3 ms·

Why aren't these things assembled in the United States as well? Cost to transport from one facility to outside the United States then back surely adds cost to t

Why aren't these things assembled in the United States as well? Cost to transport from one facility to outside the United States then back surely adds cost to the finished product, unless there are savings gained from cheaper labor or less regulation.

deleted 8y ago
[deleted]
logicalmind 8y ago
The cost of labor and externalized costs would be the answer. In the US, the workers demand a livable wage and healthcare from their employer. In other countries, the definition of livable wage is quite different (lots of poor/slave labor and no rules that protect employees from age restrictions, working hour restrictions, etc.). Some countries have government provided healthcare so that is not a cost that companies need to deal with. Additionally, companies in other countries are able to externalize some of their major costs, especially in the area of pollution. In the US, you couldn't emit extreme amounts of waste and just dump it anywhere, you have to pay to "clean" it or face penalties. Other countries don't have such restrictions and are allowed to dump waste into rivers or the atmosphere without penalty. So in the US you'd have to build a factory that is "clean" and complies with regulations. Then you'd have to hire and pay US workers a fair wage and likely subsidize at least a portion of their healthcare. You would also have to comply with worker regulations for these employees. It's up to you to determine whether it should be ok to externalize these costs. Treating employees as effectively slave labor and the ability to destroy the environment and the habitats of living things.
seanmcdirmid 8y ago
Because a lot of those products are using American parts in addition to parts from other countries. It isn’t simply sending all of the parts to China to be assembled.

3 ms·

Why aren't these things assembled in the United States as well? Cost to transport from one facility to outside the United States then back surely adds cost to t

by assblaster 8y ago

deleted 8y ago
[deleted]
logicalmind 8y ago
The cost of labor and externalized costs would be the answer. In the US, the workers demand a livable wage and healthcare from their employer. In other countries, the definition of livable wage is quite different (lots of poor/slave labor and no rules that protect employees from age restrictions, working hour restrictions, etc.). Some countries have government provided healthcare so that is not a cost that companies need to deal with. Additionally, companies in other countries are able to externalize some of their major costs, especially in the area of pollution. In the US, you couldn't emit extreme amounts of waste and just dump it anywhere, you have to pay to "clean" it or face penalties. Other countries don't have such restrictions and are allowed to dump waste into rivers or the atmosphere without penalty. So in the US you'd have to build a factory that is "clean" and complies with regulations. Then you'd have to hire and pay US workers a fair wage and likely subsidize at least a portion of their healthcare. You would also have to comply with worker regulations for these employees. It's up to you to determine whether it should be ok to externalize these costs. Treating employees as effectively slave labor and the ability to destroy the environment and the habitats of living things.
seanmcdirmid 8y ago
Because a lot of those products are using American parts in addition to parts from other countries. It isn’t simply sending all of the parts to China to be assembled.