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Case study : THE TAO OF TIMBUK2
1. Consider the two categories of products that Timhuk2 makes and sells. For the custom messenger bag, what key competitive dimensions are driving sales? Are the company's competitive priorities different for the new laptop bags sourced in China?
2. Compare the assembly line in China to that in San Francisco along the following dimensions: (I) volume or rate of production, (2) required skill of the workers. (3) level of automation, and (4) amount of raw materi¬als and finished goods inventory.
3. Draw two diagrams, one depicting the supply chain for those products sourced in China and the other depicting the bags produced in San Francisco. Show all the major steps, including raw material, manufacturing. finished goods, distribution inventory and transportation. Other than manufacturing cost, what other costs should Timhuk2 consider when making the sourcing decision?
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