Find the domestic production costs

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Reference no: EM1328636

Lean supply chain management implemented USA & China

The lean supply chain management can be implemented with the customer based in North America and the supplier located in China. Most companies have begun to purchase supplies from China because it cuts the costs. Even Chinese exporters are feeling the pinch as global players move in and enjoy cost advantages similar to those of local producers.

This situation is the future I wonder about in globalization. What happens when the cost of exporting and importing catch up to domestic production costs due to increased transportation and labor costs? How will most companies lead at that point when the easy answer is not moving overseas because the cost is cheap?

Reference no: EM1328636

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