Tag Archives: Supply Chain

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 →

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“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 →

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The benefit of a public private response during an emergency

Posted on October 1, 2011 by aviyer2010

A BloombergBusinessweek article (Sept 5, 2011) describes how private businesses provided faster and cheaper response compared to the government. Local restaurants provided meals at half the $ 8 price per meal of FEMA rations.  Emergencies in Louisiana now routinely involve … Continue reading →

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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 →

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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 →

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Costa Rican Pepsi bottler’s triple bottom line and growth

Posted on October 1, 2011 by aviyer2010

A report by the World Economic Forum and the Boston Consulting Group (http://reports.weforum.org/new-sustainability-champions/#view/new-sustainability-champions/case-studies/florida-ice-farm/) describes efforts by Floria Ice & Farm, a Pepsi bottler in Costa Rica that links 60 % of CEO pay to the triple bottom line. The impact … Continue reading →

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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 →

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Indian manufacturer exporting Jaguars from Britain to Asia

Posted on October 1, 2011 by aviyer2010

The Economist (Sept 24, 2011) describes the Halewood plant (near Liverpool) , part of the Jaguar Land Rover plant owned by Tata Motors. Addition of the Land Rover to the plant has increased its manufacturing capacity and associated employment.  But … Continue reading →

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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 →

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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 →

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