The paper "Potential Opportunity in Outsourcing of Companies Based in the UK" is a great example of a business coursework. Many companies based in the UK opt to outsource their operations to countries in the European Union. They usually get potential opportunities although they incur various costs. Some of these opportunities they get include tax processing and tax preparation services. The experts of the tax system normally outsource their services to other countries. Tax services are very competitive and therefore competent tax staffs from the UK offer external services at a cost.
IT services are also very much outsourced. Being an equally competitive field technical experts from the UK are also in high demand. They offer external services to other European countries. This is possible due to the fact that the UK is in a computerized error and they are well equipped with IT facilities. The UK is also famous for outsourcing medical services to most of the developing countries. African countries are the major partner with the UK in human resources outsourcing. Being a developed country, the UK has got powerful medical facilities that enable them to outsource their services.
The cost incurred while outsourcing includes security. The major impediment to outsourcing staff is the implied risk imposes on the organization that outsources the staff. Most of the countries in the UK place the burden on those organizations that outsource the staff of any misconduct of their outsources staff. The legal status of the outsource staff change immediately when they are transferred. Another cost is maintaining the quality of service. The outsourcing firm must ensure that the quality of the service that is outsourced is not questionable.
This means that the staff must maintain high levels of quality. This is the cost that is to be borne by the company itself. It must ensure that the machines or the tools of work are up to the standard. The Cost of infrastructure also must be considered while outsourcing the cost of infrastructure which includes the cost that will cater to power problems, transport among other costs. There is also a labor cost. The outsourcing staffs in most cases demand higher remuneration more than their normal package.
The claims for benefits and incentives are costs to be catered by the outsourcing company (Sir Keith Joseph, 2006). The role of world trade organization (WTO), World Bank and IMF in the UK economy The World Trade Organization (WTO) replaces the general agreement on tariff and Trade (GATT) which was established in 1995. The mission of this organization was to lower tariffs and non-tariff that was a major obstacle to international trade. The WTO fosters ‘ free-trade’ between nations. It does this by liberalizing markets, which means ‘ opening them up’ to global competition.
This created a liberalize economy that facilitated a free competition environment that motivates and create innovation across the borders The World Trade Organization has to a larger extent contributed to the growth and survival of the United Kingdom’ s economy. In 1994 WTO was initiated to iron out the challenges which the former GATS could not handle. It removes the dominancy of the trade policies by a few UK countries and made it more democratic across the borders such that the new members could also have better say on the trade policies.
Its aim was to remove any restrictions and internal government regulations in the area of service delivery that can be considered “ barriers to trade” . These are barriers such as political influence, lack of free entry or exit, bans, and beaurocracy in the clearance of goods for example at the port. The WHO has helped to get rid of all these barriers and has thus enhanced free trade which results in the improved economy throughout the country.
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