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Why Outsource?
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Outsourcing, or 揋eographic Diversification?as they are beginning to
call it, is rapidly increasing in importance in the global marketplace.
Many traditional, vertically-integrated manufacturers in developed
markets will not survive without it.
As higher
costs and lower prices begin affecting your margins you may find you are
having to adjust away from your broader traditional market into higher-quality, more specialized market niches. So why not outsource the manufacturing of
your lesser-margin parts, components or even low-to-medium end product
lines offshore and revitalize your competitiveness in those areas and
retain your traditional markets?
Effective
outsourcing retains more of your client base, and provides you with a
vehicle for beach head protection against low-cost (but increasingly
higher-end) market new-comers.
Why China?____________________________________________
For
virtually every product there is a qualified manufacturer in China
making it, or capable of making it. Not just at the low-end but also at
the highest levels of technology. If you don抰 take advantage of this,
then those who already are will sweep through your market.
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