All four of the companies mentioned in recent articles in the Wall Street Journal in their series “Made in the U.S.A.” are maintained in the US because each company fills a niche that is hard for foreigners to copy.
For example, the Bobcat Company finds that it is easier to stay in
North Dakota where its roots are very strong and the workers are very loyal. Also, the domestic location of the business enable it to ship replacement parts in a very short period of time that foreign companies could not even dream of.
The same concept is true for the Schantz Organ Co that uses manual labor to produce all of its products. It would certainly be difficult to transport large and cumbersome organs from countries abroad. Another reason why the Schantz Organ Co remains in the
US is its highly skilled work force. It takes many years for a person to become an expert worker in the different types of work that need to be accomplished to produce an organ. Not only are workers highly specialized, but they take on “responsibility for an entire chunk of production.” However, as with the Bobcat Company, deep community ties are a strong factor as to why the company stays in the
US.
Warsaw, IN sees the same type of influence in the orthopedic replacement field. This small town community buzzes with activity from the many companies that are congregated all in the name of artificial body parts. The power that the area generates over the field from the concentration of companies is another of the reasons that it remains in the
US. Another important reason is the amount of regulations that
America has on artificial parts and the reduced hassle of buying the parts from an American company that abides by the regulations.
This leads one to thinking of the quality of goods. A company that focuses on quality and stays in
America because of its reputation is Viking. The appliances that Viking produces are “cult object[s].” People will pay higher prices for products from Viking because of its name and therefore, Viking can afford to sell for more. Another way that Viking cuts costs in order to stay in business in
America is to custom make each product in order to eliminate any costs incurred by stocking warehouses.
These four enterprises are all proof that globalization does not necessarily mean that all factory jobs in the
US will be eliminated. The companies mentioned provide hope for a desperate country that is rapidly loosing jobs overseas by providing examples of effective measures that will make their companies prosper. This all proves that it is possible to keep the jobs that many feared were lost.