An analysis of the PR group in China
- Strategic analysis of the company Chupa Chups, in general
- Segmentation strategy of Chupa Chups
- The BCG Matrix
- Porter's Model
- Analysis of Mc KINSEY
- The analysis of Chupa Chups, by Strategic Business Area
- SWOT analysis of the SBU "Traditional"
- SWOT analysis of the SBU "Diet"
- SWOT analysis of the SBU "Fanciful"
- Conclusion of part 1
- The marketing plan
- Analysis and diagnosis of Chupa Chups and its environment
- Analysis of companies on the market Chupa Chups
- Analysis of variables Mix
- Strategies and objectives
- Action Plan
- .The action program
- Our latest recommendations and budget to devote
Basis risk is the result of relocating to produce cheaper. A large number of companies are relocating their production to Asian countries, particularly in China where labor is very cheap. The workers are plentiful and the average wage in this country is extremely low when compared to that of European workers. The risk of employee dissatisfaction due to the removal of one sixth of the jobs at the plant level could indeed be a problem.
In the case of deleting a large number of jobs within the company, it could even see some form of a resistance group expressing the dissatisfaction of employees. Thus, the unions would put pressure on management to address the restructuring action and try to make it fail. In addition mobilizing employees will use various media to spread their discontent and to inform the union environment of current events.
Machine wears for the workers generate finished equipment in addition to their quotas, which results in a production by the larger machines but no benefit to the business of a financial point of view. However, the company offers its workers the means of production which are expensive to purchase and it must make them profitable by selling enough production. It thus establishes a level of production machines or become profitable, and if they produce more for a lower quantity sold, there is a risk of financial deficit in the longer term due to the variation in quantities sold and quantities produced.
Tags: China, European workers, number of jobs, restructuring action, current events, larger machines, financial deficit