The objective of any business, operating in any industry, is to maximize profits, minimize losses and create more wealth for its owners. Businesses strive hard to achieve this objective not only to facilitate continuity of its operations but also to remain at a competitive position. Minimizing losses means that a business would do anything on its way to cut its operation cost and this situation may even involve laying-off workers and choosing to outsource services from a cheaper and affordable place. According to an article by Davidson (2003), the need for outsourcing was created by the propping up of corrupt unions which foresaw forgery of higher wages and other benefits for the middle class who in turn reaped higher rewards and then distanced themselves from the underclass. This led to labor power-brokering that made American companies settle on outsourcing.
Carly Fiorina, made her fortune while at HP, she decided to minimize costs as much as she could by outsourcing to Asia. She did this to facilitate the improvement of the value of stocks in Wall Street. Its argued that as much as outsourcing affects American population, other companies are also outsourcing from the states making it a two way street, the reason being the appreciating value of the American dollar. Companies like Toyota and BMW have established their firms in the states creating employment to dozens of people. In the case that I made a fortune out of my 20000 shares, proves a good thing in that despite the lay-offs, more wealth is created for owners which is always the major objective of any business. Businesses are formed to create profits using any methodology available. As much as their exists codes of conduct (ethics) which expounds on how to go about doing business, most companies never follow these guidelines at all meaning therefore that different companies have different ways of conducting business so long as the methodology deployed is working and produces results(Wooley,2010).