The firm manufactures a global positioning system (GPS) that sells for $2,000, with cost of goods sold (hardware 30% and software 70%) of 55% of sales. Compared to the United States, China offers a 7% cost reduction in electronics manufacturing hardware and a 45% reduction in software programming. India offers a 32% reduction in software programming costs. So far, you have been unable to determine whether India has the facilities to undertake the hardware manufacturing. The firm has to invest $300 million. As far as China is concerned, you can send hardware and software manufacturing to China or India.
You have been asked to lead a team to study and create a report for the executive team on both countries as business opportunities. As a group, study both China and India to make your calculations and recommendations as follows.
Power Point 8 – 10 Slides
Word Document (500–700 words) (50 points): Investigate and back up your decision on the question of whether or not it would be more ethical to invest the money in the U.S.