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Monthly Archives: May 2012
Amazon’s fashion plans
An article in the New York Times (May 8,2012) describes Amazon.com’s plans to sell more fashion product, with the logic that shipping costs are independent of item price and thus fashion goods offer greater margin. Amazon does not plan to … Continue reading
Posted in Ecommerce, Operations Management, Supply Chain Issues
Tagged Capacity, competition, Consumers, Cost, disruption, Ecommerce, fashion, Growth, Margins, Retail, Supply Chain
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Target pulls Kindles from its stores in a spat with Amazon
An article in the New York Times (May 3,2012) describes a decision by Target to stop selling Amazon’s Kindles in its stores. The article describes worries by Target that “showrooming” – a practice of scanning items in the store to … Continue reading
Posted in Ecommerce, Operations Management, Supply Chain Issues
Tagged competition, Consumers, Cost, Ecommerce, Margins, Retail, Service, Suppliers, Supply Chain
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Figuring out if Chinese solar panel manufacturers are dumping in the US
An article in the New York Times (May 16, 2012) describes possible countries whose cost structure could be used to estimate costs in China. In the past, costs in India i.e., labor, material, rent, electricity have been used as a … Continue reading
Posted in Global Contexts, Operations Management, Supply Chain Issues
Tagged Capability, China, competition, Cost, Global, Infrastructure, manufacturing, regulation, Supply Chain
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Will Exxon Mobil be less competitive by being more transparent ?
An article in Bloombergbusinessweek (May 14, 2012) describes efforts by ExxonMobil, among others, to eliminate a 1305 requirement under the Dodd Frank bill requiring timely disclosure of payments to countries when oil is extracted by US corporations. Such data would … Continue reading
Posted in Global Contexts, Supply Chain Issues
Tagged competition, Consumers, Global, Legal, regulation, Supply Chain
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Why did Amazon.com decide to provide Harry Potter e-books free ?
An article in the Wall Street Journal (May 11,2012) describes a decision by Amazon.com to provide Harry Potter e-books free to libraries, while paying book publishers the wholesale price. The article argues that Amazon will obtain profits from other purchases … Continue reading
Posted in Ecommerce, Operations Management, Service Operations
Tagged competition, Coordination, Cost, Ecommerce, Efficiency, Service, Supply Chain
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Apple’s global supply chain flow choices and tax impact
An article in the New York Times (May 2,2012) describes choices made by Apple in the organization of its product flows to avoid taxes. Apple’s distibutors in Germany are called “commissionaires” and do not take possession of inventory. Thus German … Continue reading
Posted in Global Contexts, Operations Management, Supply Chain Issues
Tagged Cost, Global, Legal, regulation, Supply Chain, taxes
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Private Equity Efficiency Improvement and the Toyota Production System
An article in Bloombergbusinessweek (April 26, 2012) describes the efficiency improvement generated by a private equity firm Monomoy Capital Partners. Examples include reducing forklift times by 10 minutes, finding lost inventory, streamlining operations etc. The company claims to runs kaizens … Continue reading
Posted in Operations Management, Supply Chain Issues
Tagged Capability, Cost, Efficiency, kaizen, manufacturing, private equity, Supply Chain, Toyota
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Possible reasons for Microsoft to invest in the Nook – Barnes & Noble’s ereader
An announcement of Microsoft’s investment in the Nook, Barnes & Noble’s ereader, was described in an article in the New York Times (May 1, 2012). But there are many possible reasons for this investment. Does the use of the Microsoft … Continue reading
Oversupply of steel pipe in the supply chain ?
An article in the Wall Street Journal (May 1, 2012) describes a plant expansion by Timken in Ohio and a new plant in Texas to be opened by Tianjan Pipe, both focused on steel production for pipe used by the … Continue reading
Posted in Global Contexts, Operations Management, Supply Chain Issues
Tagged Capacity, competition, Cost, energy, Global, Imports, Inventory, steel pipe, Supply Chain, Trends
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Harmonizing trade regulations and supply chain impact
In an article in the Wall Street Journal (May 1,2012) Cass Sunstein, administrator of the White House Office of Information and Regulatory Affairs, describes steps taken by the US government to harmonize regulations across countries to reduce costs. Examples cited … Continue reading