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An assembly plant that produces home appliances is located in Tijuana, Mexico. The plant is deciding to procure electronic circuits from two different companies. The
An assembly plant that produces home appliances is located in Tijuana, Mexico. The plant is deciding to procure electronic circuits from two different companies. The circuits are standardized for use in several products of the company portfolio. Hence, the required volume is high. The first supplier option is a German producer, which provides high reliability. The second supplier is located in Serbia. They promise a lower price for the product in comparison with the German competitor. Which supplier should the company select? Keep in mind to consider not just the country, but also the product. Use the EPIC tool for evaluation purposes. Should Intellectual Property Rights be an issue of concern for the assembly plant? Explain your assumptions, reasons, analysis, and recommendations to back up your final
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