Offshoring decisions have often overlooked hidden costs and long-term strategic impacts, leading to intellectual property losses and the rise of overseas competitors. A new model is needed to guide future offshoring choices, considering both short-term gains and long-term losses. The growth of offshoring has been made possible by advancements in transportation and communication technologies. Despite the perceived benefits, the focus on cost-cutting has overshadowed the potential risks and strategic consequences of global outsourcing.