notes. 10.31 - 10/31-Batt US Firms o Low cost- big driver...

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10/31—Batt - US Firms o Low cost- big driver 40%-60% less (go from 20-80%) Transaction costs- create vendor operations or hire others to do it Layoffs- cost of severance, lack of motivation for other workers Layoffs Cultured costs- change HR strategy o Different than manufacturing in China o High cost for turnover (higher in China than US) o Dependency on country o Loss of core competency - Indian Firms o Certification o Financial privacy- set up system to aid consumer concerns o Economic development o Low value added pigeon holding, want to push up the quality chain - Consumers o Quality=personal o Hazardous??—not dangerous to health o Monitoring and enforcement o No transparency—really don’t’ know what is going on, can’t see process, hidden services o Lower prices o Are legal protections the same in own country, are they protecting my private information
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o Are medical practices the same o No consumer choice- lack of full information Can’t buy full American, unable to be sure product wasn’t made in a sweat shop
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notes. 10.31 - 10/31-Batt US Firms o Low cost- big driver...

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