Instructions: This case study focuses on the factors that influence production location choice in today’s global economy.
It concerns the world’s largest automotive glass producer as it expands from China into the U.S. The key decision being
addresses is whether to locate the production facility for the U.S. market in Ohio or in Tianjin, China. It is important
because around the world, markets are growing, and supply chain management decisions are becoming more complex.
Address the following questions (in this case study, there is no need to use an article to support your analyses):
• Develop a cost comparison using the data provided in Exhibit 16 (showing cost per windshield of $40.60 in
Tianjin and $60.44 in Ohio) using a tabular and/or graphical approach to compare the cost breakdowns for each
alternative location. Identify the biggest cost difference from your analysis which favors Tianjin, China and also
which favors Ohio.
• Identify 3 “hidden” cost factors which should be considered in determining the production location – do an
analysis of how these hidden costs compare for the two alternative locations. Note, hidden costs are not defined
in the Exhibits.
• Make a final decision regarding the location choice and briefly summarize your rationale.
Each of the case study assignments will evaluate students’ ability to synthesize various aspects of the course and apply
them to a complex scenario. Please submit a word doc answering all the above questions with justification. Please
include your last name in the name of the word doc file, use the convention: “Lastname_CS2″. To obtain an exceptional
grade, you will have to provide unique insights and perspectives and present them using a well-organized professional
formatted report. Remember to use APA format and cite your references