Many have claimed that outsourcing by American companies is costing American jobs. However, companies claim that they cannot compete if they do not cut cost and one effective way of cutting cost is to

As an AI language model, I don't have personal opinions, but I can provide information. Outsourcing is a business practice where a company hires another company or an individual in a different country to perform tasks or provide services that a domestic company could do. The outsourcing industry has been growing in recent years, with companies in the United States turning to outsourcing as a way of cutting costs and becoming more competitive. Advantages of outsourcing: 1. Cost savings: Outsourcing can significantly reduce costs as companies can get labor at a much lower rate in other countries. 2. Access to expertise: Outsourcing can provide access to a pool of talented and skilled workers who may not be available in the domestic market. 3. Flexible production: Outsourcing allows companies to be more flexible in their production as they can quickly ramp up or ramp down outsourcing as required. 4. Focus on core competencies: Outsourcing allows companies to focus on their core competencies and leave non-core activities to external service providers. Disadvantages of outsourcing: 1. Quality issues: Quality issues may arise when outsourcing to another country, as companies may not have control over the quality of the work being done. 2. Communication problems: Communication problems may arise due to time zone differences, language barriers, cultural differences, etc. 3. Security risks: Outsourcing can increase security risks as companies may have to share confidential data with outside service providers. 4. Loss of control: Outsourcing may lead to a loss of control over the outsourced functions, which can be risky for the company. Therefore, outsourcing has its advantages and disadvantages, and companies must weigh these carefully before deciding whether or not to outsource.