International Management
...Felix Lademacher
Vladimir Mun
Group Assignment
« International Management »
University of St. Gallen
Dufourstrasse 90
CH 9000 St. Gallen
Prof. Dr. Winfried Ruigrok
Offshoring: Do we have to fear the globalization of human capital?
Group 12: Jean-Luc Baer, Basile Blancpain, Felix Lademacher, Vladimir Moon 1
Table of Content
1 INTRODUCTION 2
1.1 Term clarification 2
1.2 Development of offshoring 3
2 INFLUENCE OF OFFSHORING FROM A COMPANY PERSPECTIVE 5
2.1 Influence on companies from developing countries 5
2.2 Influence on companies in developing countries 7
2.3 Summary 8
3 INFLUENCE OF OFFSHORING ON AN ECONOMY AS A WHOLE 9
3.1 Influence on developed countries 9
3.2 Influence on developing countries 10
3.3 Summary 11
4 INFLUENCE ON EMPLOYEES 12
4.1 Influence on employees in developed countries 12
4.2 Influence on employees in developing countries 13
4.3 Summary 14
5 CONCLUSION 15
REFERENCES 17
Offshoring: Do we have to fear the globalization of human capital?
Group 12: Jean-Luc Baer, Basile Blancpain, Felix Lademacher, Vladimir Moon 2
1 Introduction
The authors would like to begin this paper with a quote of the famous night show host David
Letterman: "President Bush is on an eight-day tour of Asia. He's visiting American jobs."
Especially in the United States a great fear of offshoring exists. Many politicians, some
economists and a considerable part of the population have the opinion that their country will,
at least in the long run, suffer strongly as a consequence of offshoring. They opine that
offshoring is an irreversible fact that will lead to huge job losses in developed countries and
that politicians have to counteract this development through protectionist regulations. The
authors of this paper try to give an overview of the consequences of offshoring and to answer
the question: "Offshoring: Do we have to fear the...
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