Chap0011 - Chapter 11 - Logistics and Facility Location...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 11 - Logistics and Facility Location CHAPTER 11 LOGISTICS AND FACILITY LOCATION Review and Discussion Questions 1. What motivations typically cause firms to initiate a facilities location or relocation project? There are a variety of reasons; both positive and negative. Firms may wish to move closer to markets or sources of supply. Cost reduction is another major reason. A company might need an educated work force, thereby moving near a major university. On the negative side, firms relocate to avoid costly regulation or unionization. Students should be able to cite a large number of reasons. 2. List five major reasons why a new electronic components manufacturing firm should move into your city or town? Answers will vary depending upon the location. Possibilities include quality of education, tax advantages, proximity of supply, proximity of markets, or favorable quality of life. 3. How do facility location decisions differ for service facilities and manufacturing plants? In many ways, the decisions are similar. However, since the customer is often involved in the production of the service, proximity to the customer is of greater importance. Services often utilize multiple sites to remain close to the customer. Market needs impact services location decisions. Alternatively, resource considerations have much more impact on
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 07/17/2011 for the course MBA 587 taught by Professor None during the Spring '11 term at Missouri (Mizzou).

Page1 / 4

Chap0011 - Chapter 11 - Logistics and Facility Location...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online