Discussion Question 1
You are the owner of a U.S.-based bicycle manufacturing business. You currently manufacture bicycles in Seattle. Market demand for bicycles is expected to double in the next five years. Your sales in the United States are currently 100 percent. However, you hope to expand your business within the next two years. You are currently considering opening a new facility in China, Italy, or Mexico.
Where would you propose locating a new manufacturing facility? Why? How would you make this decision? Which critical success factors are most important in your analysis? What concerns would you have about expanding the business internationally versus within the United States? Why?
Discussion Question 4
There are many ways a firm can create value for its customers.
In what ways do you think the design of a firm’s transportation network can affect its ability to create value for customers through efficiency, effectiveness, and differentiation? What factors can cause a firm to analyze the design of its network or reconsider the location of a particular facility? How?
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