More companies produce goods in the factories located in different countries other than the location of the head office. Advantages and disadvantages?

The import-export system around the world has always been a major
business
for many countries around the world. Every day more and more
companies
decide to create products overseas rather than their home country and
then
import them.
This
essay will discuss
about
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apply
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the advantages and disadvantages of
this
strategy and how it
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affects
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effects
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affects
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the economy of the country.
Produceing
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Producing
Produce
goods
in factories located overseas often
brings
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bring
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many advantages from the
business
point of view.
Firstly
, a country like China
for example
have
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has
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a
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apply
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much
less
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fewer
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labour costs compared to Australia. Provided that,
produceing
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producing
an items
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items
an item
show examples
over there, will cut down the wages even if that item
have
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has
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to be shipped by boat. A recent study conducted by
the
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apply
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Monash
university
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University
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in Melbourne revealed that businesses are able to cut down the costs of
goods
by at least 75% when investing in
Beijin
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Beijing
.
Secondly
,
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Chinese
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chinese
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the chinese
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workforce is
second
to none
although
the working conditions are often unacceptable.
In other words
,
by
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apply
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having an immense amount of people working in factories often reduce the time in which the items are created.
Consequently
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,Consequently
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businesses can produce double
of
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apply
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the
amount
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number
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of
goods
if produced overseas.
On the other hand
, there are
also
disadvantages when
companies
decide to produce
goods
in countries rather
then
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than
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their own one.
First
of all, shipping time and quality of the
goods
have always been the major problems that
companies
had to deal with. When it comes to shipping items, borders often have to quarantine
goods
ending up in major delays. They
also
get stored in a not
appropiete
Correct your spelling
appropriate
ways and are often damaged and
consequently
costumer
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customer
show examples
satisfaction is much less compared to local products. To conclude,
companies
are businesses and as a
business
identity
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,identity
show examples
they have to cut down costs as much as they can to improve their revenues. Provided that if
i
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I
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were a
business
owner
i
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I
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would prefer investing in my own countries to be able to give the possibility to my own people to work and raise families.
Submitted by gianlucaspadaitaly on

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