Furthermore, governments have great influence on the health, education, and infrastructure of a nation. Economic factors include economic growth, interest rates, exchange rates and the inflation rate. These factors have major impacts on how businesses operate and make decisions. For example, interest rates affect a firm’s cost of capital and therefore to what extent a business grows and expands. Exchange rates affect the costs of exporting goods and the supply and price of imported goods in an economy.
Social factors include the cultural aspects and include health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. Trends in social factors affect the demand for a company’s products and how that company operates. For example, an aging population may imply a smaller and less-willing workforce (thus increasing the cost of labor). Furthermore, companies may change various management strategies to adapt to these social trends (such as recruiting older workers).
Technological factors include technological aspects such as R&D activity, automation, technology incentives and the rate of technological change. They can determine barriers to entry, minimum efficient production level and influence outsourcing decisions. Furthermore, technological shifts can affect costs, quality, and lead to innovation. Queue. 2 what are they key consideration helium will need to formulate in their Chinese sourcing strategy? NAS. Assessment of a company’s current spending 1 . Assessment of the supply market 2. Total cost analyses 3. Identification of suitable suppliers. 4.
Development of a sourcing strategy (where to purchase, considering demand and supply situations, while minimizing risk and costs). 5. Negotiation with suppliers (products, service levels, prices, geographical coverage, etc. ) 6. Implementation of new supply structure. 7. Track results and restart assessment (continuous cycle). 8. Negotiate payment terms with vendors. Queue. 3 Is helium investing a factor input strategy or a market access strategy, in regards to their plans to source design and manufacturing in china? Explain NAS. PEST analysis. By Partisanship Helium NAS to investigate tort market access strategy.
Because Chinese market dynamic, regulatory environment and key regulatory changes, procedures, clinical study design and planning, market drivers and market barriers of conducting clinical trials in China, main actors of the market . Market assessment and marketing search: feasibility study, market potential for products, marketing planning consulting… Market Entry Strategy: business registration, research of partners and distributors… Benefit of the best entry strategy for helium. Registration and clinical trials: procedure handling with the SFA, monitoring and tracking Queue 4.
What risk factors will helium need to consider when planning a sourcing strategy for a move into china? NAS. Risk of natural disasters: Evaluating the potential foreign country and the locations of your production partners for the expected frequency and severity of natural disasters, such as hurricanes/cyclones, earthquakes, seasonal flooding and tsunami events and volcanoes. Manmade and technological risks: These include quality of electrical power, telephone and other utility systems; water, sanitation, and transportation infrastructure; proximity to hazardous waste sites and nuclear power generation stations, etc. Compliance risks: such as the consequences of not meeting accounting, legal, tax, environmental and other regulatory requirements, as well as not complying with ethical standards associated with business practices Insurance risks: Either outsourcing and offspring production will be concentrated n the areas of adequate coverage and limits for transit and contingent business income (CB) from dependent premises.
CB can provide worldwide coverage for a manufacturer whose named or unnamed suppliers (depending upon policy terms and conditions) suffer a named property peril resulting in a supply chain disruption that causes a loss to the manufacturer’s income from the disrupted production Political stability of country: Consider factors such as the stability of the country and the region, trade policy challenges such as embargos, and excessive or changing regulatory statutes Economic stability of suppliers: Risks from raw material dependencies, labor availability, as well as stability of the suppliers’ suppliers Lost opportunities: Potential lost orders, lost customers, and slow customer response times if supply chain is disrupted Product liability non-recovery cost: Companies have limited to no recourse in their ability to collect economic and other damages for breach of contract or in legal suits or subrogation for product liability claims. Quality risks: These include the cost of resounding parts or reworking products that o not conform to specifications or that need to be withdrawn from the market due to voluntary or forced recalls Intellectual property risks: Trademark, copyright and patent infringements from counterfeiting and loss of shared knowledge or best practices Transportation risks: Port strikes, piracy, mishandling and damage during shipment, and the cost of emergency air freight to obtain critical part. Reputation risks: Damage to your company’s brands and corporate reputation and the costs associated Witt brand and reputation restoration, including crisis management communications and public relations expenses.