What does man gain from all his labor at which he toils under the sun? Generations come and generations go, but the earth remains forever. The sun rises and the sun sets, and hurries back to where it rises. The wind blows to the south and turns to the north; round and round it goes, ever returning on its course. All streams flow to the sea, yet the sea is never full.
Ecclesiates 1:3 – 7
In terms of outsourcing, many Americans feel indignant, even angry, that people in India have usurped their (Americans’) jobs in fields as diverse as tech support, manufacturing, marketing, and design. Manufacturers in American cannot compete when others in their market produce a similar product for half the cost—the “Made In The USA” sticker can’t recoup the costs. A competitive company today must begin considering the cost of producing its product in a world where labor can vary in price significantly. American workers hang out on the high end of that scale and as such appear much less appealing to savvy companies—which angers the costly American workers, naturally.
Yet thinking globally and longer-term the outsourcing tendency may not spell disaster for the good old US of A. By sending jobs overseas we pour money into countries needier than ours, improving their economy and stabilizing the global economy. The money we “lose” now by investing in outsourcing may well be reinvested in American products as those poorer nations begin participating in a wider range of trading.
How is “functioning effectively in a capitalistic society” different from “being greedy”?
– KF –
One thought on “Two Sides to the Outsourcing Coin”
:-: As great as it is to invest in the rest of the world, sadly a lot of EE jobs are starting to be outsourced. Hopefully I’ll still be able to get a job. for a decent yearly salary. Although I have read one person (don’t remember who) as saying that eventually companies will realize that it is better to employ your fellow countrymen and the whole outsourcing flow will reach equilibrium.