Outsourching business to other countries? (collection, lawsuits, profit, stock)

[Hunter Wold]

I know of a couple U.S. companies that "outsource" there collection, business, and other functions to other countries

I know of one such company that has a telephone center in :India, Phillipines, and Egypt

I find it very very difficult to communicate with these persons in these companies and makes it difficult for both sides

Also, with the U.S. unemployment so high; why isn't there a way to move some of this business back to the good ole USofA?

Sorry; I just like to have us as we were: The United States of America and keep the business here.
HW

[ilikecharlene]

If regulations were lesser, then maybe.

Ultimately, it is about profits, more efficient business operations and shareholder value. For outsourcing to stop, companies must be coaxed into staying put.

[MountainBiking]

I read an article not too long ago that jobs are coming back to the U.S. because its getting more expensive in foreign countries to house those jobs. At the end the savings is small and not worth the headache such as high employee turn over and constant training of new employees and rising transportation costs. The article mentioned that India's employee turn over rate is high.

Here's an article that I remembered reading regarding this subject:

Made in USA: Companies bringing overseas jobs home - Jun. 17, 2011

-Cheers.

[a34dadsf]

I don't blame the companies for going overseas. Less regulation, lower wages, no employment law (ie. little to no risk of employment lawsuits). Makes good business sense. Even I outsource to foreign countries to bypass US minimum wage and regulation. I can't afford risking my business because of an employment lawsuit. Not worth it.

[andywire]

Outsourcing is just another way for businesses to lower operating costs and seek better profits. Nothing wrong with it if it's planned out well and coordinated properly. I think we saw a mad dash out of the country in the past 5 years, and much of it was planned very poorly, resulting in costly mistakes. This sort of reckless profit seeking behavior is not prudent business sense, and benefits no one. Some of those jobs are coming back slowly, especially with wages and benefits in America coming down, yet rising in many developing nations.

[Suncc49]

They probably looked at what they were spending on a particular function, then at the value that function provides and decided to off-shore it.

Regulations, unions, huge healthcare and benefit costs, all could be factors.

Some business are facing backlash over this!

[Traeger]

Let me tell you my friend it is everywhere.

I am in Afghanistan in a large military unit that repairs vehicles and updates them with various upgrades. Good old GI grunts doing that you may think and you would be wrong.

.6% of several thousands of this military unit are military ( I know the number, but you don't need to)
1.6% are DA civilians (government employees) and a large percentage of those are temp employees (called term employees)

the remainder 97+ percent are contractors. -US contractors you say! but you would be wrong again. The vast majority (over 90%) are India nationals. Hardworking, certainly but not Americans.

And to think this is US taxpayers war. Why are there Indians doing this work? for the same reason they man customer service lines, they are cheaper. Why not military? Because politics require the number of boots on the ground be kept in a minimium.

If you can't fight an American War with Americans, then all is lost.

[citidatasian]

Here is the quick idea about outsourcing, if you outsource outside US and pay less it is equivalent also to low profits! "Trust Me"

[Divchunonka]

Just read here, very usefull topic: [url=http://kydalov-partners.com/en/business-establishment-in-ukraine-as-one-of-the-poorly-stocked-markets/]Business establishment in Ukraine as one of the poorly stocked markets | Kydalov & Partners[/url]

[TS808]

Originally Posted by ilikecharlene

If regulations were lesser, then maybe.

Ultimately, it is about profits, more efficient business operations and shareholder value. For outsourcing to stop, companies must be coaxed into staying put.

If your American business can't stay afloat due to regulations like minimum wage, overtime pay, or child labor laws, then it doesn't belong in this country in the first place.

Most companies that outsource though are doing so to pad profits, not stay afloat.