fear of US businesses moving overseas

fear of US businesses moving overseas (Full Version)

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defiantbadgirl -> fear of US businesses moving overseas (6/9/2011 9:32:31 AM)
Some people argue that making outsourcing too expensive will lead to business owners moving themselves, their families, and their corporate offices to the countries they outsource to. I think this is highly unlikely. Even if they know how to read, write, and speak Chinese and Hindi (most common language in India), living in another country means living by their laws. They could be imprisoned for saying the wrong thing, which would be pretty easy to do for anyone used to having freedom of speech. I doubt they're going to move their wives and daughters to India, considering the way women are treated there.

SilverMark -> RE: fear of US businesses moving overseas (6/9/2011 9:35:56 AM)
I have been to China, I'm not certain there is enough money to ever convince me to live there!

willbeurdaddy -> RE: fear of US businesses moving overseas (6/9/2011 9:46:18 AM)
Who would even bother to argue that? Its irrelevant where business owners live, it only matters where the company pays its taxes, what regulations it faces in manufacturing and where its markets are. Total strawman.

servantforuse -> RE: fear of US businesses moving overseas (6/9/2011 11:11:28 AM)
You can move a company to another country and never even go there.

Fellow -> RE: fear of US businesses moving overseas (6/9/2011 11:54:01 AM)
US business moving overseas means just one foreign business. I think, businesses who produce mostly overseas should be forced to move. In addition, the trade agreements should include a zero trade balance requirement.

DarkSteven -> RE: fear of US businesses moving overseas (6/9/2011 11:54:22 AM)
quote: ORIGINAL: defiantbadgirl Some people argue that making outsourcing too expensive will lead to business owners moving themselves, their families, and their corporate offices to the countries they outsource to. Never heard that at all. quote: I think this is highly unlikely. Even if they know how to read, write, and speak Chinese and Hindi (most common language in India), living in another country means living by their laws. They could be imprisoned for saying the wrong thing, which would be pretty easy to do for anyone used to having freedom of speech. I doubt they're going to move their wives and daughters to India, considering the way women are treated there. DBG, please give a link. None of this makes sense to me at all. 1. Making outsourcing too expensive? Your post seems to imply that this is something politically created, rather than something that happens when a nation's standard of living improves. And unless the dollar devalues, it's not that outsourcing to all countries gets pricier, but outsourcing to A specific country. Mexico became too expensive relative to China, China is getting more expensive compared to Vietnam, and Africa may be more attractive in the future. 2. By far the major reason for moving operations to another country is that it's cheaper there. (It also opens up possibilities of overseas sales close to manufacturing, but exporting is a lot easier than splitting a company over multiple countries.) Doing so incurs huge issues with communications and resolving production issues over multiple cultures is incredibly hard. If it became less feasible monetarily to manufacture overseas, then manufacturing would move back to the US. I cannot fathom why moving corp offices overseas would make any sense whatsoever. 3. Trust me, corps are fully aware of overseas differences in cultures and laws. Hell, I took a class in business cultural differences as a student in 1990. No business would relocate corp offices overseas without doing a full investigation. They're not as stupid as you seem to think. 4. If a business did relocate their corporate offices and manufacturing overseas, what would be the difference between themself and an entirely foreign company? I'm far more concerned about losing thousands of lower level jobs overseas than three or four C level jobs.

SilverMark -> RE: fear of US businesses moving overseas (6/9/2011 12:13:45 PM)
Most of what is produced in China for retail, is brokered to the buyers here who then re-sell it. The manufacturing done in China is oft times contracted as opposed to the sellers here owning the plants there. China has strict regulations on ownership of land and facillities, with the strictest being the actual land. I stopped buying direct a few years ago due to a lack of back-up on the ground here.Now I allow others to take the risk and just shorten my margins. The balancing of inventories as business slowed became far to difficult, too costly, and tied up too much cash in the way of letters of credit. I detest buying from there, but there are not enough manufacturers producing in the U.S. to offer a wide enough variety to satisfy consumer demand. In other words...It SUCKS buying from them but, not many options, and the consumers seem to care less about quality than they do PRICE.

Termyn8or -> RE: fear of US businesses moving overseas (6/9/2011 3:32:51 PM)
"and the consumers seem to care less about quality than they do PRICE. " That is, and has been the root of the whole problem. Sure the time is ripe to buy "American". Oops, too late. T^T

SilverMark -> RE: fear of US businesses moving overseas (6/9/2011 4:10:34 PM)
You are absolutely correct T !!!

jlf1961 -> RE: fear of US businesses moving overseas (6/10/2011 2:10:14 PM)
The Conservative backing US Chamber of Commerce is promoting this, and they paid lots in campaign contributions to the republicans.

Musicmystery -> RE: fear of US businesses moving overseas (6/10/2011 2:17:43 PM)
quote: the trade agreements should include a zero trade balance requirement. That would be problematic. Unless you force private producers or consumers to buy the goods their government mandates, the difference would have to be settled, likely through the current accounts, which would potentially disrupt currencies through sudden demand/supply. We may as well go back to Bretton Woods. The way we handle it today simply works more efficiently, honestly, and in accord with markets.

Musicmystery -> RE: fear of US businesses moving overseas (6/10/2011 2:19:38 PM)
quote: ORIGINAL: Termyn8or "and the consumers seem to care less about quality than they do PRICE. " That is, and has been the root of the whole problem. Sure the time is ripe to buy "American". Oops, too late. T^T And the problem here is that "Made in America" is not synonymous with quality either.

willbeurdaddy -> RE: fear of US businesses moving overseas (6/10/2011 2:24:07 PM)
quote: ORIGINAL: Musicmystery quote: ORIGINAL: Termyn8or "and the consumers seem to care less about quality than they do PRICE. " That is, and has been the root of the whole problem. Sure the time is ripe to buy "American". Oops, too late. T^T And the problem here is that "Made in America" is not synonymous with quality either. And even worse, it is not synonymous with "value".

DarkSteven -> RE: fear of US businesses moving overseas (6/13/2011 9:23:15 PM)
Actually, according to Forbes, the exact opposite is happening: the Chinese wealthy are moving HERE: http://blogs.forbes.com/gordonchang/2011/06/05/chinese-entrepreneurs-are-leaving-china/

Moonhead -> RE: fear of US businesses moving overseas (6/14/2011 4:32:26 AM)
quote: ORIGINAL: Termyn8or Sure the time is ripe to buy "American". Oops, too late. You can still get a stupidly expensive Gibson or Fender that was manufactured domestically, rather than a cheap Korean one, I think.

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