IMPORTANCE OF GLOBAL MARKETING OUTSOURCING

Importance of global marketing outsourcing

Global Marketing and Outsourcing

Introduction

Globalization is the creation and expansion of economic and social connections among people and organizations around the world. The movement of people, goods, ideas, technology, and money fuels the process across national boundaries. Two major forces in this development have been the Internet, which has sped up communications, and businesses, which have expanded to reach markets on distant continents. The relocation in managing the day-to-day carrying out of business activities or the enterprise's function to a peripheral service provider is being utilized today. The client organization and the supplier of services drafts and executes a contractual agreement that stipulates the rules and describes the terms of provision and procurement (Harbhajan and Singh, 2006).

Many large companies have argued that outsourcing is beneficial to American consumers because it allows companies to lower costs on products. However, many experts are concerned about jobs that have been lost due to outsourcing. Indeed, there are two sides to this debate. On the one hand, those in favor of offshore outsourcing assert that it is necessary to ensure that companies can compete in the ever growing global market. On the other hand, those that are opposed to the practice believe that it takes jobs away from American workers and compromises the security and stability of American industries. In either case, this is a critical issue that is sure to continue for years to come.

In recent years, many companies have shifted their focus to globalization to drive higher performance. And outsourcing is one of the strategies moving companies toward world-class companies. Outsourcing is not only reducing labor cost, but also helping companies extend their service globally. So, globalization and outsourcing are trends that are now moving forward together.

Companies once outsourced low-skill labor are now outsourcing more sophisticated white collar jobs including engineering and analysis. Some countries, especially developing countries, have developed themselves in subcontract manufacturing, such as Philippines, Mexico and India. They all possess a large pool of highly educated and motivated individuals who will work for lower wages than American workers (Clark, 2006).

Discussion

Globalization tends to invest more in developing countries so; there are immense opportunities that will arise for people of those countries. People of these countries will be able to succeed economically and increase their standard of living. Globalization compels every nation to produce creatively and innovatively. This makes every manufacturer concern about the production. It increases in competition and products are made at its best. The consumer can get best prices because of the competition. Developing countries are getting the opportunity to increase in technology and without much pain. It would be easy to adopt changes. Governments will work together for the betterment and common goal. In increases the ability and productivity to coordinate. Global awareness in created. Foreign culture could be discovered inform of movies, food, music, and clothing. It has increased the variety, and the consumer is enjoying choices (Harbhajan and Singh, 2006).

Although people still identify with their local communities and national ...