Ford Moving to China for Term Paper

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S.. Over a period of time, even the manufacturers, like Ford, move their manufacturing bases to China. (Chain Reaction: Big Three's Outsourcing Plan: Make Parts Suppliers Do it) manufacturing company that is giving employment to a large population of a town closes its operations and shifts its operations to elsewhere; this leads to loss of jobs. The entire town gets affected. As the public are not earning, they cannot buy and cannot pay taxes. The whole economy comes to a standstill. Hence, moving manufacturing base weakens the economy. Ford closed its New Jersey plant after 55 years of its existence. This closing resulted in early retirement of about 300 workers. The balance 600 workers were transferred to other Ford plants. By this closing down, about 400 jobs were eliminated. Ford is shrinking American operations, but is investing in Asia. When American companies are moving out of U.S., foreign companies starts investing in U.S. And they sell more cars in U.S.. (Exporting America: Why Corporate Greed is Shipping American Jobs Overseas)

Outsourcing is good if it is used to purchase parts of a project or a product from manufacturers with more expertise.

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The expert manufacturer may even be located in foreign countries. However, outsourcing is mainly used to cut costs so that more volumes can be produced and sold leading to huge profits. Any business enterprise should not think that making profits is the sole purpose. Every business enterprise has an important role to serve the community in which it exists. Heavy dependence on outsourcing by business enterprises shows that the enterprise is only concerned with profits and do not serve its society. Serving society refers to serving the public by providing employment to them and strengthening the economy by not shifting manufacturing bases. Hence, we can conclude that when Ford shifts its manufacturing base to China, it should bear in mind that not profits alone is the purpose of any industry and it has other responsibilities like serving the public and making U.S. economy stronger. (Corporate America and Outsourcing).....

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