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Outsourcing
How many of you grow your own food, make your own clothes, or build your own cars? (Raise your hands, please) You don't, do you? Just as some of you might use an online service to find a date (you know who you are), many businesses also use outside sources in the areas that they are not competent in.
American companies that outsource jobs have the option of doing it either domestically (onshore) or overseas (offshore). The growing trend is to hire employees abroad. Firms find that it is cheaper to employ people offshore, and some companies even claim that such workers are better educated and provide friendlier service. The most popular country to outsource from is India. Just about all of the workers have college degrees and can handle more complex situations than U.S. employees with only a high school degree. Indian employees also excel at customer service, and since they enjoy their jobs the turnover is low.
Many U.S. companies are also taking a closer look at offshore outsourcing due to competition from other countries such as China and Thailand. These foreign countries are stealing customers with prices 60% below those of U.S. companies. Not only do they have cheaper labor, but their costs for raw materials are lower. If that wasn't enough, they also receive government subsidies. American companies are finding it extremely difficult to compete with this "Asian invasion".
While offshore outsourcing is mainly known to be used in the areas of customer service and information technology (IT), "any position where people do not need to work directly with clients is moving ? financial analysts, accoun ...