There are many factors to consider when companies begin looking to outsource its production to another country. Some may think that companies only outsource for inexpensive labor. This could in fact be the situation for some businesses. Those businesses do not take into consideration the need to uphold their social responsibilities. Patagonia does outsource its production to other countries. This company is not only considering discounted labor. They do take into account the working conditions of its employees. Also, they take into consideration the conditions of the factory. They do manage to care for the employees and their well-being. What if Patagonia did not care for the health of their workers? Who would be responsible for ensuring …show more content…
Companies are held responsible not only by the government, but also by the public. International companies know that people are observing them and that anything unethical will not be overlooked. Several businesses have a “social conscience, treat workers fairly and attempt to do the best for their investors while trying to be socially responsible (What is Corporate Responsability, 2003).” Many other businesses find nothing wrong with employing third world country workers to make their products no matter the working conditions. Some groups do monitor these unethical activities causing the problems to become public. They know that it does not look good to be seen as a company that is damaging the world that we live in. Businesses that do not abide by “ethical and environmental laws also await hefty fines and penalties (What is Corporate Responsability, …show more content…
There are numerous things that should be considered. Outsourcing businesses has been a “common practice for many years as it will allow you to cut costs significantly. (What you should know about outsourcing manufacturing, 2010)” Important concerns when it comes to outsourcing include foreign exchange rates, ethnic barriers, and international trade guidelines. It is something to consider if your business starts to get overwhelmed with customer demands. It is also important to understand that you are not there constantly to supervise productivity. You must select an outsourcing company that understands your companies needs and tries hard to meet goals. This will result in producing the high quality products you are