Tuesday, February 19, 2013

Global Business Ethics

With globalization comes outsourcing. The ethical issues in regard to this factor argon vast, as jobs atomic number 18 lost in countries where businesses feel salaries and benefits are too high and the jobs are sent to countries where the companies pay scurvy wages and earn vast cyberspace. Outsourcing or offshore sourcing is when companies bear down jobs overseas in a plan to save the lodge funds. Customer good and call center jobs are for the most part sent to India as the labor costs are lower, manufacturing jobs are generally sent to China and clothing sweatshops are in Central America. This is considered offshore outsourcing.
The benefits of outsourcing are the cost savings to the company. When 30 jobs are outsourced, the company no longer has to pay benefits for these 30 employees, no longer pays the high salaries it paid these 30 employees and no longer pays retirement or 401K benefits. DHL is a perfect example of outsourcing and former CEO Uwe Dorken has stated, “Outsourcing first of all benefits the consumer. More efficient and less costly carrefourion leads to more affordable products and run and allows companies in higher-labor-cost economies like the USA or Europe to outride competitive and preserve their remaining jobs.” (2008). Many companies outsource.

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As a consumer, I receive never seen a decrease in price in a company’s product that has been outsourced a part of the business. The savings are more profits for the company non more savings for the consumer.
The company looks at ways to save and the one who pays is the consumer. When outsiders perform a percentage of the work for a company, I feel the customer service levels decrease. Direct TV, Dell, Capital One, Vonage and many other organizations outsource their IT departments and customer service areas. On many occasions I have cancelled my service due to the fact that I could not understand the agent due to the long-distance connection and the natural foreign accent. Companies may feel this practice...If you want to get a full essay, order it on our website: Orderessay



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