Posted on 01/30/2006 7:24:12 AM PST by Fawn
Computer maker Dell Inc. said Monday it planned to add 5,000 jobs in India over the next two years, bringing its work force in the country to 15,000.
"Dell is also looking to set up a manufacturing center in India, a move that could help boost the sale of Dell computers here, President and CEO Kevin Rollins told reporters after a meeting with Indian Prime Minister Manmohan Singh.
The Round Rock, Texas-based company will hire 700 to 1,000 workers for a new call center in Gurgaon, a satellite town of the capital, New Delhi, Rollins said. The new call center, the company's fourth in India, will open in April, he said.
The other new hires will staff call centers in the cities of Bangalore and Hyderabad in southern India and Mohali in the northern state of Punjab. Also this year, the company plans to double the staff at its product testing center in Bangalore, which currently employs 300 engineers, Rollins said.
During his previous visit to India in April last year, Rollins had said Dell would make India a hub for its software development and back-office work.
Currently, the company has three call centers in India, a product testing center for corporate customers and a global software development center. Some 10,000 people are employed at these facilities.
Scores of Western companies have been cutting costs by shifting software development, engineering design and routine office functions to countries such as India, where English-speaking workers are plentiful and wages are low.
But Rollins said his company's expansion plans were not limited to tapping the talent, but also benefit from the growing demand for desktop computers and notebooks.
Dell accounts for less than 4 percent of the 4 million computers sold in India, whereas the company's share in the global market is about 18 percent, he said.
Taxes levied by the Indian government on computers and computer parts are a major factor affecting pricing of Dell products and their sluggish sales here.
A manufacturing facility could help the company boost its presence in India, where computer sales are expected to increase to 10 million annually over the next three to five years.
"We have come to the conclusion that time is ripe to consider a manufacturing facility in India," Rollins said. "We want to do it fast," he said, but gave no time frame or investment details.
He said the company was talking to local authorities in several Indian states to identify a site and a decision will be made soon.
Dell currently operates nine plants, six of them outside the United States.
Was that Brazilian phone company located in the US, paying US taxes and operating expenses, under US law, employing US citizens?
I guess the concept of hydraulic empire is difficult for you?
Yes I do.
Super. All that remains is for you to act like it.
You said that my investment in a foreign country enriches that country. Then you said a foreign investment in America is bad for America. Can you see the conflict in your "logic"?
America is "enriched" by foreign investment, too. For a while, until trouble develops and/or the "return" on that investment impacts national sovereignty in a number of ways.
You make it sound like we don't manufacture here or trade internally. You realize we manufacture and export more than ever?
No, we don't. Whole industries are no longer here, or are rapidly vanishing. Some important industries, like fabric and sewing industries. It should be noted that recently the Bush administration successfully defeated an attempt to require that key operational components in military equipment be exclusively American made.
And just exactly why do we need to export and import to the point of dependence, which we are, and rapidly? Why not manufacture what we need here and trade with each other?
Don't you realize that depending for on people that don't particularly like you is inherently dangerous?
Do you not see the flaw in that statement?
The pivotal question is why? We can do all this in this country just fine, and have, and become a great nation doing it that way. Why mess with what works?
The only reason I'm able to glean is that trading spit with other nations to such a degree will make them dependent on the American consumer for their riches, so that they wouldn't dare attack us. This shows an abysmal ignorance of human nature, especially that of despotic regimes.
China making all our dishwashers isn't quite on the same level as a hydraulic empire. But thanks for the chuckle.
Super. All that remains is for you to act like it.
When I think of all the ways to "act un-American", I gotta tell you, profiting off a foreign investment doesn't even crack the top 1000.
America is "enriched" by foreign investment, too.
Excellent grasshopper, you have shown the barest glimmering of enlightenment.
For a while, until trouble develops and/or the "return" on that investment impacts national sovereignty in a number of ways.
Don't leave me hangin'. Tell me how that might happen.
No, we don't.
Yes we do.
