Personally in this situation I would stay in the U.S. because a relationship that lasted for 25 years and then suddenly ends does not sound like it would go down well. I would not feel right about ditching my friends that I developed strong relationships over the years. You will have to deal with all new people and try to establish new relationships in India, which may be hard to deal with. There is nothing wrong with outsourcing the company though. Jobs will be lost for Americans and they will not be happy with that but the company will be happy because you save them a lot money by outsourcing.
The thing that is morally wrong is if you listen to some of your friend and decide to “cook the numbers” and lie to the company, which can in time can lead to you losing your job. On the other hand you may lose your job anyways when you decide to outsource because there is no guarantee that you keep your job.
From an economic stand point your responsibility is to be profitable and meet financial obligations, which outsourcing would do. Also, it would obviously provide financial benefits for the company.
Legally, you would not be breaking any laws in either country by outsourcing. Human rights could be an issue over in the U.S. but not in India apparently so paying the India workers a third of the cost of an American worker would work. Cutting back on health benefits could be a big deal in U.S. but not in India.
Sales Rep- Middle East I would not take the contract because it seems like there would be too many lose ends and could go bad. The guy who gives you advice may help your chances of getting the contract but it still does not guarantee it. The additional fee payment may pay off in the long run but could possibly be the down fall. Now if you do not use Ahmed’s services he will most likely help your competitor, which you have not won against in a while. I would just have to let him do that because in the long run you will