This report analyses how American Companies started offshoring or moving white collar and blue collar positions to other countries with low pay since the 1960’s. Also, the purpose of this report is to highlight the advantages and disadvantages of offshoring jobs to countries with low pay. This report will analyze how the consumers, communities, and corporations are beneficiated and/or affected.
In the 1960’s American Companies started offshoring job positions to Asian countries, and Hispanic countries. American Companies started offshoring American Jobs because their business was more profitable in other countries, so in order for the companies to be closer to those countries American Companies started hiring employees in those countries. Furthermore, as American companies realized how much money they could save by offshoring jobs to other countries with low income they started offshoring more jobs with the purpose of saving money. As American companies offshored white and blue collar positions, their profit incremented and they were able to invest more money in their products. The objectives of this report are the following:
• To identify what positions are offshored more often.
• How offshoring jobs affects and/or beneficiates the consumers.
• How offshoring jobs affects and/or beneficiates the communities.
• How offshoring jobs affects and/or beneficiates the corporations.
By offshoring American jobs companies will be able to profit from those positions. In contrast, employees will be affected and probably will need to gain more training in order to find another job.
Offshoring American jobs have positive and negative consequences to the American community. Some of those consequences of offshoring American jobs include American employees losing their jobs, Diminishes the US tax base, cannot support government spending levels, the skills disappear at home.
The strategy of American companies offshoring American jobs brings more profit to investors. The benefits of the profit can be for those investing in the companies. Conversely, when American jobs are offshored American employees lose their jobs and the flow of money in the community is shorten
Offshoring is the movement of work from within the United States to locations outside the United States. Offshoring may occur inside the same business and involve movement of work to a different location of that company outside the United States, or to a different company altogether where wages are often lower and other conditions are favorable because they lower a company's overhead. Why do companies decide to offshore outsourcing? The major motivation as any one might suppose is to decrease costs and thus increase revenues. The manufacturing industry cost in the United States is four times higher than in China or India. Conversely, the difference in manufacture is three to one. Employees can be significantly more industrious if they are equipped with the...