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Out sourcing of labor is caused by corporate cut-cutting strategies to lower overhead (cost of labor to produce product) thereby, in combination, increasing profit margin, lowering (more competitive) product pricing and increasing market share.

The cost of labor is less in other countries where the standard of living is lower than the U.S. because it costs less to live, (i.e. the standard of living lower) workers are either willing or forced to work for less than what and American would work for in the U.S.

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16y ago

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