• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Evaluate the costs and benefits for UK fashion retailers of sourcing products from India

Extracts from this document...

Introduction

Evaluate the costs and benefits for UK fashion retailers of sourcing products from India Outsourcing your company abroad involves buying in from another business inputs that were previously created in the firm. It is integral for both cutting costs and benefiting from high quality products as well as gaining from specialisation. Outsourcing part of your business opens up a world of opportunities such as the ability to maximize your revenue and minimize your expenses, the access to specialized skills and services, the prospect to concentrate more on your core business and to therefore save on money, time and infrastructure. Outsourcing to countries such as India can give you access to cost-effective services. The same services with the same level of quality are offered in India for a much lower cost! In the UK the labour cost for manufacturing clothes are extortionate due to government legislations such as the minimum wage and taxes etc, and by outsourcing to India you can help you save up to 60% of your total costs when outsourced! ...read more.

Middle

Unlike the west, where technical talent is rare, India has a large pool of highly-skilled professionals. Having a large technically skilled manpower has enabled India to provide cost-effective services without compromising on quality. By outsourcing business processes to India a firm is enabled to broaden its skills and expertise across industries and technologies to achieve greater efficiency and quality levels in the outsourced process. The organization will be free to concentrate on your core business a firms employees can be put to better use prompting a huge growth in your core business. In the UK, India has a unique benefit where India's day is our night this will allow the outsourcing partner to complete critical work and send it the firm the next day. This enables the work to be completed much faster and gives your business a competitive advantage. The overall efficiency will be greatly increase by outsourcing as the non-core business functions will be performed efficiently by the outsourcing partner, while core functions can be efficiently carried out in-house. ...read more.

Conclusion

There can be several disadvantages in outsourcing, such as, renewing contracts, misunderstanding of the contract, lack of communication, poor quality and delayed services amongst others. Disadvantages of outsourcing may also be that at times, it is more cost-effective to conduct a particular business process, rather than outsourcing. Also while outsourcing services such as payroll processing services and tax preparation services, your outsourcing provider will be able to see your company's confidential information and hence there is a threat to security and confidentiality in outsourcing. * Outsourcing, though cost-effective, might have hidden costs as well, such as the legal costs incurred while signing a contract between companies. You might also have to spend a lot of time and effort in getting the contract signed. * The disadvantages of outsourcing lead organizations to think about what they are stepping into. However the disadvantages of outsourcing are less than the advantages of offshore outsourcing and in some cases none of the disadvantages would be encountered at all with a reliable outsourcing partner. The opportunities created by outsourcing are immense and seems to be a very valuable investment with a exceptionally promising future. Bethany Brandon-Blatch ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Case Studies and Analysis section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Case Studies and Analysis essays

  1. PEST is a planning tool which is used by a business to evaluate and ...

    This has become a recently occurring issue for businesses as the government are increasing laws on the way that businesses deal with waste from the business and the emissions they produce. This is because in recent years people are becoming more aware of the effect that waste can have on the environment and the effect that is causing.

  2. Business plan. The business that I am going to produce is a personalised logo ...

    My prices will vary depending on the style, material and actual design. I have decided on these prices as of the data I gained from my primary research, mostly from my questionnaire of which I generated a lot of information from.

  1. Business Studies Company Recruiting

    * To be able to analyse development projects. * Prepare feasibility reports and instruct other professionals to oversee construction works. * Achieve accurate work under tight deadlines. * Be able to manage projects and a team. D Knowledge * Knowledge in advising landowners and farmers on the management of their rural property * Managing knowledge of the diversification of projects including applying for grant aid.

  2. NETFLIX CUSTOMERS SATISFACTION

    Second, there is ?n ?lmost tot?l l?ck of studies ex?mining business-to-business customer satisfaction despite the import?nce ?nd unique ch?r?cteristics of this sector (Patterson et al., 1997). This study ?ims to remedy the situ?tion by ex?mining the rel?tive import?nce of service qu?lity ?nd price on customer satisfaction ?nd the consequent intention?l

  1. Infosys and Corporate Social Responsibility in India

    However, even as rival IT companies and a host of other recruiters vie with Infosys over the recruitment of the fresh, inexpensive engineering talent, there is little that these corporates have done to aid in the recognition and reward of top Indian research.

  2. I am going to carry out an investigation into S Parton Construction Ltd. I ...

    employed 5,800 7.9 12.2 13.2 Unemployed 4,900 8.2 5.8 5.8 Females Economically active 47,200 65.2 71.5 73.5 In employment 44,500 61.6 67.7 69.8 Employees 41,600 57.5 62.9 64.3 Self employed 2,200 3.1 4.4 5.1 Unemployed 2,700 5.7 5.1 As you can see from the table 74% of people in Wolverhampton are economically active.

  1. Financial Feasibility of Opening A Business

    To conduct secondary research to help me find out what practicalities lay ahead when opening this new business. Such as the specific laws and licenses that are applicable to such an establishment. Like my previous objective, there is one simple way to find the information needed for this objective.

  2. How Evans Enterprise party and wedding planners could use IT to help manage their ...

    41 7.6 Advantages 41 7.7 Disadvantages 42 7.8 MIS Reports 43 7.8.1 Report 1 - Company profit each month of 2011 43 8.0 E-Commerce 46 8.1 Definition of E-Commerce 46 8.2 Importance of E-Commerce 46 8.4.1 B2B 47 8.4.2 B2C 47 8.4.3 C2C 47 8.5 Advantages OF E-Commerce 47 8.5.1

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work