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Forum » Why does American businesses decided to outsource so much?
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Thread: Why does American businesses decided to outsource so much?

post 1641780533 06-28-2021, 08:46 AM
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Why does American businesses decided to outsource so much?

Millionaire executives just want to become multimillionaires.

Doesn't matter that your average Joe in manufacturing will lose out (see Detroit Auto crisis).

The USA gets too dependent on China and China learns everything in and out and is going to become better in this game.

American upper echelon greed but China = bad?
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post 1641780803 06-28-2021, 08:50 AM
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american workers are too expensive. yellow and brown man much low cost. Save dollar
post 1641780823 06-28-2021, 08:50 AM
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Greed

I’d like to think if I were in a hiring position that I wouldn’t outsource. But when you look at the numbers......it’s hard to look away I guess.
post 1641781093 06-28-2021, 08:56 AM
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Just not competitive, low education, top-heavy, lots of people who are hired for no reason. That's, why salaries compared with the cost of living, are so low.
post 1641781103 06-28-2021, 08:56 AM
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Originally Posted By andrew28⏩
Greed

I’d like to think if I were in a hiring position that I wouldn’t outsource. But when you look at the numbers......it’s hard to look away I guess.
Sure but now when China has improved so much due to this why are they blaming? It was their decision to outsource.


Also, no amount of immigrants or lazy liberals can compare to the economic devastation outsourcing has to the average American worker.
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post 1641781443 06-28-2021, 09:02 AM
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Originally Posted By atgbrahsrs⏩
Sure but now when China has improved so much due to this why are they blaming? It was their decision to outsource.


Also, no amount of immigrants or lazy liberals can compare to the economic devastation outsourcing has to the average American worker.
Sometimes I feel like if I were a dictator I would ban outsourcing or this H1-B nonsense.

I mean for fuks sake, IT workers at Disney World have to TRAIN their immigrant replacements to take their jobs. That’s pretty fukked up.

Our smartphones should probably cost $10,000+ but sweatshop/child labor drives those prices down 90%. So there’s pros and cons.

I’m not the least bit qualified to be commenting on this topic lol. Took one economics course in college and forgot most of it so don’t listen to me.
post 1641781653 06-28-2021, 09:07 AM
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Originally Posted By andrew28⏩
i’m not the least bit qualified to be commenting on this topic lol. Took one economics course in college and forgot most of itso don’t listen to me.
Way ahead of you
post 1641781873 06-28-2021, 09:12 AM
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CEO's get paid many millions of dollars to cut expenses and increase the companies stock value. It has nothing to do with people or even the product or service they provide. No company gives a crap about anything but providing the cheapest product and charging as much as possible for it.
post 1641782033 06-28-2021, 09:14 AM
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Originally Posted By andrew28⏩
Sometimes I feel like if I were a dictator I would ban outsourcing or this H1-B nonsense.

I mean for fuks sake, IT workers at Disney World have to TRAIN their immigrant replacements to take their jobs. That’s pretty fukked up.

Our smartphones should probably cost $10,000+ but sweatshop/child labor drives those prices down 90%.So there’s pros and cons.

I’m not the least bit qualified to be commenting on this topic lol. Took one economics course in college and forgot most of it so don’t listen to me.
Nah, they'd probably be like 50% more expensive at most. H1B should be stopped, lobbying should be outlawed, and we should stop trading with China.
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post 1641782333 06-28-2021, 09:19 AM
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They don't care about society going down the tubes
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post 1641782483 06-28-2021, 09:21 AM
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Originally Posted By EnderG60⏩
CEO's get paid many millions of dollars to cut expenses and increase the companies stock value. It has nothing to do with people or even the product or service they provide. No company gives a crap about anything but providing the cheapest product and charging as much as possible for it.
If stocks paid dividends then your theory would hold some weight. Truth is most stock don't, you're literally gambling that more people will arbitrarily buy more stock. The CEOs don't care as.much about profit as you think....they care about creating targets then getting bonuses for it. The guise of profit merely enables this.
Boycott foodservice industry crew
post 1641782543 06-28-2021, 09:22 AM
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Because the USA evolved from an industrial economy to an advanced economy in the span of about 5 years.

