Tag Archives: manufacturing

The logic of producing cellphones in Tierra del Fuego

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

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Amazon Fire tablet pricing and capabilities and associated competitiveness

An article in the Wall Street Journal (Sept 28, 2011) described the $ 199 pricing for the Amazon Fire – a color tablet that works using wi-fi, has a smaller screen (7 in) than the iPad, has free access to … Continue reading

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

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

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Nokia volume drops and supplier impact

A Wall Street Journal article (Sept 27, 2011) describes the declining fortunes of Nokia and its impact in suppliers. These suppliers are described as finding that Apple and Android based smartphones are using custom built components that are closed to … Continue reading

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FDA responsible for generic drug shortages ?

An article in Forbes (http://www.forbes.com/sites/aroy/2011/06/24/drug-shortages-the-new-death-panel/) describes strong FDA enforcement of Good Manufacturing practices with zero tolerances for generic manufacturers. Any violation causes shut down of a production line, with alternate suppliers requiring lengthy permissions to ramp up to compensate. In … Continue reading

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Marvin Windows and the no layoff decision

An article in the New York Times (Sept 24, 2011) describes the”no layoff” strategy used by privately held Marvin Windows of Warroad, MN.  To reduce costs, employees saw cuts in perks like tuition reimbursement, overtime, salary cuts of 5 % … Continue reading

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College apparel and provider sourcing strategies

A New York Times article (Sept 23, 2011) describes frustration expressed by student groups at Ohio State and University of Southern California because contracts for manufacturing their school apparel was granted to a unit of the Dallas Cowboys that has … Continue reading

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Financing sustainability driven retrofits and thus manufacturing growth

An article in the New York Times (Sept 19, 2011) describes a new consortium, including Lockheed Martin and Barclays bank, that will finance retrofits of buildings to decrease energy costs, cutting energy use and utility bills by 33 %.  Building … Continue reading

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Airbus and Boeing long term airplane demand forecasts

An article in the New York Times (September 19, 2011)  states that Airbus predicts that a demand for 27,800 airplanes by 2030 with a potential revenue impact of $ 3.5 trillion and an implied air traffic growth rate of 4.8 … Continue reading

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Will China’s inflation impact the USA ?

A report by Hale and Hobijn (http://www.frbsf.org/publications/economics/letter/2011/el2011-25.html) suggests that imports from China account for 2.7 % of US consumer expenditure. Of that 2.7%, over 55 % consists of services in the US, thus imports of China constitute 1.2 % of … Continue reading

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