Gaebler Ventures Gaebler Ventures is a business incubator and holding company providing venture capital investment and shared services to early-stage companies. We've invested in some great portfolio companies. Some of the best resources for entrepreneurs -- all based on our real world experiences! Our guiding investment philosophy is to provide exceptional returns for our investors. Check out the latest news from Gaebler Ventures. Learn more about Gaeber Ventures! Get in touch. We'd love to talk with you!   
 
 
Gaebler Ventures is a business incubator, holding company, and private equity firm. We help entrepreneurs transform ideas and innovations into greatness.

Articles for Entrepreneurs

 

Operations Management

 

Introduction to Offshoring

Written by Clayton Reeves for Gaebler Ventures

This article tackles another difficult subject in offshoring. Although offshoring seems to strip America of jobs, it has other benefits that trickle down as well. Learn how offshoring can help your business to level the playing field.

Outsourcing has its own set of detractors and critics.
(article continues below)

However, the process of offshoring has by far more serious implications for economies and workers in domestic countries. The United States has shifted from a manufacturing oriented economy to a service oriented economy over the last thirty years.

However, not all employees of manufacturing firms have the ambition or desire to change their skill set in order to fit into this new economy. This means that when the landscape changes, that they will have more trouble assimilating themselves into the new order.

Really, offshoring presents an opportunity for those in the country that offshores the work to increase their skill set and take advantage of the cheap labor the other country provides. Entrepreneurs know that in order to take advantage of such an opportunity, one must work incessantly and constantly look for new and innovative ideas to implement. However, not everyone has that drive to change.

The negative reaction to offshoring is mainly caused by antiquated views of economics and selfish motives. Offshoring is, inarguably, a good thing for America. What is debatable is whether the benefit to the lucky few that take advantage of the cheap labor offsets the damage that it does to America's towns and factories.

It is a staple of economics that in a free market system, which is what capitalism is roughly based upon, that workers will be able to flow freely from country to country depending on where they are needed most.

However, in practice, there are several obstacles in the way of this hypothesis. Language barriers are certainly not the least of these concerns. Also, people may simply become disenchanted with the thought of learning new things, or simply enjoy the comfort of a job they have held for many years. Others might feel like building things is an American practice, and that things made in China or India are inferior and cheap.

All of these things seem steeped in validity, but the simple fact of the matter is that as times change, people must also change.

As a small business owner, it is your responsibility to stay one step ahead of the curve in most regards. You must see the pitch before it is thrown, so to speak. This will enable you to take advantage of these changes in the world economy. It is imperative that you embrace change, as opposed to resisting it.

Resisting change does not work as an entrepreneur. Small businesses must be flexible, quick to react and forward thinking in order to compete with capital laden corporations. If you do not embody a forward looking mentality, then your company will be swallowed up by people who simply spend more money than you.

This is why offshoring, outsourcing, the flattening of the global landscape and other changes in the world economy should be at the forefront of your concerns as a small business owner. These things can be taken advantage of with the right business savvy and motivation. Services can be moved to China for a fraction of the cost. There may be negative initial backlash, but dollars and cents do not lie and businesses that rely on Americanism and loyalty to sell their products will find themselves boarding up their windows.

When he's not playing racquetball or studying for a class, Clayton Reeves enjoys writing articles about entrepreneurship. He is currently an MBA student at the University of Missouri with a concentration in Economics and Finance.


Comment Board

What's your take on offshoring?

Be the first to comment on this article.



Write a comment  Code Image - Please contact webmaster if you have problems seeing this image code
Problem Viewing Image
Load New Code

If you are an ambitious entrepreneur or an aspiring executive looking to get involved with a startup, please take the time to learn more about Gaebler Ventures.

 

 

Additional Resources for Entrepreneurs

Starting a Business - Business Ideas - Naming and Branding - City Guides

Buying a Business - Writing a Business Plan - Raising Money - Incorporate

Small Business Marketing - Customer Service Tips - Entrepreneurial Selling

Startup Leadership - Strategy - Intellectual Property and Entrepreneurs

Articles on Exporting - Human Resources for Entrepreneurs - Workers Comp

Legal Information for Entrepreneurs - Sarbanes-Oxley - Accounting - SBDC

Business Credit Cards - Nonprofit Entrepreneurs - Mission Statements

Tax Tips and Resources for Entrepreneurs - Operating Your Startup Business

Real Estate Decisions for Entrepreneurs - Franchising - Selling a Business

Starting a Home Business - Small Business Technology - Business Travel

Business Finance - Advice for Retailers - Entrepreneurship for Scientists

Administrative Professionals / Office Managers - Family Business Advice

Good Businesses to Start - Start an Energy Business - Start a Hedge Fund

Payroll Service Information - Productivity Tips - Bad Economy Advice

Small Business Websites - Search Engine Optimization - Online Reputation

Search Engine Marketing - Social Marketing Optimization - Business Forms

Business in the Jungle - Business in Fiction - Negotiating - Radio Ad Costs

Newspaper Advertising Rates - City-Specific Resources for Entrepreneurs

Small Business Insurance - Global Entrepreneurship - China & Entrepreneurs

Entrepreneur Features - Employee to Entrepreneur - Small Business Ethics

Acquisition Speculation - Business Book Reviews

Small Business Loans - Studying Entrepreneurship - Social Entrepreneurship

Veteran Entrepreneurs - Useful Web Sites for Entrepreneurs - Dell Deals

Entrepreneurial Resources by State - Resources for Young Entrepreneurs

African American Entrepreneurs - Resources for Hispanic Entrepreneurs

Resources for Asian Entrepreneurs - Resources for Women Entrepreneurs

Resources for Gay Entrepreneurs - Businesses for Sale - Office Supplies

Economics - Lists of Small Business Incubators - Lists of Angel Investors

Lists of Venture Capital and Private Equity Firms - Franchise Opportunities

Recommended Products and Services for Entrepreneurs - Contributors

Get FREE Price Quotes from Multiple Vendors - Business Glossary