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Kulafu

The goal of American companies should be to Increase Revenue and Decrease Expenses

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by
Kulafu
, Jul 13 2012 at 08:34 AM (239 Views)
Quote Originally Posted by Kulafu View Post
American companies are getting scrutinized for sending jobs to other countries. I do not blame them one bit. The goal of American companies should and must follow what they should follow: Increase revenue and decrease expenses. Mexico is a source of cheap labor, not encumbered by the union demands for high wages and benefits.

Americans must and should get these jobs back. It is one source to get American unemployment back up. It does not have to be permanent for the American employee. It can be a source of subsistence until he finds something better. To do this, Americans must accept the lower wages Mexico and other countries are paid.

What is Keeping Mexico from starting their own businesses and not rely on the American companies? That is the real question.

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Comments

  1. Reiver's Avatar
    Wages should reflect productivity. The real question is 'why on earth do Americans think they should be competing with less developed wages?'. They already have a low wage abundance alien to almost all other developed countries
  2. Kulafu's Avatar
    Less developed wages are lower wages. These low wages produce goods and services Americans consume.
  3. Reiver's Avatar
    You're not saying anything that counters my point. Accepting lower wages would be irrational and counter-productive. There needs to be a shift away from reliance on low wage labour
  4. Kulafu's Avatar
    We can agree to disagree but my point is opposite your point.

    Shifting away from low wage labor will take those jobs away from America. You can't complain about high unemployment when you will not take low wage labor. If we shift away from low wage labor, then we must also accept a high unemployment.
  5. Reiver's Avatar
    Again, its exceedingly rare to find developed countries with the low wage abundance seen in the US. The idea of competing over wages with developing countries is ludicrous. There should be a greater reliance on capital intensive product reliant on skilled labour