May 06, 2009

President Obama's Outsourcing Restrictions May Backfire

President Barack Obama is proposing protectionist business measures with regard to creating I.T. jobs in the USA rather than out sourcing in " Bangalore " India.

This seems to be a shortsighted move which may prove to be counter-productive.

Indians may start considering switching over from Coke / Pepsi, McDonald etc. to Indian substitutes. ( We hear that daily more Coke bottles are opened in India than in the USA ). This does create jobs and profits in Atlanta- USA. Microsoft's Operating System works in crores of computers in India. And so on.

Protectionism cannot be a one way street.

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