Nobody downloaded yet

Is Outsourcing Good for America - Essay Example

Comments (0) Cite this document
Your Name: Class: Is Outsourcing Good for America? When President Bush’s chief economic adviser, Dr. Gregory Mankiw was asked by a reporter as to whether outsourcing was good or bad, he replied “Yes, it is probably good for America in the long run “ (Hira 2)…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.4% of users find it useful
Is Outsourcing Good for America
Read TextPreview

Extract of sample "Is Outsourcing Good for America"

Download file to see previous pages As Konig & Koskela elaborates “Over the last years, as a result of the growing globalization, international outsourcing, which is defined as the acquisition of production parts from an independent foreign supplier, has become an important managerial tool in reorganizing a firm’s production process (22). Outsourcing as a managerial tool however is not a new or a radical business practice concept. Offshoring, a specific subset of outsourcing, involves the practice of moving noncore operations overseas, either by transferring jobs to a foreign subcontractor or building a facility where labor is cheap (Burkholder 2). It is only recent that outsourcing became pervasive as precipitated by the advances in information technology, integration of economy and the necessity for businesses to keep up with competition. As further elaborated by Burkholder, Private industry and the federal government have numerous reasons for outsourcing. Based on a survey by the General Services Administration in February 1998, “Outsourcing Information Technology,” the following are the primary reasons, in descending order of importance, for outsourcing information systems: Focus in-house resources on core functions. Allow personnel cost savings. Improve quality of information systems services. Increase flexibility (9). And this pervasiveness in resorting to outsourcing has changed the way business is done. Now, some early adopters are figuring out how to tap overseas workers for personal tasks. They're turning to a vast talent pool in India, China, Bangladesh and elsewhere for jobs ranging from landscape architecture to kitchen remodeling and math tutoring. They're also outsourcing some surprisingly small jobs, including getting a dress designed, creating address labels for wedding invitations or finding a good deal on a hotel room, for example ( Given the scope and scale that outsourcing is being practiced today, it is no longer a surprise that this has caused anxiety among workers of host countries of a possible displacement from their jobs. Those workers' fears however have some grounding in fact. The prime motive of most corporate bean counters jumping on the offshoring bandwagon has been to take advantage of such "labor arbitrage" -- the huge wage gap between industrialized and developing nations. And without doubt, big layoffs often accompany big outsourcing deals ( Business as an entity is still profit driven and will always look for ways for it have a competitive edge against competitor to maintain profitability and increase the value for its shareholders. As always, it will always be motivated on cutting cost to maximize profitability. Such, outsourcing is just one of its strategy to keep up with competition and maintain its profitability in the market. For sure jobs will be in danger. With wages in developing countries like India and China which is only 10 to 20% compared to US salary, the incentive for companies to outsource is just very hard to resist especially when there seems to be an endless supply of educated and underemployed workers (Hira 3) who can equally perform a US based job. The IT industry, which was once one of the highest paid jobs, is estimated by the experts of the University of California to be in danger of being outsourced. And nothing can ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Is Outsourcing Good for America Essay Example | Topics and Well Written Essays - 1250 words”, n.d.)
Retrieved from
(Is Outsourcing Good for America Essay Example | Topics and Well Written Essays - 1250 Words)
“Is Outsourcing Good for America Essay Example | Topics and Well Written Essays - 1250 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Is Outsourcing Good for America


...?Table of Contents Table of Contents 1.0.Background 2 2.0.Definition of outsourcing 3 3.0.Types of outsourcing 3 3 Think 180 outsourcing ification 4 3.2.Currie and Willcocks classification 5 3.3.Common classification 6 4.0.Reasons for outsourcing 7 4.1.The strategic reasons 7 4.2.The tactical reasons 9 V.0.Selecting what to outsource 9 6.0.Benefits of outsourcing 11 6.1.Benefits of outsourcing to companies 11 6.2.Benefits of outsourcing to America 13 7.0.Disadvantages of outsourcing 15 7.1.Disadvantages to companies 15 VII.2.Disadvantages to America 17...
19 Pages(4750 words)Essay


...would also have more time to concentrate on customer service and providing top quality service. This is also another way for a business to cut their operational costs because part of their operations are done outside the company. Some companies send their work to other countries which could be very good for the company and the country because they would get the work cheaper than if they had it done in the United States. However, it would be a good idea to make sure that the country is being paid a competitive wage to do the job. I do think that a company would have to be careful about who they outsourced their work to. They would have to make sure that the consulting company was...
2 Pages(500 words)Essay

