literature review

The Project’s problem

Why are American firms choosing to “offshore” their work?

Sub problems

The ethical considerations of offshoring

Americans lose job opportunities because American factories are relocating their operations in Asian countries.

Lack of incentives offered by the government for business owners

Data needed

American companies that are offshoring

Data on US unemployment

Data on comparison of wages for Americans and offshore workers

Data on benefits demanded by American workers and savings on benefits when offshoring

Data on union demands and rights of workers in the US versus offshore companies

Assumptions and delimitations

It is assumed that most of the information will be online in the company’s respective websites

Advantages and disadvantages of offshoring

Importance of the study

This study is important in order to understand the motivations of organizations in offshoring their operations, thus depriving many Americans of job opportunities. This will look into the incentives that should be given to new businesses, and the incentives that Asian countries are offering to multinational companies.

Hypothesis

American companies are offshoring their operations because of the huge profits they get from the low wages in other countries as well lower taxes and ease of doing business.