[SCM 371] - Final Exam Guide - Ultimate 26 pages long Study Guide!
Document Summary
Module 2: should we make or should we buy? (part ii) Location decisions and opportunities & challenges in global. Sourcing/outsourcing location decisions: sourcing and outsourcing examples get familiar with the four examples we discussed in class: microsoft, volkswagen, mattel and zara, microsoft, microsoft making the xbox- (cid:862)it"s al(cid:449)a(cid:455)s a (cid:272)halle(cid:374)ge to (cid:272)o(cid:373)e i(cid:374)to a (cid:374)e(cid:449) (cid:373)arket. 24/7days, 175,000 per week, 1trailer full/2hrs: 2002 flextronics moves to china for lower costs, 2002 wiston provides volume and new country roll outs, 2006 celestica in china. Weaker currencies: example: euro vs. dollar, strong dollar scenario (weak euro, 2 euros= 1 dollar, consumer effect: ,000 car would cost ,000. 1,000 euros: target pricing, go to the (cid:272)o(cid:374)su(cid:373)er"s first. It would make their vehices much more difficult to sell at a profit in the us: strong dollar scenario (2 euro= . 00) us consumer feels rich, cost: 15k 15k euros (7. 5k) price: 30k profit . 5k (45k. Euro: a strong dollar would help profits.
