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Discussion Questions
Question 1
Pick any car model manufactured by a domestic auto maker. For example, consider the 2002 Ford Thunderbird.
a. The supply chain for a car typically includes the following components: 1. Suppliers for raw materials
2. Suppliers for parts and subsystems
3. Automobile manufacturer (Ford, in this example). Within a company, there are also different departments, which constitute the internal supply chain: i. Purchasing and material handing ii. Manufacturing iii. Marketing, etc.
4. Transportation providers 5. Automobile dealers
b. Many Trms are involved in the supply chain.
1. Raw material suppliers. For instance, suppliers for steel, rubber, plastics, etc.
2. Parts suppliers. For instance, suppliers for engines, steering wheels, seats, and elec- tronic components, etc.
3. Automobile manufacturer. For instance, Ford.
4. Transportation providers. For instance, shippers, trucking companies, railroads, etc. 5. Automobile dealers. For example, Hayward Ford.
c. All companies involved in the supply chain want to maximize their respective proTts by increasing revenue and decreasing cost. However, companies may employ different 2
strategies in order to achieve this goal. Some of them focus on customer satisfaction and quick delivery, while others may be more concerned about minimizing inventory
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