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GLOBAL SOURCING PRONES:<3: global-sourcing (STRATEGIES TO MINIMISE…
GLOBAL SOURCING PRONES:<3:
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Low wages
- Bangladesh -> 0.23$ an hour
- UK -> 10.42$ is the minimum wage (for over 25 year olds)
- Madagascar -> 0.18$ an hour
- (Last Week) Fruit of Loom announced that by the end of 2018 they will move their production to North Africa and Europe
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Increased Competition on Prices
- Because of the Globalisation and Internet
UK Retailer MotherCare is closing 50 stores in the UK this year because of rising cost & Lower Sales (Business Insider, 2018)
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Even if it costs more -> better than having lower quality
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Better Technology
- Produce in Tiger Countries Because They Have Better Quality
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