Essay On Outsourcing

541 Words3 Pages
Outsourcing is a management strategy that allows companies to optimize the functioning of the organization by focusing on the main line of activity, the core activity of the company. It is one of the driving forces behind the process of fragmentation and specialization of the production process and involves buying intermediate goods or services, which were previously produced inside the firm, from a third party (Görg et al., 2008). While outsourcing is used to be a local or domestic circumstance, technological advances in, for example, transportation methods, allowed firms to be more competitive and detailed with the sale intermediate goods from other countries to another. Outsourcing, while a profitable endeavor for big business, realistically hurts our economy by removing manufacturing jobs, which tend to be well paid, also allows companies to evade their fair share of the tax burden. Small business accounts for the majority of job creation in this country, now. By moving jobs overseas or across the border, families are hit hard because there skills are no longer marketable. The U....

More about Essay On Outsourcing

Open Document