An organization which dislocates its workplaces abroad has job cuts inside the organization itself. In a local branch of the organization the expenses are lower (provided its structure is well-organized). The organization itself has more time to concentrate upon productivity gain. As the result a lower price is set for the goods and services, the turnover of the goods and services is also enlarged. A business is on its increase and recruits employees again.

One more result of offshore outsourcing is an increase of purchasing power in countries with low level of income. Taking into account such an increase of purchasing power the citizens of these countries can buy western goods and services as well. A new market outlet appears for western companies which will result in further growth of western economies.

According to the research which took place in USA, for each $100 that is outsourced abroad, $112 are returned to the American economy as cost cutout related to this income, new incomes and gained profits.
Information source: http://www.saja.org/outsourcing/michaels2.pdf

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