What are some of the benefits of this capital project? 2006, Toshiba, a Japanese company, announced construction
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What are some of the benefits of this capital project?
2006, Toshiba, a Japanese company, announced construction of a new semiconductor production facility in the Bangkadi Industrial Park, about 35 kilometers north of Bangkok. This new facility expands the company’s manufacturing capacity for semiconductors and other electronic components.
With increased demand for small-signal devices in Asian markets, the company hopes to strengthen its overall profitability.
Using capital project analysis techniques, Toshiba has decided to increase production in the Bangkok factory. The initial construction of the new building was expected to take about eight months. This first phase of the multi-year building plan had an estimated cost of 2 billion yen (approximately 700 million Baht—the currency of Thailand). When completed, the new building will have a total production area of over 8,000 square meters and will employ 9,000 workers. This plant will use high-efficiency production lines to reduce manufacturing costs.
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