The Ethics of Offshoring and the Duties of Business Research Paper

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Business and SocietySince the industrial revolution, business has become somewhat more depersonalized. One of the complaints of Marx was that Industrialization had divorced the laborer from the fruits of his labor: he was no longer connected to the actual good effect of accomplishing something but was instead reduced to a cog in a pin factory, using Adam Smith’s example of the “division of labor” in Wealth of Nations. Society, however, became used to the idea of the division of labor, and, having no other options, workers accepted their inhuman roles in the factory world. Today, one sees the same thing going on in Amazon factories where workers complain of inhuman conditions (Sainato, 2020).In other ways, business has changed so that labor itself is completely offshored. For instance in America, industries like the steel industry have been nearly totally decimated because steel production has been offshored to other countries. China is a large manufacturer of a lot of items that Americans purchase that could easily be made in the US, but businesses are more interested in the cheap labor that they can obtain by outsourcing production to the East. And while outsourcing might enable a company to be more competitive on the global stage, it has adverse effects on the labor market at home (Amadeo & Estevez, 2021).

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That is why Sir James Goldsmith was so outspoken about the duties that businesses owe to stakeholders at home—in particularly the duty to provide jobs domestically rather than offshore them to other countries (Roberts, 2011). Goldsmith was himself a large business owner. He believed businesses have a moral obligation to look out for the society that fosters their rise. A business that outsources labor but tries to sell its products domestically is a business that is alienating the community from that natural relationship that should be cultivated between laborers, owners and consumers. That is a relationship that should be integrated rather than exploited. Yet in today’s globalized world it is too often exploited. The effect is that it undermines the various aspects of society and the supports that should exist.The general consensus….....

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