The Silicon Border is a large industrial high-tech science park located in Mexicali (Silicon Border, 2019). The company innovates technology such as semiconductor manufacturing, solar technology, nanotechnology, LED lighting, biotechnology, and aerospace technology. The Silicon Border allows multinational companies to come together and work on development under the Mexico Maquiladora Program (Silicon Border, 2019). Some critics argue that offshoring such technology can cause other countries to develop, modify, and create their own technology to the point where offshoring can create more powerful rivals and manufacturing competition (Peng, 2017). It is debatable on whether offshoring and outsourcing actually increase the economy because more US jobs are lost to other countries in order to save on costs. Outsourcing can cause issues when large industries call themselves global companies so they are not bound by American values and thus keep costs to a minimum (Peng, 2017). On the other hand, nearshoring domestically can decrease global economies and restrict value for firms and international exchange of ideas (Peng, 2017). Personally, I think there is more merit in outsourcing to other countries, not only are Western companies saving on costs but other countries can benefit from the exchange and economic boost. I believe offshoring is a win-win solution for US and outside firms.
Peng, M. W. (2017). Global Business (4th ed.). Boston, MA; Cengage Learning.
Silicon Border. (2019). North America’s premier high infrastructure/low cost combination. Retrieved from http://www.siliconborder.com/features-overview.php