General
How does outsourcing affect the economy?
In principle, outsourcing makes things a little cheaper and increase profitability. However, some things need to be done 'in house'. For example, some employers (largely) outsource recruitment to key posts. The people making the decisions may be good at picking bright people, but they often do not really know what is needed by the employer. In Britain, it often said that corporations 'hire people who are good at getting jobs but bad at doing them'. To the extent that this is true, it is damaging for all concerned.
Advertisement
More from this specialization
- Why do some people believe that a mixed economic system solves basic economic problems?
- What is Collateral management?
- What is the average standard of living in Africa?
- Is there a difference between corporate profit maximization and maximization of shareholder wealth?
- What are the capitalist countries in the world?
- You have a painting that is $320 that is selling for 20 percent off. How much is the discounted price?