Unit 4 - Individual Project - Running Head BUSINESS...

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Running Head: BUSINESS ASSIGNMENT 1 Domestic versus International Considerations Student’s Name University Affiliation
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2 BUSINESS ASSIGNMENT SECTION 1: Introduction Basically, the idea of retail distribution & logistics has led to the growth of various techniques as well as theories. Primarily, a distribution-center is one-of the greatest frequently used logistic method which helps in decreasing the time duration for the goods to reach the customers. Presently, companies might decide to have numerous distribution-centers for domestic as well as strategic supply of goods. One of the main benefits accrued to most distribution centers is the fact that the distribution time is significantly reduced by the use of these distribution-centers. Distribution centers similarly assists in extracting the value from goods via quick feedbacks to varying demands, pricing, consumer preferences & supply. While there are different benefits accrued by distribution centers such as improving efficiency, it’s obvious that they come with various setbacks. The higher overheads of maintaining workers and penetrating into the marketplaces in the distribution-channels might similarly be an undesirable factor triggered by distribution centers. Furthermore, control & circulation of inventory charges can prove to be exasperating within the distribution centers particularly if the goods are distributed in huge quantities. Doubts & uncertainties in the market owed to decreased demand could increase the costs of running/operating various warehouses. This might lead to companies failing to achieve their productivity targets because of-ambitious warehousing facilities (Folinas, 2013). SECTION 2: Decision Making Criteria As the Chief Executive Officer (CEO) is formulating and planning 3 options which comprises of; constructing the East-Coast manufacturing industry, increasing the warehouse next to the East-Coast manufacturing industry; constructing a West-Coast distribution channel; or
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3 BUSINESS ASSIGNMENT constructing a combination manufacturing as well as warehouse site on the West-Coast. The resulting is the criteria which must be used while siting/locating an expanded delivery warehouse domestically. The initial metric would be model-of pay to be reflected and considered for the benefit of decreasing operational-costs. It’s obvious that the model-of recompense like pay-as you-go, will be operative ever since the goods will be used for trip/picnic to the coastline. Since
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