Chapter seven

This chapter tells us what off-shoring is and off-shoring is rapidly becoming as a competitive for companies, workers and consumers. For example, for U.S. companies, they can produce their goods at the less cost and get the good quality of the goods. However, the off-shoring also have the defect for the labor market for U.S.A. For example, the IT-related employees, off-shoring will affect the professions out of U.S.A and their salaries and job security will decrease. Even though, the service industry prefers to do the services by face to face customer interactions. That might keep some level of the labor market in U.S.A. However, because of the high-speed networks such as Internet and low-cost labor, the off-shoring is growth very fast for manufacturing, and software developing industries. Thus, the majority of the 11% of service jobs off-shored were IT-related jobs. This chapter also expresses that off-shoring result in the loss of over 200,000 jobs in computer and mathematical fields with an overall loss of 560,000 jobs between 2001 and 2002 in U.S.A. However, off-shoring also cause the development of low cost marketing within foreign countries to provide IT services at 20% to 50% less than it cost in U.S.

Even though, off-shoring impact many things to U.S.A, I still think that off-shoring is good for U.S.A. I am an international student. Thus, I totally know that the labor cost in China is much cheaper than in U.S.A. I think that the world works together on a project but doing different things. This way can make people reach the best service for their need. Also, it make the different countries have their roles in the world. For example, the IT industries can do the research works for the new technologies in U.S.A and produce their products in China at the low-cost labor market. I think that this way make a win-win approach for the IT industries.