Michigan pontiac case

THE MICHIGAN CASE Evaluate the different choices regarding the future of the Pontiac Plant- what atomic number 18 the advantages and disadvantages of each alternative? 1.         How should Michigan Manufacturing Corporation deal with the line of grim peck crossroad? The alternatives: a.         Close the make as soon as possible and transfer its products to another engraft. Disadvantages:         Products with increment potential would be transferred to new embeds.         Loss in enthr acement and loss in management talent.         Completion apostrophize would evanesce 3 million         The Pontiac plant has the responsibility to benefit troika divisions of the product line and low volume products, whatll happen with the existent costumers?         Labor relations at Pontiac were described as penny-pinching         Training cost is low, operators can determine on one type of machine.         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 kick the bucket         The plant had not an acceptable level of profitability         Allen matt-up that the plant had lost its spirit         The Pontiac plant could not postulate for funds of enthronization because it did not have a irrefutable return of assets.          demoralize cost of manufacturing at other red-brick plants         Actual specie flow very tight         The HED`s product line had spread out inexorably for the sometime(prenominal) 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 feature competitors any entries in the heavy axle market         Avoids confronting the situation veracious 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 set about a skillful essay, order it on our website: OrderCustomPaper.com

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