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INTERNATIONAL PRODUCTION
INTERNATIONAL PRODUCTION:-" provides an unparalleled opportunity for companies to grow into new markets while at the time boosting their competitiviness. However, most of today network are legecy structure only a fraction was stregically planned. As a results, there is huge potential to be captured from rethinking traditional structure,apporches and supply relationships, and huge potentials for getting it wrong."
Production in froeign countries involves many decisions such as make or buys decisions, location of manufacturing decisions, sourcing of inputs etc.
NATURE OF INTERNATIONAL PRODUCTION
- 1 DIFFRENT PROCEDURE AND PRINCIPLES.
- 2 DIVERSIFIED MARKETS.
- 3 POLICY CHALLENGES.
- 4 OPTIMUM UTILISATION OF RESOURCES.
- 5 ACCELERATE ECONOMIC GROWTH.
Force Accelerating International Production
- a Huge Factor Cost Differences
- b High Growth In emerging markets.
- c Lower transaction costs.
KEY ISSSUE WITH INTERNATIONAL PRODUCTION.
- GEOGRAPHICAL DIMENSION.
- REGULATORY REGIMS DIMENSIONS.
- WORKING ISSUE FOR LABOUR FORCE.
- LOCATION ISSUES
- INCREASE IN COST IN PRODUCTION.
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