Tag Archives: Cost

Small tractors at John Deere and potential global growth

Posted on October 2, 2011 by aviyer2010

A Bllombergbusinessweek article (Sept 26, 2011) describes plans by John Deere to build small tractors that are more suitable to the 3 acre farms that are typical in India. Given the anticipated large growth in agricultural land that will demand … Continue reading →

Posted in Global Contexts, Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , , , | Leave a comment

How did Amazon manage to price the Kindle Fire for $ 199 ?

Posted on October 1, 2011 by aviyer2010

An article in Bloombergbusinessweek (Oct 3, 2011 edition) suggests that Amazon’s new Fire tablet’s amazing $ 199 price point may be related to its smaller screen but also subsidy from potential margins from sale of toys, diapers and electronics. The … Continue reading →

Posted in Ecommerce, Service Operations, Supply Chain Issues | Tagged , , , , , , , , , | 1 Comment

“Surge and Purge” contractors for defense services

Posted on October 1, 2011 by aviyer2010

A BloombergBusinessweek article (Sept 5, 2011) describes the approach in the Pentagon to use “surge and purge” services offered by CACI International and ManTech International. These companies provide the capability required for the specified time frame and are available on … Continue reading →

Posted in Global Contexts, Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , , , | Leave a comment

Buying weather contracts to support retail promotions

Posted on October 1, 2011 by aviyer2010

A BloombergBusinessweek article (Sept 5, 2011) article on weather related risk management describes a retail promotion by a parka manufacturer, Weatherproof Garment, that promised promised Macy’s credit card customers reimbursement of the cost of parkas if weather was freezing on … Continue reading →

Posted in Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , | Leave a comment

Organizing Chilean rural carpenters into networks to sell sustainable wood furniture

Posted on October 1, 2011 by aviyer2010

A report by the WEF and BCG (http://reports.weforum.org/new-sustainability-champions/#view/new-sustainability-champions/case-studies/florida-ice-farm/) describes a Chilean wood producer Masisa. The company gets wood from pine and eucalyptus farms it owns, which are processed to form wood boards.It organized remote rural carpenters into networks that can … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues, Sustainability | Tagged , , , , , | Leave a comment

Broadband access, cellphones and supply chains in Africa

Posted on October 1, 2011 by aviyer2010

An article in CNN Money(http://tech.fortune.cnn.com/2011/09/19/ibm-the-african-revolution-no-one-should-ignore/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+fortunebrainstormtech+%28Fortune+Brainstorm+Tech%29) describes the impact of a $ 250 million undersea fiber optic cable and the growth of cellphones.  Fishermen in Ghana use cellphones to find wholesale prices to choose the best option. Reduced internet costs are … Continue reading →

Posted in Ecommerce, Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , , , | Leave a comment

Making cars in high cost Brazil in response to import taxes

Posted on October 1, 2011 by aviyer2010

The Economist (Sept 24, 2011) describes a 30 percent increase in tax on cars with an exemption for cars made in Brazil, Mexico or the Mercosur trade block. Thus, even though labor costs in Brazil are 60 % higher than … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , | Leave a comment

The logic of producing cellphones in Tierra del Fuego

Posted on October 1, 2011 by aviyer2010

An article in the Economist (Sept 24, 2011) describes the decision by Brightpoint, an Indianapolis manufacturer, to spend 15 times labor cost in Asia to set up a manufacturing plant for Blackberrys in Tierra del Fuego at the tip of … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , | Leave a comment

Should the Indian govt squeeze foreign acquisitions of its drug companies ?

Posted on September 27, 2011 by aviyer2010

A Wall Street Journal article (Sept 27, 2011) describes worries by the Indian govt regarding the future impact of foreign acquisitions of its local drug firms – Abbot buying Piramal Healthcare and Daiichi Sankyo buying Ranbaxy Labs Ltd. The worry … Continue reading →

Posted in Collaboration, Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , , | Leave a comment

Village Health volunteers and health care success in Thailand

Posted on September 27, 2011 by aviyer2010

A New York Times article (Sept 27, 2011) describes the role of Village Health volunteers – one million strong in a nation of 65 million, who watch for disease outbreaks, spread warnings wen detected and thus curb infectious diseases. These … Continue reading →

Posted in Collaboration, Global Contexts, Supply Chain Issues, Sustainability | Tagged , , , , , , | Leave a comment