Week 1 Financial Markets Research Paper Topic

What is a specific issue and who/what group is currently negatively affected by that issue? As a follow-on that will be addressed through your research, who/or what group do you plan to solve that problem for?

Outsourcing effects on American Workers.

A pervasive feature facing the U.S economy is Outsourcing jobs overseas. Outsourcing in the services sector is a major shift in how the economy operates and will have serious impacts, both positive and negative, on the trajectory of economic growth, distribution of income and the workforce. The negative effect of outsourcing is the increase in the US. Unemployment. The American workers are affected the most. Due to outsourcing one-quarter of American workers are working low wage jobs and are living in poverty. My paper will address the negative and positive effect of outsourcing on American workers and what steps to be taken to reduce the negative effect of the issue.

Lecturers Comments –

This is a good start with an issue. That issue is that the current unemployment rate is the lowest in the past 50 years, since 1969 (https://data.bls.gov/timeseries/LNS14000000). This does not mean that the people have good jobs, just that they have a job.

I did little of the paper need to complete it with correct references and may be 2-3 more pages of data as per the below research topic and rubric(page 6 below). Week 1 Financial Markets Research Paper Topic What is a specific issue and who/what group is currently negatively affected by that issue? As a follow-on that will be addressed through your research, who/or what group do you plan to solve that problem for? Outsourcing effects on American Workers. A pervasive feature facing the U.S economy is Outsourcing jobs overseas. Outsourcing in the services sector is a major shift in how the economy operates and will have serious impacts, both positive and negative, on the trajectory of economic growth, distribution of income and the workforce. The negative effect of outsourcing is the increase in the US. Unemployment. The American workers are affected the most. Due to outsourcing one-quarter of American workers are working low wage jobs and are living in poverty. My paper will address the negative and positive effect of outsourcing on American workers and what steps to be taken to reduce the negative effect of the issue. Lecturers Comments – This is a good start with an issue. That issue is that the current unemployment rate is the lowest in the past 50 years, since 1969 (https://data.bls.gov/timeseries/LNS14000000). This does not mean that the people have good jobs, just that they have a job. Approved. I started a draft and submitted for review but was not to the lecturer’s expectations. Below is the MBA 6400 Financial Markets research paper rubrics (2) Week 7 Final Research Paper Grading Criteria : research paper final paper Maximum Points Introduction that concisely introduces the topic problem or issue; primary issue clearly and concisely defined (1 page) 5 Key Points: identifies three key points on the primary issue from multiple stakeholder perspectives 20 Key issues supported by research (2 pages) Embeds financial analysis throughout the narrative, and applies pertinent financial and quantitative data to support research and conclusions 10 Generates and discusses in depth three alternate stakeholder interpretations of key issue (2 pages) 20 Identifies solution to key issue/problem (2 pages) Articulates through discussion of solution a clear action or implementation plan 20 Conclusion summarizes/synthesizes key issues, stakeholder perspectives, and recommendation(s) (1 page) 5 Relevant list of research sources to date and what support/content each source will provide (require 8 for the draft. Final paper requires minimum of 12) All sources cited in body of paper 10 Flawless spelling, punctuation, grammar, APA formatting, concise business-style writing* *mistakes of this nature repeated throughout the research paper could result in a greater than 10% deduction 10 Total 100 DRAFT Financial Markets Research Paper-MBA 6400 - Copy.docx Running head: Outsourcing 1 OUTSOURCING EFFECT ON AMERICAN WORKERS 0 Outsourcing effects on American Workers Wilmington University Introduction Outsourcing is a business practice in which a company hires another company from outside or an individual to perform tasks, handle operations or provide services that are either usually executed in house or had previously been done by the company's own employees. Outsourcing is the practice of obtaining goods and services from a foreign supplier. It can be either a company or an individual. Since the Industrial Revolution, companies have grappled with how they can exploit their competitive advantage to increase their markets and their profits. (Outsourcing, N.D) The model for most of the 20th century was a large integrated company that can “own, manage, and directly control” its assets. In the 1950s and 1960s, the rallying cry was diversification to broaden corporate bases and take advantage of economies of scale. To increase their flexibility and creativity, many large companies developed a new strategy of focusing on outsourcing. Outsourcing was not formally identified as a business