Thousands of companies opt to outsource part or all of their manufacturing to overseas companies, with China being the primary source of overseas manufacturing. Even so, some companies engage in this practice more than others. Here are the five companies that engage in the most overseas manufacturing.
Overseas Manufacturing and Electronics
Apple
Apple’s relationship with the Chinese manufacturing firm, Foxconn, is well known. While it is almost certain that Apple would not be able to sell its iPhones, iPads and other popular products at a reasonable price were it not for overseas manufacturing, the company has been criticized for having most of its production done overseas rather than at home. Even so, Apple notes that a shortage of skilled workers in the United States means that it could take up to nine months for the company to find experienced employees who could create Apple’s products. In China, it took only 15 days.
IBM
The fact that IBM currently employs more workers in India than in the United States, in fact about one-third of their employees are in India, underscores how interested the company is in creating a global workforce. China is also a popular destination for this large company as IBM outsources thousands of high-paying programming jobs to China in an attempt to lower costs for the company and consumers alike.
Many companies keep their outsourcing and overseas manufacturing statistics confidential to a certain degree, so it is challenging to state which companies do it more than others. Even so, it is clear that these five companies are leading the way in terms of manufacturing a great deal of their products in China and other countries. It is clear that manufacturing in China keeps costs low for companies, enabling them to earn higher profits and sell goods at a better price than would have otherwise been possible.
Cisco Systems
In 2010, just over a quarter of Cisco’s workforce consisted of overseas workers. However, in the last four years, this number has dramatically risen to 46% of the company’s workforce. China and India are currently the greatest beneficiaries of the company’s decision to move most of its operations abroad. As of 2021, Cisco products are manufactured in over 30 countries including:
- China
- Asia
- Eastern and Western Europe
- South America
- North America
Overseas Manufacturing and Sports Apparel
Nike
Sportswear giant Nike outsources the production of all its footwear to various overseas manufacturing plants. According to a report out of Ohio State University: China and Vietnam both do 36% of all Nike’s shoe manufacturing, while Indonesia accounts for 22%, and then Thailand comes in at 6%.
Nike’s apparel is manufactured in 41 countries including:
- China
- Vietnam
- Thailand
- Indonesia
- Sri Lanka
- Pakistan
- Malaysia
Overseas Manufacturing and Shopping
Wal-Mart
Wal-Mart benefits greatly from having the majority of its goods manufactured in China. While the company has recently vowed to invest up to $10 million in moving some of its manufacturing work back to the United States, this is a pittance when compared to the fact that the company still works with about ten thousand different manufacturing plants in various parts of China.
Need Overseas Manufacturing Help?
If you seek the same success for your product that Apple, Nike, Cisco, Wal-Mart and IBM all have, you will find great potential in allowing ITI to handle your overseas manufacturing needs. Contact us to learn more about how we can help make your manufacturing easier.
