There has two kind of machines an old one and a new one. The new one is more expensive but in a pretty good condition. The old one is not in a good condition and needs additional maintenance but is cheaper. No matter which one they buy, they have to make some changes on HR, rearrange the workers in each step. RECOMMENDATION Buying the old one which costs less money than another.
Therefore manufacturers make bigger profit. As well as that, there are fewer factory regulations at sweatshops because the health and safety regulations aren’t as important in LEDC’s, that way it makes it cheaper to run the factory. As well as that, renting and buying the factory is cheaper too because the economy of LEDCS are weak the demand of buying property is low because not many people can afford it therefore buildings and houses are worth less because of low demand. Another reason clothes are manufactured in LEDCs is because there is less tax to foreign government, therefore there is a bigger profit for the manufacturers. Because LEDCs have a weak economy, there are very few
This means that they could adopt a computerised accounting system to deal with financial transactions and many staff can help them do this these transactions. Computerised Accounting system can benefit them because they can do all their calculations in the computer which helps them to do their work quickly. Rumble is a small business so they will have less staff. On the other hand If Rumble did not have many staffs this means they won’t need to adopt a computerised accounting system because it is too expensive and also manual accounting system could help them instead if they had less staff. In this case Manual accounting system is easier for them to handle with their calculations through sales day book, petty cashbook and cashbook.
MCM currently distributes its line through seven floor covering wholesalers located throughout the United States (Kerin & Peterson, 2004). U.S. Carpet and Rug Industry: U.S. consumers and businesses spend about $50 billion annually for floor coverings. The largest category of floor coveringsis carpet and rugs, followed by resilient coverings (vinyl), hardwood, ceramic tile, and laminates. The U.S. carpet and rug industry recorded sales of $11.69 billion at manufacturer’s prices in 1999.
Running head: GUILLERMO FURNITURE ANALYSIS Guillermo Furniture Analysis FIN/571 NAME 17 July 2011 Professor Guillermo Furniture Analysis Guillermo’s Furniture Store Scenario shows that there is a competitive advantage when it comes to specific retailers within the furniture industry; unfortunately, Guillermo is currently not experiencing such an advantage because of fresh overseas competitors who are able to sell products at a lower price than Guillermo. At one period, Guillermo did possess a competitive edge; however, because of new entrants, the utilization of high-technology methodologies, product pricing and positioning, and the rising costs of labor Guillermo is not experiencing the profits he once did. Guillermo has several options to consider such as manufacturing automation, outsourcing, or maintaining his current business platform with the addition of a new coating technique for his furniture. Regardless of Guillermo’s decision, it is essential for Guillermo to add value to his furniture. Guillermo must consider all alternatives and integrate a new strategy to reestablish his once-held competitive advantage.
Over its 60 years of business, Lowe’s has expanded all across the country and now operates stores not only in the United States, but also in Mexico and Canada. Although times have changed since Lowe’s first opened its doors in 1946, Lowe’s values have not— the company remains committed to offering high-quality home improvement products at everyday low prices, while delivering superior customer service [ (Lowe's Company Information, 2012) ]. Lowe’s operates more than 1, 745 stores in the United States, Canada, and Mexico. They employ more than 248,000 people and serve about 15 million customers weekly. The stores stock 15 product categories ranging from appliances and tools, to paint, lumber and nursery products.
These allow IKEA to reduce space requirements in logistic operations such as trucks and warehouses and they also lowered costs, creating a core competency for IKEA. - Furniture showroom/open warehouse. This unique store concept allows customers to come see the IKEA products so they can see for themselves the quality of the products before they decide to buy them. IKEA’s end products are low-priced and high-quality furniture and in-house products. These products have low prices as a result of IKEA’s core competencies.
When people purchase one of these machines they usually are on it and depend on it all the time. Due to the lack of self-motivation through machines we could lose our common courtesy. In the workplace, machines have effected jobs dramatically. They can perform at low-skill repetitive jobs and at high-speed precise jobs. They mostly are better than humans because they are more precise within their work and they are less likely to produce an error.
Although many jobs require advanced skills, some jobs now are de-skilled due to the technological revolution in the workplace. According to Roberts (2004) in the past, shopkeepers had to have math skills to be able to sell the product, but now with the use of electronic cash registers, they do not need to have this skill. Moreover, Former workers in factories need to have manual and strength skills to perform their jobs, but now the use of technology in factories are required the experience of using computers and programming skills (Herman, 2004). Consequently, this will lead to reduce some employee skills in the workplace. Secondly, the use of technology in the workplace leads to reduced chances to get promotion.
Similarly, the transaction cost for stores such as H&M is more than that of the jewelry shops but less than the department stores. Also, it is much harder for a business enterprise to internalize if it has high transaction cost. Thus, jewelry shops can internalize at an easier way as they have comparatively lower transaction costs. Since, jewelry shops can internalize in an easier way, theoretically, they should make more money. And it is only fair that the shop that makes more money has to pay more rent.