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To: JSteff
No. It’s my understanding that industry relocates to save money.
113 posted on 06/09/2007 11:14:14 PM PDT by endthematrix (a globalized and integrated world - which is coming, one way or the other. - Hillary)
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To: endthematrix
But it is not reallocating to another country as the capitol and profits stay with and grow for the country who has elected to change so as to have lower operating costs.

The profits, in higher volume, flow in to the original company. Often at higher volume as the lower costs to sell the product enables it to be sold profitably in more markets. Again with those new sales/profits returning to the company.

So is it really “reallocating on a global scale” or would reallocation only be if the profits were now going to a new entity? Since it is staying with the company, and it’s share holders isn’t it more of a “diversification of operating resources” than a “reallocation on a global scale”

That sounds like the profits are now going somewhere else rather than to the company and it’s shareholders... who are probably mostly American and American Citizens.

117 posted on 06/10/2007 12:03:46 AM PDT by JSteff
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