With the emergence of globalization and the increased use of the internet, the world has been reduced into a small village. Globalization has had positive and negative consequences across the world. The United States of America in particular has benefited in terms of increased variety of commodities and the information spread. On the other hand, it has had to contend with losses in terms of employment opportunities that are exported to offshore nations offering cheaper labor and raw materials for manufacturing concerns. It is this relative emigration of manufacturing from America that informs the discourse in this paper. Incidentally, the progressive society in the United States is one influencing factor that leads to emigration of manufacturing.
With the information age, the manufacturing entities have become obsessed with lowering of operational costs. This cost reduction approach is considered in all aspects. These include costs of laborers and costs of raw materials. On the other hand, the system in the United States has become increasingly competitive and informative on the part of all parties. For instance, considering the legal regime, employment laws have been put in place in turn hiking pay rates so that affording employees in the United States has become pretty expensive. In addition, raw materials in America have been continuously exploited while demand for them increases. This has occasioned a relative rise in the prices.
With the two factors to contend with, manufacturers in their quest to reduce the costs have resorted to exporting the manufacturing businesses outside the United States. Ultimately, the overall costs are reduced for the manufacturers. However, these impacts negatively on the domestic economy as the employment rates are lowered. Whether the decision by manufacturers to export the opportunities is ethical remains subjective and depends on which side of the terrain one falls.
References
Curran, G., & Acker, E. V. (2010). Business and the Politics of Globalisation:. Canberra: Pearson Education,.
McGraw-Hill. (2007). International Business, Student Edition. New York: McGraw-Hill Education.
Miller, R. L., & Jentz, G. A. (2007). Business Law Today:The Essentials. New York: Cengage Learning.
