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Global Sourcing Logistics: How to Manage Risk and Gain Competitive Advantage in a Worldwide Marketplace
book

Global Sourcing Logistics: How to Manage Risk and Gain Competitive Advantage in a Worldwide Marketplace

by Thomas A. Cook
December 2006
Intermediate to advanced
464 pages
8h 29m
English
AMACOM
Content preview from Global Sourcing Logistics: How to Manage Risk and Gain Competitive Advantage in a Worldwide Marketplace
WHERE FOREIGN SOURCING MAKES LITTLE
SENSE
Watson, Inc.’s plants are located in New York, Illinois, and
California. Watson produces a piece of high-tech diagnostics
equipment. Wholesale cost is over $10,000.00 per unit.
It is protected under U.S. patents, and the company
holds exclusive technical expertise in the assembly process.
The unit is composed of over 40 pieces, of which 10 are
manufactured by Watson and the balance come from vari-
ous third party suppliers. Watson is thus approximately
25% pure manufacturing and 75% assembly.
Watson’s plant is 30 years old, but was upgraded and
modernized 7 years ago.
The workforce is nonunion and mostly made up of
younger, college-educated or technically trained workers.
Watson has been approached by a Taiwanese ...
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Publisher Resources

ISBN: 9780814408926