A classic example of outsourcing is when a company hires an external firm to handle tasks or services that could be done in-house, often to save costs or access specialized expertise.

For instance:

• A U.S. business hiring a call center in the Philippines to handle customer support.
  
  
• A startup contracting a software development team in India to build an app instead of employing full-time developers locally.
  
  

Both examples show outsourcing because the work is performed by an outside provider rather than the company’s own employees.