It's second-world nations for the most part that rely on industrial economies to survive. The US is the world's leading consumer economy and is capable of focusing on advance products like software, information products, and financial services. Businesses like these are what sustain consumption, and many other businesses rely on this growth and consumption.

The only first world nations today that have strong industrial sectors are those that focus on small to medium sized companies that produce very specific products on a global scale. For everyone else, we rely on the Global South to manufacture things in factories. This means Latin America, Africa, and Southern Eurasia.

If anything, China is heavily dependent on the USA to consume their products. When the US economy takes a hit, it wipes out huge sectors of China's manufacturing economy. It's this consumption that led to the rise of China as an industrial power. The global economy is much bigger than just the USA or China, but those two nations are the leaders of the global economy.
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post 1641782703 06-28-2021, 09:24 AM
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Originally Posted By BeanGainClovis⏩
Because the USA evolved from an industrial economy to an advanced economy in the span of about 5 years.

It's second-world nations for the most part that rely on industrial economies to survive. The US is the world's leading consumer economy and is capable of focusing on advance products like software, information products, and financial services. Businesses like these are what sustain consumption, and many other businesses rely on this growth and consumption.

The only first world nations today that have strong industrial sectors are those that focus on small to medium sized companies that produce very specific products on a global scale. For everyone else, we rely on the Global South to manufacture things in factories. This means Latin America, Africa, and Southern Eurasia.

If anything, China is heavily dependent on the USA to consume their products. When the US economy takes a hit, it wipes out huge sectors of China's manufacturing economy. It's this consumption that led to the rise of China as an industrial power. The global economy is much bigger than just the USA or China, but those two nations are the leaders of the global economy.
Legit laughed out loud
Boycott foodservice industry crew
post 1641782803 06-28-2021, 09:27 AM
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Cheap Chinese labor.

Trump wanted to make it more difficult to outsource into our enemy, China. But then of course the BLM-ocrats "won." Imagine being a lib.
Trump 2024

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post 1641782893 06-28-2021, 09:28 AM
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too fat to go to work
post 1641783073 06-28-2021, 09:30 AM
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Originally Posted By rectifryer⏩
Legit laughed out loud
Not sure what's funny about it, that's the truth.

Maybe I took OP too seriously, but this stuff is what I do for a living.
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post 1641783373 06-28-2021, 09:33 AM
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Out-of-control greed. The US outsources to China due to cheaper costs, and China turns around and outsources to N. Korea..... it's just how he world works, boyo.....
Everything I post is satire.
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post 1641783483 06-28-2021, 09:35 AM
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Because most businesspeople are short-sighted, are incapable of seeing the big picture, and only care about their own paycheck.

When Henry Ford started mass-producing cars, he paid wages that were well above the norm for similar semi-skilled industrial work. The plan behind this was that he wanted to enlarge the middle class and its discretionary spending ability, and thus massively increase the number of people who could afford to buy a Model T. Win-win.
post 1641783853 06-28-2021, 09:41 AM
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Originally Posted By WrathOfPecan⏩
Because most businesspeople are short-sighted, are incapable of seeing the big picture, and only care about their own paycheck.

When Henry Ford started mass-producing cars, he paid wages that were well above the norm for similar semi-skilled industrial work. The plan behind this was that he wanted to enlarge the middle class and its discretionary spending ability, and thus massively increase the number of people who could afford to buy a Model T. Win-win.
Except semi-skilled industrial work does not produce nearly the same value that it used to. That's one reason why overseas car manufacturers took over, because the US economy continued to develop.

It's not like the world just stays in the same place forever, technology becomes more advanced over time. Developing a website does not require the same education and skills as assembling car parts.
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post 1641783963 06-28-2021, 09:43 AM
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Originally Posted By BeanGainClovis⏩
Except semi-skilled industrial work does not produce nearly the same value that it used to. That's one reason why overseas car manufacturers took over, because the US economy continued to develop.

