[wmougayar]

The key point of this article is that when you make decisions that are meant to optimize profits and lower costs, you're mortgaging your future. The money quote is that companies forget about the knowledge that's lost forever which prevents companies from further innovations in the future. But the argument can be made that companies can re-use the savings and re-invest in innovation. Look at Apple: they manufacture where it's cheap (China), but they keep design and innovation in the US.