Limitations of Offshoring are:

i) It can affect the quality of a firm’s product or services offered since the use of third parties breaks the direct link between the firm and its customers.

ii) It can lead to bad publicity to the firm in the home market when consumers perceive moves to offshore operations as leading to domestic jobs losses.

iii) It could lead to loss of control since it increases the scope for third parties not to meet agreed service levels.