Pros And Cons Of Outsourcing Threats To The United States

I have to agree with the points that have been made by the author of the special report regarding outsourcing and offshoring. In my opinion, offshoring and outsourcing shouldn’t be regarded as threats to the United States. Both offshoring and outsourcing tactics had been used to cut costs for large-scale corporations. When these aspects of business became increasing popular for corporations, jobs began to transition from within their homeland bases to various offshore companies. Offshoring and outsourcing have long been debated as potential threats to domestic jobs.
According to the special report, American firms have begun to switch gears yet again. The economics of offshoring and outsourcing have changed over the years. It’s becoming costlier to conduct business and manufacturing in traditionally considered “cheap labor” countries. The costs of productions and shipping expensive and heavy items across seas is becoming less economical. Moreover, the time it takes to ship these products causes delays for many companies. Some firms began to feel that they’ve gone too far in offshoring, out of this realization came a process known as reshoring. Apple has even begun the process of building some of their computers in the United States. Many major companies such as Google, GE, and Ford …show more content…
As a result of changing times, many large-scale corporations will likely need to adapt in order to maintain a thriving business. As for whether or not the United States should be attempting to put limitations on offshoring and outsourcing, I’m not entirely sure that limitations are the correct or necessary response. It had been mentioned within the special report that labor costs are beginning to level out and many companies are returning to their homelands for production. It’ll be interesting to see what the future will bring for offshoring and outsourcing as the dynamics for both are continually