Whole industries are no longer here, or are rapidly vanishing.
I didn't say we made more in every single manufactured good.
Why not manufacture what we need here and trade with each other?
That's a great idea. In fact I think every town should make everything they need. Why trade with those pesky foreigners from California or New York. I hear they're liberal. Wouldn't want to enrich them with my trade.
Don't you realize that depending for on people that don't particularly like you is inherently dangerous?
I guess it's dangerous for them too? I wonder if we cut off all trade with China in 1950, how much could we hurt them? I wonder if we cut off all trade with China in 2006, how much could we hurt them?
Yeah if only we could go back to the 50s. (sigh)
How much would oil cost in your dream world? I guess we should emulate those countries that don't trade very much? Like Cuba and North Korea?
Absolutely --or as much as anything else can be. The last American car I bought was a Plymouth made in Canada. After that I bought a Toyota made in Muncie Indiana.
Latin America may be a nice place to vacation, but forget about doing business there. My money only buys stocks listed on one of the US stock exchanges because like most of the world's investors I demand legal recourse that only US law provides. Sure, that means foreign companies have to have branches "located in the US, paying US taxes and operating expenses, under US law, employing US citizens" but they know the choice is starvation or prosperity. They may whine about "yanqui imperialismo" but it's the only game in town.
FWIW, the profits were invested in an American home building company (Pulte Homes Inc) near Detroit MI. They mainly build homes in the US but they make a lot of money selling homes in Mexico too. I understand you have some objection to taking Mexican money, but think of it as an emergency measure for the needy UAW workers at Pulte's headquarters.
I don't blame Dell. You should see the 'no experience idiots' they've hired to build their computers in the NC plant.
Affirmative action, Feminist Nazi's, Gay rights all have a hand in the nonsense that the workplace must be diversified. Get rid of these hiring requirements, allow manufactuers to hire the most qualified people and we'll see a drastic improvement in quality and productivity.
A facility full of quota filled diversity workers isn't productivity, it's kowtowing to political correctness and destroying American manufacturing.
Dishwashers aren't necessary equipment. Component sub-assemblies for military equipment are.
Excellent grasshopper, you have shown the barest glimmering of enlightenment.
Hence the quotes around "enriched".
Don't leave me hangin'. Tell me how that might happen.
Are you kidding? When you invest in something you own part of it. The larger the investment, the greater part. You don't understand this? Quite a lot of American land is owned by foreign interests, for example. Think.
I didn't say we made more in every single manufactured good.
We should make the vast majority. We have. Every year more capability moves offshore. This doesn't concern you?
That's a great idea. In fact I think every town should make everything they need. Why trade with those pesky foreigners from California or New York. I hear they're liberal. Wouldn't want to enrich them with my trade.
Did you not read this?
We can manufacture everything our population needs for life, comfort and protection. We have in the past. What's the point of becoming dependent on foreign trade?
I guess it's dangerous for them too? I wonder if we cut off all trade with China in 1950, how much could we hurt them? I wonder if we cut off all trade with China in 2006, how much could we hurt them?
Oh, I see. It is the notion that a hostile nation will not invade us because we provide a market for their goods. The ignorance of human nature is breathtaking.
Again, give me a good reason why we should become dependent on foreign trade when we could make what we use and trade among ourselves. You tried a run at sarcasm, but sarcasm doesn't answer questions.
You are saying that we can't produce here anything past '50's technology?
How much would oil cost in your dream world? I guess we should emulate those countries that don't trade very much? Like Cuba and North Korea?
Is our governmental structure, economic system and political/societal setup like Cuba and North Korea? Oil would most likely cost less. Or necessity would create alternatives, much like eliminating border invaders that work for pennies in agriculture would force mechanistic solutions, making produce even cheaper.
You have no rationale for dependence on foreign trade, except possibly that you, personally, make money from it, so far, anyway.
If that Brazilian phone company located in the US, paying US taxes and operating expenses, under US law, employing US citizens, then you are investing in American business run by Brazilians. This is not foreign investment, unless that company is just a subsidiary of a company located outside the US and beholden to that locale.
