Consumers should be thrilled with the reduced prices of products that result from overseas outsourcing, but reality is, while they delight in low prices they abhor the practice.
December 2, 2004 (Press Release) --
(NEW YORK – December 2, 2004) — Americans’ demand for high quality low cost goods and services has been met by an increasingly global economy. Foreign labor and intellect have reduced the cost of production for many American marketers, enabling them to deliver products at lower prices. Consumers should be thrilled, but reality is, while they delight in low prices they abhor the practice of outsourcing overseas. That’s because overseas outsourcing results in the loss of American jobs, often the very jobs held by the middle and low income buyers most motivated to purchase at discounts.
“The result is a dilemma that marketers face — reduce demand by producing domestically at higher costs or face the controversy of outsourcing to keep the price of their products and services low,” according to Partners & Levit Advertising’s managing partner, Mark Levit.
Whether or not to outsource is a critical consideration for marketers, as corporations engaging in outsourcing continue to receive negative coverage in the news media. Even still, buyers’ sentiments regarding the practice of outsourcing goes out the window when the opportunity to purchase lower priced foreign-produced products is presented.
“The desire to buy at a lower cost is powerful. Marketers need to give their customers a reason to pay more, namely they’re facilitating the growth of the American job market — and, perhaps, saving their own jobs — by buying American,” said Levit.
Creating a demand for domestically produced goods and services may not be enough to keep jobs at home, though. Current tax legislation provides little incentive for companies to produce domestically.
“Where production takes place is as much a marketing decision as a management decision. The bad press surrounding outsourcing can be more detrimental than the added expenditure of producing domestically. No firm wants to be accused of being unpatriotic,” Levit said.
It’s comforting to know that one’s purchase contributes to something greater than the cost and overhead of a product. That’s a great incentive to “Buy American.”
Partners & Levit Inc. is an aggressive New York advertising agency that leverages branding, advertising, sales promotion, direct response, seminar/event selling, the Internet, and other channels to guide prospects along a continuum until they become loyal customers. The agency’s heritage dates from 1981. For more information about Partners & Levit, visit www.partnerslevit.com or call 212-696-1200.
“The result is a dilemma that marketers face — reduce demand by producing domestically at higher costs or face the controversy of outsourcing to keep the price of their products and services low,” according to Partners & Levit Advertising’s managing partner, Mark Levit.
Whether or not to outsource is a critical consideration for marketers, as corporations engaging in outsourcing continue to receive negative coverage in the news media. Even still, buyers’ sentiments regarding the practice of outsourcing goes out the window when the opportunity to purchase lower priced foreign-produced products is presented.
“The desire to buy at a lower cost is powerful. Marketers need to give their customers a reason to pay more, namely they’re facilitating the growth of the American job market — and, perhaps, saving their own jobs — by buying American,” said Levit.
Creating a demand for domestically produced goods and services may not be enough to keep jobs at home, though. Current tax legislation provides little incentive for companies to produce domestically.
“Where production takes place is as much a marketing decision as a management decision. The bad press surrounding outsourcing can be more detrimental than the added expenditure of producing domestically. No firm wants to be accused of being unpatriotic,” Levit said.
It’s comforting to know that one’s purchase contributes to something greater than the cost and overhead of a product. That’s a great incentive to “Buy American.”
Partners & Levit Inc. is an aggressive New York advertising agency that leverages branding, advertising, sales promotion, direct response, seminar/event selling, the Internet, and other channels to guide prospects along a continuum until they become loyal customers. The agency’s heritage dates from 1981. For more information about Partners & Levit, visit www.partnerslevit.com or call 212-696-1200.
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