I think you have made a mistake in your logic regarding "salaries" paid in India. An Indian making the equivalent (in rupees) of $12,000 USD, does NOT get a raise, as USD falls against the Rupee. This would only hold true if that individual bought US goods directly from US manufacturers. I would guess that any individual Indian citizen buys very little American goods...but the vendors/marketeers in India do, and generally they don't LOWER their prices on violatile currency swings. If the currency were to STAY low for an extended period of time, you may notice a decrease in goods pricing, but only in a competitive environment (hey, profit motives are NOT the exclusive province of Americans).
Currency fluctuations only affect those who exchange goods for money across international borders, not for individuals. So, the middle men in India get richer, but the consumers don't...and THEY are the ones that "buy" american goods...if it is the best value in its market sector.
Dell, HP and others who outsource their customer support to India and SE asian countries, are looking for cheaper ways to deliver a certain level of customer service, hoping for a similar level of customer SATISFACTION. I would surmise that very few firms, like Dell, get "negative" feedback, as many people just quit calling and go off grumpy about crappy service. But we have been slow roasted/parboiled for so long by crappy service and less value for money with each generation of product, we don't enforce our rights, we just "go somewhere else" or, worse yet, keep silent and continuing to buy the crappy stuff.
Sorry to rant, I like what you wrote, I just believe that the premise for salary was incorrect.
Erro in logic on Salary
Posted by: Beldin on March 13, 2004 02:23 AMI think you have made a mistake in your logic regarding "salaries" paid in India. An Indian making the equivalent (in rupees) of $12,000 USD, does NOT get a raise, as USD falls against the Rupee. This would only hold true if that individual bought US goods directly from US manufacturers. I would guess that any individual Indian citizen buys very little American goods...but the vendors/marketeers in India do, and generally they don't LOWER their prices on violatile currency swings. If the currency were to STAY low for an extended period of time, you may notice a decrease in goods pricing, but only in a competitive environment (hey, profit motives are NOT the exclusive province of Americans).
Currency fluctuations only affect those who exchange goods for money across international borders, not for individuals. So, the middle men in India get richer, but the consumers don't...and THEY are the ones that "buy" american goods...if it is the best value in its market sector.
Dell, HP and others who outsource their customer support to India and SE asian countries, are looking for cheaper ways to deliver a certain level of customer service, hoping for a similar level of customer SATISFACTION. I would surmise that very few firms, like Dell, get "negative" feedback, as many people just quit calling and go off grumpy about crappy service. But we have been slow roasted/parboiled for so long by crappy service and less value for money with each generation of product, we don't enforce our rights, we just "go somewhere else" or, worse yet, keep silent and continuing to buy the crappy stuff.
Sorry to rant, I like what you wrote, I just believe that the premise for salary was incorrect.
~B~
#