The world is a global economy. There is a pros and cons of this practice. This video offers a short outline of offshore manufacturing as well as its importance to the global economy.
Today, outsourcing manufacturing is much more popular than it was in the past. In the past, the majority of manufacturers of items were located in the same country in which the products were sold. Nowadays, companies can maintain their headquarters in one nation, manufacture their items in another country, and later sell them in 30 other countries.
Offshore manufacturing is appealing to companies due to a variety of reasons. It is due to the fact that other countries have lower cost of labor. Offshore manufacturing often gets a bad rep due to the fact that workers don’t get fair pay and they don’t enjoy the benefits of days off, a strict schedule, insuranceor the like.
Offshore manufacturing also happens in order that a production center is closer to the raw materials they need. It is common for raw materials to cost less in the country than if they are transported to the location that the company is located in. For more details watch the above video.