Yeah, if they ever take it back to their country we'll be in trouble.
We should make the vast majority. We have.
Yeah, I miss American made sneakers. And American made cheap plastic toys. We need to bring that capacity back now. Even if we need to raise taxes to do so. It's a priority. National security and all that.
Did you not read this?
Sure did.
It obviously is not to our advantage because it is currently being proved by simple observation that it is not to our advantage.
Just because you say something is not to our advantage doesn't make it so.
We can manufacture everything our population needs for life, comfort and protection. We have in the past.
When is the last time we did that? Didn't the colonies import coffee and tea, just to name 2 examples?
What's the point of becoming dependent on foreign trade?
Last time I checked we didn't produce enough of these goods in America. And the thing about trade is that it raises the standard of living of both parties.
Oh, I see. It is the notion that a hostile nation will not invade us because we provide a market for their goods.
I didn't say that. If they act up we can hurt them. Isn't that a good thing?
The ignorance of human nature is breathtaking.
You're projecting.
Again, give me a good reason why we should become dependent on foreign trade when we could make what we use and trade among ourselves.
Trade raises our standard of living. If you want to live in the woods like the Unabomber, knock your foreign made socks off.
Not at all.
Is our governmental structure, economic system and political/societal setup like Cuba and North Korea?
If you stop people from transacting freely, our political system will become more like Cuba and North Korea.
Oil would most likely cost less.
Please, put down the crack pipe and explain how the 8 million barrels of domestic production will be cheaper than the 20 million barrels we currently consume everyday.
Or necessity would create alternatives, much like eliminating border invaders that work for pennies in agriculture would force mechanistic solutions, making produce even cheaper.
That's a great idea. Of course the mechanical solution would be running on $20 gasoline.
You have no rationale for dependence on foreign trade, except possibly that you, personally, make money from it, so far, anyway.
The entire nation benefits. Say what you will about WalMart but over 100 million Americans shop there every week. Over 100 million Americans save money from that foreign trade. And don't forget the more than 1,000,000 Americans who work at WalMart also benefit. And the millions of Americans who own WalMart stock or a mutual fund that holds WalMart stock.
I simply don't think you have thought the ramifications through and are prejudiced by your opportunity to make wealth from it.
How stupid to outsource what buyers thought was American. Dell will suffer from this move....in the long run.
So who gets to work in the sweatshops and how much will they make? How much will American sneakers cost? How much will the sneaker makers earn?
I simply don't think you have thought the ramifications through and are prejudiced by your opportunity to make wealth from it.
Yeah, I haven't thought about the ramifications of foreigners cutting off our supply of sneakers.
Sweatshops?
Let's say a foreign sneaker now costs $25 and a person making $10/hr can afford it. Can a person making $20/hr afford an American sneaker for $50?
You seen to forget that while American goods produced here will be higher in price, jobs will pay a higher wage since the job market will not be glutted with workers seeking less and less jobs that went overseas.
The higher prices will pay the higher wages. This is pretty simple stuff. I's been done and it worked.
Yeah, I haven't thought about the ramifications of foreigners cutting off our supply of sneakers.
What about foreigners cutting off our supply of fatigue fabric and combat boots? Web gear? Sub assemblies for military hardware?
America made strong economically by internal trade cannot be held hostage. America dependent on foreign producers can be led around with a ring in its nose.
Of course, when those who profit from the trade and production situation, and whose noses have been numbed by visions of increase, feel the pressure on the ring, it will be too late.
Will sneaker makers be paid $20 an hour? Or are you saying my salary will suddenly double if sneakers are only made in America?
Sub assemblies for military hardware?
I agree, we shouldn't depend on foreign suppliers for vital military gear.
Good ideas. What will that bring production up to? How much will gas cost?
America made strong economically by internal trade cannot be held hostage.
I agree. Now how strong will America be if we pay $180 a barrel for our domestic only oil?
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