Today, it seems that outsourcing is on a downfall. 54% Latest Mailing Database of executives from billion dollar manufacturing companies are planning on bringing production back to the United States from China (Douglas). Also, a recent study has shown that there is starting to Latest Mailing Database be a shift back to North America for outsourcing jobs instead of Asia. The study claimed that U.S. manufacturers are starting to prefer Mexico over Asia claiming that Mexico "combines the relatively lower costs of China with much quicker access to the U.S. market" (Toloken).
Overall, the biggest beneficiary of outsourcing Latest Mailing Database is the company itself. The company doing the outsourcing has the ability to save significant Latest Mailing Database amounts of money, but the economy and the citizens of the United States both take a hit in doing so. The economy loses tax revenue and the taxpayers lose jobs Latest Mailing Database to other countries. The recent studies showing that jobs are starting to come back onshore is a good sign for things to come. Pearlstein, Steven. "Outsourcing: What's the True Impact? Counting Jobs Is Only Part of the Answer." Washington Post. The Washington Post, n.d. Web. 20 Apr. 2016.
In today's global environment Latest Mailing Database technology and a depressed economy have made it wise to outsource as a viable way to cut costs and improve production. Outsourcing is a business strategy where companies can contract other companies, sometimes Latest Mailing Database foreign, to provide a business service or component products (Abrams 194). U. S. multinational corporations have started to take advantage of Latest Mailing Database a reduction in trade barriers and communication technology to delegate production to lower-wage countries like India and Sri Lanka. Outsourcing is becoming a popular means for companies to increase efficiency Latest Mailing Database, however some companies do not realize that outsourcing can also have drawbacks. Outsourcing can cause problems if not managed correctly, but wise Latest Mailing Database outsourcing can create many long-term benefits. Cost reduction is the number one reason to outsource.