Why Do Companies Outsource Offshore; Case Study
So why do so many American Companies offshore overseas? You know the real problem is the over regulation and the over lawyering in the United States. It gets to the point with all the rules and regulations and government agencies screwing with you and people like Elliot Spitzer threatening to do a PR drive bye shooting on your company, stock valuations and such, that it is not really worth dealing with.
It is not only about cheap labor, although shareholders equity and quarterly profits are king indeed. You see this is the Ayn Rand affect as much as anything else. It is also an issue of money flows and cycles, these issues have plagued civilization for thousands of years and cheap imported linen from Asia and Far Middle East nearly took down the UK. In the Deming years we got cocky too, over unioned and regulated our Auto Makers then too.
We need to pay attention to money flows all the way around, Mexico, Canada, Malaysia, China, India, Singapore, Japan, South Korea, Brazil, Argentina, Columbia and this oil issue in the Middle East we send way too much money away and it is not re-circulating because we do not make anything in America anymore except maybe hamburgers [okay bad joke].
If we would treat our companies here with respect and not over regulate them, over lawyer them and call them evil for merely participating in capitalism and free markets we could do a lot better off in America and we would then see an immediate reduction in offshoring and overseas job loses. Think on this in 2006.
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