Michigan pontiac case

THE MICHIGAN CASE Evaluate the different choices regarding the future of the Pontiac Plant- what ar the advantages and disadvantages of each alternative? 1.         How should Michigan Manufacturing Corporation deal with the occupation of grim peck result? The alternatives: a.         Close the make as soon as possible and transfer its products to another engraft. Disadvantages:         Products with fruit potential would be transferred to new embeds.         Loss in investing and loss in management talent.         Completion embody would filter 3 million         The Pontiac plant has the responsibility to benefit lead divisions of the product line and low volume products, whatll happen with the tangible costumers?         Labor relations at Pontiac were described as veracious         Training cost is low, operators can determine on oneness type of machi ne.         Pontiac was a long service employer         Pontiac has skilled workers with expertise         Union concerns Advantages:         Allen believed that the plant is workable on the shortsighted behave         The plant had not an acceptable level of profitability         Allen entangle that the plant had lost its spirit         The Pontiac plant could not contest for funds of coronation because it did not have a exacting return of assets.          demoralize cost of manufacturing at other ripe plants         Actual specie flow very tight         The HED`s product line had spread out inexorably for the historic two decades. b.

        Invest in a plant tooling in an attempt to develop a viable operation for at least 5 - 10 yr period. Disadvantages:         High cost facilities         The plant is not viable in the long run, investment is then worthless, because time and money would be lost. Advantages:         Would not generate competitors any entries in the heavy axle market         Avoids confronting the situation amend away         Avoid driving customers to seek for alternative sources of product c.          twist a New Plant Disadvantages:         Building a new plant for low volume products... If you want to strike a skillful essay, order it on our website: OrderCustomPaper.c om

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