There is nothing intrinsically wrong with outsourcing. But there is a corollary and that is that some of the costs that you save get eaten up by the increased inspection and audit requirements of subcontractor parts, services, materials supply chain and QA. There is no free lunch.
You are correct about the no free lunch but what about when the costs exceed the savings? Boeing's managers did the latest Harvard Business Review wheeze about outsourcing and wound up with how many years of delay for a first flight (viz. wrong fasteners, outsourced parts that don't fit together etc.)?
MBA's don't know their anal sphincter from page four when it comes to engineering (especially those whose first degree was in engineering and sold out).
An engineer's iron ring (in Canada) is a constant reminder to graduates of their responsibility to the public.
An MBA's focus is compensation, career path and promises of shareholder value. They have no professional body to ensure any responsibility to anything.
When you reject professionalism, there's very little left for future generations.