The paper highlights two aspects relating to captive centres and R&D offshoring: what R&D is offshored, and understanding foreign direct investment decisions in the context of captives.


Many captive centres have gone through a complex evolutionary path during which they have evolved from a cost centre to become a profit centre. WNS and Genpact are just two examples of such behaviour. Such an approach, and in many cases a reality, should change our approach as to how we assess the returns on offshoring investment by simply taking into account the strategic intent behind such an investment.


This article serves as a response to the research paper “Innovation returns from offshored IT R&D” by Datta and Bhattacharyya in this issue.



Oshri, I. (2012), "Innovation returns from offshored IT R&D: a response article", Strategic Outsourcing: An International Journal, Vol. 5 No. 1, pp. 36-38.



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