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Global Sourcing
Strategic cost savings and quality assurance
Offshore production infrastructure can offer significant savings to manufacturing companies, but small to midsize companies often have no one in-house with the specialized knowledge and experience required when confronting the unique challenges of these markets. Issues include quality assurance and the risk of sending your intellectual property to countries without strong copyright laws.
We have deep experience in Chinese and Latin American sourcing issues, with a realistic and thorough view of the obstacles and opportunities they present. Successful sourcing requires strategic relationship building with local partners, knowledge of potential problems and dangers, and smart management strategy.
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A small US Corporation was looking for a way to lower its manufacturing costs, both labor and materials. Like many companies of its size, they had no one internally who had begun such an operation or had a relationship with any Chinese manufacturers.
To safeguard their intellectual property and ensure quality, we had them establish a local business presence in China, and provide an ownership interest to local Chinese businesses, which motivated them both to keep intellectual property proprietary and quality up.
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A US Industrial Manufacturer had factories in the US producing product with simple labor requirements. We sourced out a facility in Brazil, where the labor was lower, and there was a cheaper, local source for the materials needed for production as well. In addition, we determined that there was a local market for the product. The result was that we maintained quality, lowered the material and labor costs substantially, and begin selling the product in the Brazilian market, the third largest economy in the Western Hemisphere.
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