TITLE

Off-shoring and out-sourcing for shareholder value: Promise versus reality

AUTHOR(S)
Lee, Edward; Yin, Ya Ping
PUB. DATE
March 2012
SOURCE
Accounting Forum;Mar2012, Vol. 36 Issue 1, p18
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
Abstract: Corporate restructuring through off-shoring and out-sourcing is widely regarded as necessary for transforming cost structure and return on capital, particularly in situations of severe price erosion in globally competitive markets. This paper constructs an accounting framework to assess the extent to which out-sourcing and off-shoring have transformed US corporate financials. The contention in this paper is that off-shoring and out-sourcing may be necessary to maintain price competitiveness but we would add a health warning that these responses may not be sufficient to transform return on capital or shareholder value for wealth accumulation.
ACCESSION #
86453772

 

Related Articles

  • Myth #2. Rawat, Rajeev // DM Review;Feb2005, Vol. 15 Issue 2, p51 

    This article explains the truth behind the myth that offshoring is an option for chief information officers (CIO) and IT departments. In reality, CIO have no control--in fact, if they do not take aggressive action, they risk peril to themselves. Forrester Research estimates that 3.4 million...

  • Next-Generation Outsourcing. Panchak, Patricia // Industry Week/IW;Jul2006, Vol. 255 Issue 7, p11 

    Discusses the reality realized by U.S. manufacturing businesses about outsourcing or offshoring. Expectations of manufacturing businesses on the reduced costs that outsourcing can produce; Distinction of outsourcing from offshoring; Other business opportunities offered by outsourcing and...

  • Sports Leads The Way In Outsourcing Labor, Talent. Hahn, Robert W. // Business Journal (Central New York);5/2/2003, Vol. 17 Issue 18, p23 

    Comments on the overseas outsourcing of business services by companies in the U.S. Factors driving the outsourcing trend; Value of outsourcing services offshore.

  • Empire seeks aid to tackle financial woes. Lauzon, Michael // Plastics News;1/27/1997, Vol. 8 Issue 48, p6 

    Announces toy producer Empire of Carolina Inc.'s plan to outsource more of its molding needs offshore and reduce its reliance on its plastics plant in Tarboro, North Carolina. Hiring of investment bankers to evaluate alternatives to enhance shareholder value; Complaints against the Tarboro...

  • Same Old is New Again. Heffes, Ellen M. // Financial Executive;May2009, Vol. 25 Issue 4, p8 

    The article presents an introduction to content in the current issue including a story on shareholder activism, another about outsourcing and offshoring, and a third on job opportunities in finance.

  • Firm Value Impacts of Offshore Business Services Outsourcing. Kroes, James R. // Proceedings for the Northeast Region Decision Sciences Institute;2009, p302 

    The article presents a study on the impact of offshore business in firms in the U.S. investigates several aspects of the impact of offshore outsourcing on shareholder wealth and its effects. The findings of the results suggest various benefits of offshore outsourcing which will improve a firm's...

  • A slot in the dark.  // eWeek;5/24/2004 Supplement, Vol. 21, p66 

    A letter about offshore outsourcing is presented.

  • Offshore outsourcing of customer relationship management: conceptual model and propositions. Kalaignanam, Kartik; Varadarajan, Rajan // Journal of the Academy of Marketing Science;Mar2012, Vol. 40 Issue 2, p347 

    Customer relationship management (CRM) refers to a firm's activities for establishing and maintaining relationships with its customers. Outsourcing refers to a firm's contracting with another firm to perform activities that were erstwhile performed within the firm. The emergence of a low cost,...

  • Outsourcing is more than cutting IT costs.  // Finance Week;10/26/2001, p48 

    Focuses on the impact of outsourcing on businesses in South Africa. Advantages of outsourcing non-strategic processes; Average gain in shareholder value of companies undertaking outsourcing initiatives; Concept behind risk-sharing.

Share

Read the Article

Courtesy of VIRGINIA BEACH PUBLIC LIBRARY AND SYSTEM

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics