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Chapter Outline
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Opening Case
Microsoft—Outsourcing Xbox Production

Introduction

Strategy, Production, and Logistics

Where to Produce
     Country Factors

Management Focus
Philips in China
     Technological Factors
     Product Factors
     Locating Production Facilities

The Strategic Role of Foreign Factories

Management Focus
Hewlett-Packard in Singapore

Outsourcing Production: Make-or-Buy Decisions
     The Advantages of Make
     The Advantages of Buy

Management Focus
Outsourcing at the Boeing Company
     Trade-offs
     Strategic Alliances with Suppliers

Managing a Global Supply Chain
     The Role of Just-in-Time Inventory
     The Role of Information Technology and the Internet

Chapter Summary

Critical Thinking and Discussion Questions

Research Task

Closing Case
Competitive Advantage at Dell Inc.

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