The article, “The Tao of Timbuk2” (Jacobs, F., and Chase, R., 2010) is a writing that addresses the research that was done by Timbuk2. The research was completed to assess the viability of producing company products in two different countries. The messenger bag factory would remain in the U.S and the laptop bag factory would be outsourced to China.
1. Consider the two categories of products that Timbuk2 makes and sells. For the custom messenger bag, what are the key competitive dimensions that are driving sale? Are their competitive priorities different for the new laptop bags sourced in China?
The company produces two distinct products. The U.S. factory produces the messenger bag and the China factory produces the laptop bag. Although the same company produces each of these bags they are both for different purposes. The U.S. Company is known for fast shipping and for creating a customizable product. Each bag is made and shipped at a rapid rate. The bags are designed on line by the consumer and emailed to the factory.
The key competitive dimensions that are driving sales are the following:
High-quality custom bags that are marketed as indestructible.
Bags are reasonable price
Bags are designed in configuration chosen by the customer
Bags are designed on the website by the consumer Quick delivery speed
The new laptop bags are made in China. This can create many issues. Global Currency rates, language barriers and societal norms are a few. Some of the other related problems discovered are as follows:
There is an increased time in receiving the finished product These bags are more complex and require increased labor and machinery.
Chinese factories makes labor costs cheaper (Jacobs, F., & Chase, R., 2010)
2. Compare the assembly line in China to that in San Francisco along the flowing dimensions: (1) volume or rate of production, (2) required skill of the workers, (3) level of automation, and (4) amount of raw materials and finished goods inventory.
The rate of production appears to be higher in the China factory is employing a more efficient cost savings approach.
Both facilities have highly skilled workers that are hardworking and dedicated. The San Francisco plant appears to have the higher skilled workers.
The San Francisco factory has a decreased level of automation thus making it slower than the China operation. (Jacobs, F., & Chase, R.,