Tag Archives: Cost

Why did Amazon.com decide to provide Harry Potter e-books free ?

Posted on May 18, 2012 by aviyer2010

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 →

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Apple’s global supply chain flow choices and tax impact

Posted on May 3, 2012 by aviyer2010

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 →

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Private Equity Efficiency Improvement and the Toyota Production System

Posted on May 2, 2012 by aviyer2010

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 →

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Oversupply of steel pipe in the supply chain ?

Posted on May 1, 2012 by aviyer2010

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 →

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Harmonizing trade regulations and supply chain impact

Posted on May 1, 2012 by aviyer2010

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 →

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Rising palladium prices and drivers

Posted on May 1, 2012 by aviyer2010

An article in the Wall Street Journal (April 25, 2012) describes rising prices of palladium, a metal used in gasoline car exhausts. It is the sister metal of platinum, used in diesel car exhausts. Rising sales in the US and … Continue reading →

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Delta Airlines going upstream to save costs – are there risks ?

Posted on May 1, 2012 by aviyer2010

An article in CNNMoney (http://money.cnn.com/2012/04/30/news/companies/delta-oil-refinery/index.htm?hpt=hp_t2) reports on a plan by Delta Airlines to buy the Trainer oil refinery in Philadelphia to produce jet fuel. The claim is that the purchase of the refinery for $ 150 million will allow Delta … Continue reading →

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McDonalds and their supply chain visibilty strategy

Posted on April 26, 2012 by aviyer2010

An article in Bloombergbusinessweek(April 23, 2012) describes pressures on McDonalds to identify its food supply chain. Chipotle focuses on its meat being obtained from pen free and cage free organic cources and vegetables from farms within 350 miles. Five Guys … Continue reading →

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An alternate plan to rescue the US Postal Service

Posted on April 26, 2012 by aviyer2010

An article in the Wall Street Journal (April 17,2012) provides an alternative to the current plan to shut post offices and decase delivery days. The Pistal workers union suggests increasing stamp prices, providing delivery services for pharmaceutical delivery etc as … Continue reading →

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Bangladesh – an emerging apparel manufacturer ?

Posted on April 26, 2012 by aviyer2010

An article in the New York Times (April 23,2012) describes the doubling of apparel exports from Bangladesh, compared to four years ago. Li & Fung, a manufacturer of apparel increased its procurement to over $1 billion in 2011, a 41% … Continue reading →

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