Outsourcing: Fortune 500 and Hackett Group

Outsourcing With unemployment rates increasing and new jobs seemingly nonexistent, outsourcing has become the center of a lot of hate in the Unites States. In 2011 alone, over two million jobs were outsourced to different countries. I can see why this has upset workers who don’t look forward to the not-so-upper-middle-class type of lifestyle. They can grumble and argue all they want, but the truth is, outsourcing isn’t going to go away, and is in fact the future of business and production. In countries like India and China, the cost of production and labor is incredibly cheaper than that in the United States. According to the Hackett Group, “the typical Fortune 500 company could save $116 million a year by transferring jobs abroad” (At Issue: Outsourcing). By lowering the costs of production, the prices of the product will also fall, which is nothing to gripe about. No, it might not be made in the USA, but it’s still owned by a US company and they should regulate resources as well as what is being produced. Therefore, complaints concerning the “lack of quality products” that these foreign factories will make simply because they are foreign, is ignorant. By exporting jobs to far away countries, companies are expanding supply and distribution channels, creating new markets for their products. Who knows, maybe Indian citizens think that the products they help sell or make are pretty cool, and they might buy some for themselves. This creates a balanced global audience and a merging of cultures and ideas. Outsourcing brings prosperity and efficiency for all involved, except those Americans who will have to buy apartments instead of two-story houses with lawns. Some people might feel that their standard of living has decreased, and it might, but the difference is nothing compared to the impoverished countries that we outsource to. With a greater profit for America as a whole, outsourcing is here to stay.

Works Cited

Desai,

Cited: Desai, Mihir. "The Mistaken Attack on Outsourcing." Wall Street Journal. 29 Dec 2010: A.11. SIRS Issues Researcher. Web. 27 Feb 2013. "Job Outsourcing Statistics." Statistic Brain RSS. Sourcing Line Computer Economics, 20 July 2012. Web. 25 Feb. 2013. Levy, Philip, and Scott Paul. "Is Outsourcing Good for the U.S. Economy?." New York Times Upfront. 14 Mar 2011: 22. SIRS Issues Researcher.Web. 27 Feb 2013. ProQuest Staff. "At Issue: Outsourcing." ProQuest LLC. 2013: n.pag. SIRS Issues Researcher. Web. 27 Feb 2013.