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    outsourcing of human resources

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    The outsourcing of human resources (ex, call centers in India) becomes an important part of U.S. firms in recent years. How would you explain this in relation to firm's profit maximization goal? US firms has been criticized for hiring cheap foreign labor and therefore contributing high unemployment rate in U.S. Does "made in U.S.A" matter to US firms? Would US firms hire expensive American workers and be willing to sacrifice the their profit margins to help the U.S. economy?

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    The outsourcing is directly related to profit maximization goal of organizations in the sense that outsourcing gives tremendous boost to an organization's bottom line revenues by saving costs incurred on human resources and thus, provides an increasing return to the shareholders of the organization. The cost advantage ...

    Solution Summary

    The expert examines outsourcing of human resources. The relation to firm's profit maximization goals are determined.