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Effect of Corporations Moving Jobs Overseas on the Economy - Coursework Example

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"Effect of Corporations Moving Jobs Overseas on the Economy" paper is an effort to see how outsourcing has gained acceptability over the years and which are the key motivators driving the demand for outsourcing destinations and which are the types of risks associated with such ventures. …
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Effect of Corporations Moving Jobs Overseas on the Economy
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Download file to see previous pages The issue comes into focus, whenever there are political, economic debates or talks about H1B visa limits. The economic slowdown has further led to the intensification of these debates. But, despite apprehensions from different quarters, neither the companies nor the government has said a final word on the trend. Increasing levels of competition amongst the corporate houses have been one of the key highlights of the globalization era. Be it the retail sector, the banking, the automobile, the IT-enabled services, the white goods space, etc. the companies have always been on the lookout for reaching out to more number of customers while doing everything possible to please the existing lot. Leveraging the economies of scale has proved to be one of the main tools for keeping the costs down and offering the best of the services to the customers. The phenomenon of outsourcing has brought about quite a few changes in the way business houses carry out their business or IT enabled services are provided to the retail and corporate clients. In the last 15-20 years, the trend of outsourcing i.e. sending across a range of jobs across the countries and continents seems to have become an industry in itself. While on the one hand the pioneering changes brought about by Information Technology has made this possible, the increasing levels of competition in the globalization regime have made companies all the more conscious about the cost-benefit ratios.

As the profit margins are heading southwards, multinational corporations around the globe have started looking for locations where they could shift some of their non-strategic jobs in order to cut costs. China, India, Philippines, South Africa, Thailand, Russia, Poland, Mexico, Indonesia, Vietnam, etc. are some of the countries where MNCs from the USA, UK, Germany and other developed nations have started outsourcing the jobs. While on the one hand, the outsourcing decisions have benefited many corporate houses, there are instances when such decisions have also resulted in challenging circumstances for the corporate houses.   ...Download file to see next pagesRead More
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