Many firms have been suffering from a terminal virus for many decades. It is known as the “Off Shore Effect”, a mindset, a process whereby a firm buys materials or products from offshore firms, having found these products to be appealingly cheaper than comparable domestically made ones.
The coronavirus pandemic has influenced this process, and along with corporate mismanagement, many firms are in financial peril (shed a tear).
Businesses, small-medium and large have thrown in their lot with offshore sources, placing their trust in these foreign firms to supply cheaper materials and products. Offshore manufacturers are presently unable to produce items on time, having felt the effects of the pandemic – the loss of their team members and fragile supply chains too. Further chaos reign’s due to the shipping/logistic business sector, who are willing to ship items so long as their overly inflated charges are paid. Fewer shipping firms are in business, and the opportunity to fleece their customers in need has presented itself. What may have cost $3,500.00 now costs 15,000.00 to ship (more tears needed).
Mismanagement was mentioned. Well, what else can you call it when purchasing professionals threw their lot in with offshore firms, ignoring the actual possibility that these firms may not be able to fulfil their orders?
Any purchasing professional knows they should have alternative sources for the products they require, and yet many firms relied upon offshore sources only. Firms are competing for cheaper items, placed their trust in foreign firms, and not those located in our neighbourhoods. Instead of employing neighbours, most of these firms employ underpaid employees elsewhere.
Now many firms are hoping to establish domestic supply chains, something they should have done long ago. Did you know that 41 percent of an American vehicle’s parts are made offshore? Is the milk your children are drinking made in your neighbourhood?
America sells more milk to Canada than it imports from Canada. Do you know where the items you use every day come from?
What conditions do the workers experience while making these items? How safe are these items?
Most people seem to be more concerned about the price of a product than other factors. Price is seemingly king. For over 50 plus years many of the firms you are most familiar with have ignored domestic manufacturing and ordered their products from offshore sources. They invested not in our communities, employing your neighbours and children, but in firms often located in unfriendly, and competitive nations.
Our governments give these firms tax write-offs, tax shelters, and corporate welfare cheque’s to establish offices in your neighbourhoods, but not real manufacturing plants(auto industry exception). Most manufacturing happens offshore.
Corporations make donations to various political parties and politicians benefit. The middle class and working people of your neighbourhood do not benefit.
Support those firms that support you and your community. Buy domestically made items mostly because they are usually better made, you can see where they are made and investing domestically will build a future for us all.