SomPack: If You Cant Beat Them Join Them Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

This case attempts by the Turkish manufacturer of cosmetics packaging compromise quality value to compete with the influx of cheap goods from China. He describes the challenges faced by management SomPack in their efforts to survive in a low-cost Chinese competition, and the credit crisis. The company has grown because of its focus on quality and customer relations, but had to reduce the cost of the first in response to foreign competition, and then because of the global credit crisis. The case examines many aspects of the company's strategy: The company efforts on automation to reduce labor costs in connection with their efforts to reduce the quality of products for the parts that have been automated assembly, the use of cheaper materials that require special equipment, the use of cheaper costs Due to their efforts to reduce the quality of products for the parts that have been automated assembly, the use of cheaper materials that require special equipment, the use of cheaper cars that were not appropriate for customers who need high quality production, implementation issues with a lower cost ERP-system, as well as attempts to outsource certain components. Solutions to lower quality or processes or products must be made with great care, even if they are intended for short-term measures of survival, they can create significant short-term disruptions, besides the potential long-term problems, such as the establishment of the company is less attractive as a supplier to customers who may be still prefer the quality and service at cost. "Hide
by Sam Dube, Manu Dube Source: Richard Ivey School of Business Foundation 10 pages. Publication Date: September 16, 2010. Prod. #: 910M71-PDF-ENG