Successful product from an asian company

Assignment Help Business Management
Reference no: EM131265963

Ross Manufacturing in Chicago is considering outsourcing a component for one of its successful product from an Asian company. The company has collected the following data to make an economic decision.

Cost to make it in-house = $56 per unit.

Annual demand = 100000 units

Price quoted by the Asian company = $50 per unit plus a shipping cost of $1000 per shipment.

As Ross Manufacturing is very religiously practicing lean manufacturing, it expects the supplier to make frequent shipments.

Determine the number of shipments per year that the company can require the supplier to make in order to justify outsourcing.

In addition to cost consideration, what other factors would weigh in decision making?

Reference no: EM131265963

Questions Cloud

Write a memo to your boss that details the many submarkets : Write a memo to your boss that details the many submarkets within this segment. - Using the library and the Internet, find examples of large companies directing marketing mixes to each major ethnic group.
Effect of a tax on the market for oranges : Suppose that the graph below shows the effect of a tax on the market for oranges. The red segment is the tax wedge, which shows that the new equilibrium occurs where the price paid by the buyers is $11, the price received by the sellers is $4, and..
Find the mean median and mode of the given data set : Use the given data set to solve the following problems: 50, 55, 60, 60, 70, 80. Find the mean, median, and mode of the given Data set. Suppose that we increase each value by 4, recalculate the measures of the centre
Calculate the rotor induced emf/phase at this speed : A 3-phase, 50 Hz, 4-pole, 400 V wound rotor induction motor has a stator winding D-connected and a rotor winding Y-connected.
Successful product from an asian company : Ross Manufacturing in Chicago is considering outsourcing a component for one of its successful product from an Asian company. The company has collected the following data to make an economic decision.
Partners plans to finance site reclamation project : Environmental recovery company RexChem Partners plans to finance a site reclamation project that will require a 4- year cleanup period. The company plans to borrow $3. million now. How much will the company have to get in a lump-sum payment when the ..
Erin price elasticity of demand for good x : a) Let the price of good Y be $1 per unit and Erin's income be M. Draw the diagram that illustrates the situation described above. b) How does Erin's expenditure on good X respond to changes in the price of good X? c) Is good X a complement or a su..
Present worth of planned expenditures at an interest rate : A structural engineering consulting company is examining its cash flow requirements for the next 6 years. The company expects to replace office machines and computer equipment at various times over the 6-year planning period. What is the present wort..
Identify consumer and marketer reactions to state of economy : Explain how consumers' buying habits may change during a recessionary period. - Identify consumer and marketer reactions to the state of the economy.

Reviews

Write a Review

Business Management Questions & Answers

  Explain the concept of strategic compensation

Show and explain the concept of Strategic Compensation as a component of human resource systems. Include in your discussion the opinions expressed regarding strategic analysis and contextual factors.

  Difference between fifo and lifo

The difference between FIFO and LIFO is FIFO refers to the practice of firms, when making sales, assuming that the inventory that came in last (at a higher price) is being sold first. LIFO implies that a firm is selling the lower cost, older inven..

  Ceo executive committee that addresses

Developa 2-slide Microsoft® PowerPoint® presentation of the BOLD bullet to be presented to the CEO's executive committee that addresses how your chosen organization determines what quantity of labor to demand and what events could shift the demand..

  Identify an information system frequently employed

Discuss how you might be involved as a user or stakeholder in the development of such a system for your future company.

  Report on franchising versus independent ownership

Write a 250- to 300-word report on franchising versus independent ownership. What are the benefits and disadvantages of each? Be sure to cite your sources in APA format.

  Cultural environment of international business

Project Assignment is to prepare a paper on the learning you've acquired regarding the Cultural Environment of International Business.

  Explain what strategy would you use to minimize risks

Explain What strategy would you use to minimize or manage these risks or disadvantages? Explain your choice with a solid rationale and please be specific in your answer not general.

  What implications does the have for employers

What implications does this have for employers? What types of employer policies might be appropriate regarding those engaged in providing long-term care for a family member?

  Elucidate how would the information a management accountant

Elucidate how would the information a management accountant would use to determine company costs change depending on type of production.

  Privacy policy case study of cases in electronic commerce

Resource- Privacy Policy case study of Cases in Electronic Commerce, Prepare a 1050- to 1400-word examination using the Double Click Privacy Policy case study, explaining at least three legal, three ethical,

  Explaining linear communication model

Johari window, Linear Communication Model, Appropriate Leader Style. Select one of these concepts and find a related article.

  Deliberate the importance of pr in establishing a brand

Deliberate the importance of PR in establishing a brand. Deliver examples of companies or industries in your discussion.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd