Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (11th Edition)
Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (11th Edition)
11th Edition
ISBN: 9780134111056
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 13, Problem 3VC
Summary Introduction

Interpretation: The approach to the proposal of establishing a plant at a location just because low cost labor is available is to be explained.

Concept Introduction: The overall business requirement of locating a new plant at a certain location is not to minimize the labor cost but to maximize profits and business. Therefore it is never enough for a location to have low labor cost as a deciding factor.

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Discuss why locating a plant solely on the basis of low labor costs may be the wrong approach ?
Explain why locating a plant solely on the basis of low labor costs may be the wrong approach.
What is plant location? Discuss the steps to be taken in choosing a plant location
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