Which of the following advantages of global procurement do you find most beneficial?
- No need to invest money associated with making.
- Focus is on the production stages and components with the most value added.
- Maximizes flexibility by allocating orders among the suppliers in a dynamic way.
- Input purchase costs are lower due to economies of scale and lower costs achieved by global sellers of components.
- Buying firm does not need to learn a new business. Avoids the business risks that suppliers are taking.
- Simplifies the production process.
- Sets stage for offsets through direct procurement purchasing in and indirect support of local markets.
Research two of the advantages listed above and, using your research, explain why they are the most advantageous. Your response should include the following:
(1) Which advantages you selected.
(2) Why they are the most beneficial.
(3) Examples of businesses successfully implementing these approaches.