Recently business are moving across the globe to third world countries to produce their products for half the cost. This has caused a debate amongst American citizens.
Many people are against outsourcing, simply because it leads to unemployment increasing in America, yet allows foreign country’s residents to obtain jobs. Outsourcing is usually done by large companies, mostly because it is cheaper to get the job done in another country than it is to have it done here, due to the fact that workers in America are often paid more for the same task than workers in foreign countries, like India. On the contrary, many corporations believe that in the long run, outsourcing can benefit the American economy. That by outsourcing to non-developed or developing countries, we enable them to improve their economies. That by exporting products and services to be made in foreign countries we are lowering the prices of those products and services to be made in foreign countries we are lowering the prices of those products for the American people, and at the same time helping foreign nations.
Industries and companies are reaching out across the world. Capgemini, a French IT company has branched out to many different countries over the years. Sodexo, another French company, is a global food service industry, expanded to countries such as the United States, Africa, and other countries. Computer Science Corporation started in the United States and has expanded to nations around the globe. Intercomp, A Russian company, began outsourcing several years ago, and is now Russia’s number one outsourcing company. With so many business outsourcing in other countries, to save money the labor force is constantly shifting.
A common barrier to trade are government subsides to a particular industry, in order to create a cheaper production rate of that product in the American economy, rather than