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Challenges with Off-shoring (Political / Govt factors (Fluctuations in…
Challenges with Off-shoring
Political / Govt factors
Fluctuations in exchange rates
Political instability in developing countries
Labour laws in the country
Customs, Binds and Licenses of each country
Inventory
higher holding costs
product obsolecence in stock holding
logistics
Transportation costs
additional holding facilities costs
Does the country have a logistics network
Cost of securing
Airport
Seaport
Highways
Rail links
Flexibility of international strategy
Rising labour costs
Rising land costs
Managing cultural expectations of supply and delivery