USA outsourcing

[neo]

I am a US citizen and believe that outsourcing IT work to other countries is not only good for the countries being outsourced to, but also for the United States. It will lower our prices increase our spending power and allow our companies to expand and grow more. Any one have an opinion on this issue?

[dude]

Hi Neo,

First of all, welcome to our community. As someone living in USA, your opinions will be very important for any of us to know. Can you tell us some more about yourself and what you do? Are you related to IT field?

You say that outsourcing will allow your companies to grow more. But how can that be possible? As I have heard there is surplus IT workers in USA that do not get proper IT jobs because there are too many of them. What is the real situation there?

For third world countries outsourcing is a blessing, no doubt. Currently India is getting all the outsourcing works. But as I read little here and there developed countries are already shifting towards cheaper markets, like philipines. I wish some of the works landed in Bangladesh too.

[dinangkur]

I agree with dude, specially about US situation. I also heard that democrate are using this out-sourcing issue in a big way. They're saying if they go to white-house next time, they will pass bill against it. What you've to say about it?
Acutally, IT people in USA ask too much for their works, that's why companies shifted their works to cheaper countries where they can get same products with less money.

-DK.
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...we too are stardust...

[neo]

Here is a pertinent article about the outsourcing:

[http://www.go2net.com/headlines/ap/financial/D82KKCFG0.html]

I believe most Americans are concerned about the outsourcing but I'm a firm believer in classic economics. Here's how the US will benefit over the long run. Cheaper labor means higher profit margins. The US companies may now expand and grow the business using the surplus revenues. This in turn will create more jobs in and of itself. To remain competitive, US companies will pass these savings on to their customers, many of which are US. Lower prices means our dollars go a lot further. Lower prices are a good thing for US consumers. Now, take into account the growth of the third world countries due to our outsourcing. These countries will become economicly stronger and will buy more of our exports. World trade will increase which helps everyone.

It is true that in the immediate future, many Americans will be in trouble, but they will re-educate themselves in other fields and will survive. We will adapt, we always have. Like I mentioned before, this outsourcing movement is not new. It happened to our manufacturing sector and the workers adapted and learned other skills. This will be the case again.

I am a graduate with an IT bachelor degree. I couldn't find an IT job so I became a mortgage loan officer and am also taking classes to obtain a master in business administration. I am doing well. All the IT people I know are also going back to school for other fields like law, medicine, and other...

Another interesting fact is that the infamous US baby-boomer generation will begin retiring over the next 10 years which will also soften the effect of outsourcing. More worrisome is our Social Security system which does not have enough money to support all the retirees...

-Neo

[dinangkur]

Neo,

Very nice explanation. Do you think US will be able to take care of their security issues regarding IT. In long run that will be a problem.

Classic economy, lands, mine, oil and gold-that's run the world economy. That's why US is fighting for it.

-DK.
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...we too are stardust...

[Lish]

Wow!
You guys are so business minded...i feel so small & young infront of you guys.

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"In three words I can sum up everything I've learned about life:
It Goes On..."

[dinangkur]

But I feared for exploitation of classic economy. As power slowly centered to a point and wait to explode. Whatever is the position, I might say we're blessed for current situation of IT.
Most of the people came to IT for money not for passion or work. So, for money now they are switching. They thought they can earn easy money with clicking few buttons. LOL. At the age of .com it was like that.

-DK.
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...we too are stardust...

[quantum]

I have been wanting to join this thread, but for the lack of time. Can someone post some latest info on latest US legislations that were passed in the senate for many states? As far as I know USA govt. has banned any Government related jobs to be outsourced. Who knows when it will forbid any and all outsourcing!!
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[Mastermind]

I don't know anything about banning govt. jobs but I don't think its possible to ban all outsourcing in todays corporate world.
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[dude]

Very nice explanation Neo. I am convinced. Is the Bush Govt. convinced too? BTW, what is chance of him coming back for next term?

[calande]

Whether we're for or against it, outsourcing IT will come early or soon. In some areas it's already there.


--
Charles.
Chat: auriance@jabber.org
Site: [http://www.auriance.com]
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--
Charles.
Chat: auriance@jabber.org
Site: [http://www.auriance.com]

[dinangkur]

After 9/11 security is big concern for developed countries. Now, do you think developed countires will be interested to developed their secured IT infrastructure through out-sourcing. Or how it will effect out-sourcing? How third world countries will benefits from out-sourcing? What are the basic criteria to get those jobs? What kind of IT development infrastructure should exist to accomplish those jobs of developed countries? Please, put some ideas.

-DK.
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...we too are stardust...