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“Outsourcing has become a major feature of globalisation”. Support this statement with suitable examples and arguments.

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“Outsourcing has become a major feature of globalisation.” This statement is true because outsourcing means hiring services or production from outside the company, often from another country, to reduce costs and increase efficiency. It has become a major trend under globalisation due to the rapid growth of communication technology, internet and cheap skilled labour in developing countries.

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  1. “Outsourcing has become a major feature of globalisation.” This statement is true because outsourcing means hiring services or production from outside the company, often from another country, to reduce costs and increase efficiency. It has become a major trend under globalisation due to the rapid growth of communication technology, internet and cheap skilled labour in developing countries.

    Meaning of Outsourcing:
    In outsourcing, companies from developed countries like the USA or UK hire workers or firms in developing countries like India, China or the Philippines to do certain jobs or produce goods.

    Examples:

    (i) Many American companies outsource customer care services, data entry, accounting and software development to India because of low costs and skilled English-speaking workers.

    (ii) Similarly, global brands like Nike or Adidas get their sports shoes and clothes manufactured in countries like Vietnam or Bangladesh where labour is cheaper.

    Advantages:

    Helps companies save costs and increase profits.

    Creates employment opportunities in developing countries.

    Encourages exchange of technology and skills.

    Makes countries more economically interdependent, strengthening global ties.

    Impact on Globalisation:
    Outsourcing has connected businesses across borders, allowing global companies to work efficiently and competitively. It has made production a worldwide process, linking workers, resources and markets from different countries.

     

    Conclusion:

    Therefore, outsourcing truly represents the essence of globalisation — it shows how production and services are now spread across the world, combining global efficiency with local talent and cost advantages.

     

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