Americans enjoy three things in life when purchasing something. The product must be cheap, trendy and benefit the home countries economy by producing a good. However, it is nearly impossible to find all three aspects in a product. As 2015 is coming to a close, it is virtually impossible to find items produced in this country.
All American companies have found it to be cheaper to produce goods in other countries. This phenomenon is called outsourcing. Outsourcing is useful because the companies are “subcontracting work to another firm or the purchase of components for a product rather than manufacturing them in order to save on production costs… (this may also) provide gains for developing countries (looking to start their economy)” (58-59). …show more content…
“Likewise it is not clear to me why anyone should want to go back to an industrial America where jobs are generated by assembling iPhones. We Americans need to ask ourselves if we aren’t better off today than 50 years ago, when we hired lots of manufacturing workers to make everything from shoes to TVs to bicycles” (Baizhu). I agree with Baizhu Chen’s statement saying how America has progressed. Yes, this country once thrived on manufacturing. And I do believe this country is better off than 50 years ago. While having jobs here in the United States is great, there is a reason why America’s workforce has become less labor intensive and more software …show more content…
According to Ben Kabin from Infographic, he stated that it only takes 15 days to hire 8,700 engineers to manage 200, workers as compared to nine months in the United States. This is a major advantage to doing work in a foreign country. Since China has a massive population, they have the power to ensure all jobs get taken immediately. It’s amazing to me how much of a difference it is to employee those workers. I believe since China has more workers on the line, they already know the gist of thins, so there is less for them, Chinese, to learn.
Another important motive for outsourcing is how much a person makes in wages. According to Forbes, as of 2010 in China the wage was $2.00 and $34.75 in the United States. This is a $32 difference which when thinking about is really adds up. Let’s say Apple chose to manufacture in the United States, it would cost more than $25 billion in labor costs per year. Apple’s profit is 14 billion, so they would be in debt by $11 billion. This is just another reason why I believe Apple knows the ins and outs of the manufacturing
All American companies have found it to be cheaper to produce goods in other countries. This phenomenon is called outsourcing. Outsourcing is useful because the companies are “subcontracting work to another firm or the purchase of components for a product rather than manufacturing them in order to save on production costs… (this may also) provide gains for developing countries (looking to start their economy)” (58-59). …show more content…
“Likewise it is not clear to me why anyone should want to go back to an industrial America where jobs are generated by assembling iPhones. We Americans need to ask ourselves if we aren’t better off today than 50 years ago, when we hired lots of manufacturing workers to make everything from shoes to TVs to bicycles” (Baizhu). I agree with Baizhu Chen’s statement saying how America has progressed. Yes, this country once thrived on manufacturing. And I do believe this country is better off than 50 years ago. While having jobs here in the United States is great, there is a reason why America’s workforce has become less labor intensive and more software …show more content…
According to Ben Kabin from Infographic, he stated that it only takes 15 days to hire 8,700 engineers to manage 200, workers as compared to nine months in the United States. This is a major advantage to doing work in a foreign country. Since China has a massive population, they have the power to ensure all jobs get taken immediately. It’s amazing to me how much of a difference it is to employee those workers. I believe since China has more workers on the line, they already know the gist of thins, so there is less for them, Chinese, to learn.
Another important motive for outsourcing is how much a person makes in wages. According to Forbes, as of 2010 in China the wage was $2.00 and $34.75 in the United States. This is a $32 difference which when thinking about is really adds up. Let’s say Apple chose to manufacture in the United States, it would cost more than $25 billion in labor costs per year. Apple’s profit is 14 billion, so they would be in debt by $11 billion. This is just another reason why I believe Apple knows the ins and outs of the manufacturing