Outsourcing or Exporting America

...Outsourcing or “Exporting America”? One of the most controversial issues that pervade various sectors in America is the practice of outsourcing. Otterman clearly described the term’s rationale as “shifting jobs to lower-wage countries--a form of what is known as offshore outsourcing--is an increasingly popular practice among U.S. businesses seeking to cut operating costs” (Otterman par. 1). Identified to have originated in the 1970s when “IBM developed the IT industry in India” (Torrance par. 1), the practice have evolved in response to globalization and as a result of technological breakthroughs of the World Wide Web. The continued heated debate on...
3 Pages(750 words)Essay

Outsourcing and planning. It can also reduce innovation. Firms must select areas in which they can concentrate their resources. Reduced innovation means lost creativity. Firms that outsource core competencies do not see the importance of focusing on employees’ capability and knowledge considering that there is a relation between contented employees and contented customers. Satisfied employees not just turn their attention on their organisation out of gratitude but provide good and faithful service to customers as payback to their organisation. (Cooke et al., 2005) Organisations should not rush into outsourcing. The firm must first analyse the business situation and conduct feasibility...
8 Pages(2000 words)Assignment

Outsourcing Can Help America

...? How outsourcing is and can be good for American business and America as a Whole Teacher December 6, Outsourcing has itsadvantages and disadvantages. The research delves on the reality of outsourcing. Many American companies have transferred their production facilities outside the United States. Some American companies have shifted their manufacturing operations to China, India, Mexico and other countries. Other companies have hired outsourcing companies in other countries to do the jobs that were previously done by the American employees. Many issues cropped up from the outsourcing trend. Whether American residents like...
8 Pages(2000 words)Research Paper


...? Outsourcing Outsourcing is the transacting out of a business function to be performed by another company or individual. The practice of outsourcing an organization’s internal functions to a third party has been common in the modern economy since the early 21st century. Virtually all organizations outsource to third party companies in some way. Essentially the process being outsourced by the company is a non-core function. This practice of outsourcing gained popularity mainly in the United States, and from there-on proliferated to the rest of the world. For instance, a company may outsource non-strategic functions to...
8 Pages(2000 words)Term Paper

Outsourcing comes to dealing with personal discomforts of abused and maltreated individuals especially among women and children cases should be recognized among outsourcing. Being able to decide on what is good and beneficial to the victim or client as well at the same time following the ethical standards of professional practice most often than not confront outsourcing. Given these factors, the knowledge and qualifications of the outsourcing to investigate and inquire into the private lives of people should be given proper evaluation and assessment. In the reality of significant changes that have taken place in the practice of outsourcing throughout its...
5 Pages(1250 words)Essay

Outsourcing-harm to america

...Outsourcing-harm to America American companies outsourcing jobs: will that be the downfall of America? American companies outsourcing job is one of the burning problems, which has puzzled the economists in America on a number of counts including: Whether it has an adverse effect upon American economy? If yes, to what extent would be the loss? Whether American economy would be able to cope with it? Whether it will paralyze the country’s economy as such? Should it be banned? If yes, what should be the procedure? Or Would big companies in America agree to all the restrictions on outsourcing jobs for its own...
3 Pages(750 words)Annotated Bibliography

Is Outsourcing a Good Idea

...they are from the underdeveloped or developing countries. Although many people do not like the US for the role it has played in the international politics, yet they are still optimistic about working in or for America (Dutton, 2007). When the situation is considered as a whole on a global scale, outsourcing may appear to be in positive light, though the risks it poses, the complications it puts the business into, and the results it produces for the local labor tarnish its image. A good alternate to outsourcing is hiring fresh college graduates from within the country. This is a mutually beneficial deal between the employer and the employees. The employer gets an...
2 Pages(500 words)Research Paper


...Express outsources 80%of their services from third party with whom they have long term contracts. With a growing competition from many other operators, the abolition by the government of the subsidies of elderly and disable passengers, and the financial austerity, National Express like many other companies is under lot of pressure to provide a good value for money service. Purpose of the Research The aim of this project is to investigate and analyse why National Express outsource 80% of their services, how contracts are awarded to their many suppliers and if there is any partnership how it is handled by both parties. To explore existing theories in relation to the Operation and supply...
20 Pages(5000 words)Research Paper
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Is Outsourcing Good for America for FREE!

Contact Us