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Logistics Case Study - Presentation of ISOL

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Logistics Case Study - Presentation of ISOL is discussed very comprehensively in this explanation.

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Prepare a 700-1,050-word paper in which you identify, analyze, discuss, and recommend the most appropriate solutions to the issues raised in the following case from the perspective of global value chain strategies located in the e-text, Global Operations and Logistics: Text and Cases:

From the perspective of global value chain strategies, it would be appropriate to build a new manufacturing facility with one production line in France close to the firm's southern European market. There are several reasons for this the most important one being that a large percentage of sales increase is likely to take place in Italy and Spain and this location which is close to the firm's southern European markets will in the best position to serve it. Moreover, if there is a further increase in the market and 1,000,000 cubic m a year is not adequate to meet the additional demand, this facility can be used to set up another production line to meet the increased demand.

The two changes that are proposed to the logistics set up. One is a decrease in the delivery time to 48 hours and the other is to cut the minimum order possible to the equivalent of 4 pallets. Both these proposals will lead to substantial increase in the logistics costs. It is forecasted that during the next five years 47% of the sales in France will be of the size of 4 and 6 pallets. This makes it imperative that ...

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  • MBA, Eastern Institute for Integrated Learning in Management
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