It's not like the world just stays in the same place forever, technology becomes more advanced over time. Developing a website does not require the same education and skills as assembling car parts.
so If I understand correctly, the plan is to make the American worker from a manufacturing factory guy to a digital know-how due to advance digital/professional services economy


ok, but that did not work out of Detroit, did it?
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post 1641784113 06-28-2021, 09:45 AM
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The goal of business is to make profit.

Any career is suspectible to being shipped overseas. I'm surprised STEM hasn't been outsourced yet, aren't Indians/Asians good at software development and engineering?
post 1641784593 06-28-2021, 09:52 AM
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If I had to choose would rather have them outsourced than insourced.

2/3rds of all new IT jobs are Given to foreign born workers...and thats with visa cap limits...
post 1641785403 06-28-2021, 10:07 AM
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I forget where I heard this, but it's been ages. It went something along the lines of, when asked how much a small business owner made or charged customers, the answer was always 'enough.' There is a philosophical value to that motto that is immeasurable.

When enough isn't 'enough,' then we have what our society has become, and for what really? Ass backwards and pennywise, pound-foolish approach in terms of the greater good of society. But then again, what do you expect from selfish 'elites' in a capitalist society.
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post 1641786603 06-28-2021, 10:31 AM
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Because your representatives sold you out with "free trade agreements" that allowed them to do this...
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post 1641786883 06-28-2021, 10:35 AM
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Originally Posted By digital022⏩
I forget where I heard this, but it's been ages. It went something along the lines of, when asked how much a small business owner made or charged customers, the answer was always 'enough.' There is a philosophical value to that motto that is immeasurable.

When enough isn't 'enough,' then we have what our society has become, and for what really? Ass backwards and pennywise, pound-foolish approach in terms of the greater good of society. But then again, what do you expect from selfish 'elites' in a capitalist society.
Please put the bong down
post 1641787033 06-28-2021, 10:37 AM
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The US had no protectionist policies in place and people are naturally greedy, the elite are particularly greedy.
post 1641787153 06-28-2021, 10:39 AM
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Originally Posted By BeanGainClovis⏩
Except semi-skilled industrial work does not produce nearly the same value that it used to. That's one reason why overseas car manufacturers took over, because the US economy continued to develop.

It's not like the world just stays in the same place forever, technology becomes more advanced over time. Developing a website does not require the same education and skills as assembling car parts.
Fair enough. The only problem with this is that there are only so many emerging markets possible. The western economies are all shifting towards becoming more like Russia, where a few people are extremely rich and buy expensive things, but the economy (and market) is really small when you take into account GDP per capita.

We can already see how car companies are making a shift towards high-ticket items to make up for fewer sales. brb $100k for a luxury pickup truck.

In the end, there is no long-term thinking taking place by big business, unless the gameplan is to eliminate the majority of the world's population at some point.
post 1641788793 06-28-2021, 11:04 AM
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In my case, the end user of most of the products we sell is a US Government entity or utility. They generally set the price, so all of the cost flows down to other suppliers and manufacturers. If I sell X product to my customer and they need to pay $100 in order to meet their cost target, I can't make that product in the US. Material costs are mostly fixed, so you can try to reduce labor or overhead. My labor rate is about $20/hr I can get a factory in Mexico at a rate of $10-12/hr, Central America at $4-5/hr and China at about $2/hr (then pay freight and tariff costs). The part I can make through China for $100 each would cost around $280 each if I made it in the US. I could do that, but then my customer would go elsewhere, and ultimately the product would be made in China anyway.
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post 1641788923 06-28-2021, 11:07 AM
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Bruh, I am miscing right now while in a work meeting. Some Bangalore engineer is presenting a design review that he did a bang-up job on for $25K/yr.
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post 1641789313 06-28-2021, 11:13 AM
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Because making things in America is too expensive, it affects both: high costs for consumers and low margins for the supplier. Worst situation ever

High skilled Factory workers in Mexico make $30 or $40 a day, UAW american workers make $25 an hr

Same could be said for just about any other job, someone is willing to so it for less and better
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