strategy until 1989. (Wikipedia contributors, Nov 20) Outsourcing, what it means? Outsourcing has become one of the most defined trends affecting businesses around the world. It plays a role in everything from politics to employment to gross national profit, and it is here to stay. However, despite the prevalence of this business practice in most of the world’s nations, many are unsure of the actual effects of outsourcing. The idea is simply giving the area of your organization to those person/company who can assure you greater output, greater efficiency and greater profit. In the case of Bank, Bank usually outsource for its Risk Management facility. Companies like KMPG, Delliote etc. are given these areas because they are expert in the area of risk management. Outsourcing for an economy may be good but to some extent it poses some risk to the economy. Nowadays we outsource our different business activity from developing countries because of cheap labor and reduced operational cost. Outsourcing is an emerging business opportunity and has great scope, however it has some of its negative side also. According to US data " 14 million people " were outsourced in US stealing approx. 9-10 million jobs. Because of this the US resident feels competition to get even an average job. 1. Risk of exposing confidential data: For example, for the management of Risk, we are required to give all our customer database to outsourcing companies only then these outsourcing company can identify and solve the problem by analyzing the data. Sharing our customer data to other firms is a very high-risk deal. (Patel, 2017) 2. Hidden cost: Cost of signing a contract and other paper works adds to our total cost. Some of the consulting firm charge very huge amount to mitigate our companies’ risk. 3. Lack of customer focus: Outsourcing firm may at a time be solving and handling the problems and areas of different company as such it may be that vendors may lack complete focus on your organization’s tasks. The outsourced employee may not work with the same passion and understanding as a regular employee. There might be poor service, or the quality might not be the same and that would affect the company negatively. (Patricia, 2017) 4. Issues pertaining to lingual accent variation as strong accent might be irritating to few customers as the outsourced country speaks a different language. Outsourcing and American Jobs Outsourcing refers to a situation in which the government provide jobs to the workers coming from another country instead of their residents. As a result, the unemployment rate has been all time low since 1969. From the chart below the unemployment rate has been dropping from every month. (Council of economic advisors, 2019). Outsourcing and American Economy Through job outsourcing the cost of labor is reduced as the emigrants agree to work on lesser pay than the usual pay. A pervasive feature facing the U.S economy is Outsourcing jobs overseas. Outsourcing in the services sector is a major shift in how the economy operates and will have serious impacts, both positive and negative, on the trajectory of economic growth, distribution of income and the workforce. (Amadeo. K, 2019) The negative effect of outsourcing is the increase in the US. Unemployment. The American workers are affected the most. Due to outsourcing one-quarter of American workers are working low wage jobs and are living in poverty. Conclusion Outsourcing for an economy may be good but to some extent it poses some risk to the economy. Before outsourcing any business activity, it is important to know how much important is the area that we are thinking for outsourcing consider the cost associated with outsourcing and inhouse solving for the problem, see whether the business activity needs to be outsourced for long term or short term, consider the pros and cons of outsourcing. References Amadeo. K (2019, July 13). How Outsourcing Jobs Affects the U.S. Economy. Retrieved from https://www.thebalance.com/how-outsourcing-jobs-affects-the-u-s-economy-3306279 Council of economic advisors (2019, October 4).U.S. Unemployment Rate Falls to 50-Year Low. Retrieved from https://www.whitehouse.gov/articles/u-s-unemployment-rate-falls-50-year-low/ Labor Force Statistics from the Current Population Survey. (2019, November 19). Retrieved from https://data.bls.gov/timeseries/LNS14000000 Outsourcing, (n.d) Retrieved from https://www.entrepreneur.com/encyclopedia/outsourcing Patricia (2017, November 8), Advantages and disadvantages of Outsourcing. Retrieved from https://smartchurchmanagement.com/advantages-and-disadvantages-of-outsourcing/ Patel, D (2017, July 17), Pros and Cons of Outsourcing , Retrieved from https://www.forbes.com/sites/deeppatel/2017/07/17/the-pros-and-cons-of-outsourcing-and-the-effect-on-company-culture/#5bce1f51562d Schneider.A (2018, October 8). U.S. Unemployment Rate Drops To 3.7 Percent, Lowest In Nearly 50 Years. Retrieved from https://www.npr.org/2018/10/05/654417887/u-s-unemployment-rate-drops-to-3-7-percent-lowest-in-nearly-50-years Wikipedia contributors. (2019, November 20). Outsourcing. In Wikipedia, The Free Encyclopedia. Retrieved 16:28, November 20, 2019, from https://en.wikipedia.org/w/index.php?title=Outsourcing&oldid=927094162