Global Sourcing to Give You Benefits of Economies of Scale

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Global Sourcing to Give You Benefits of Economies
of Scale
Presented By Dragon Sourcing
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Introduction
The concept of local procurement has been
replaced by global sourcing. Producers of goods
and services no longer depend on local supplies
for sustenance. Instead they venture out to the
entire world and look for production factors that
are of international quality and affordably
priced.
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Economies of Scale
To earn the benefits of economies of scale it is
necessary to use available resources to their
optimum level. Resources capital, labour, land,
raw materials, and technology need to be utilized
to their optimum extent for yielding returns that
justify their usage. To achieve this, size of
market must commensurate to level of production
of goods or service
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Globalisation
Globalization has not only expanded size of
market but also created more opportunities on the
supply side. Producers instead of relying on
local sources for their factors depend on a
global source.
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Factor Costs
The reasons for depending on such a source are
essentially economic. In an effort to lower
costs, producers of goods and services remain in
the lookout for factor products that are priced
less without compromising on their quality. For
this purpose their search goes beyond local areas
and spreads over to overseas countries.
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Contact Us
Dragon Sourcing Houston 1201 Dulles Ave
7205 Stafford, 77477, USA Phone [phone]
FREE Email contact.us_at_dragonsourcing.com Website
http//www.dragonsourcing.com/
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Thank You