China Impacts All Global Supply Chains, Reveals Tompkins Associates’ Latest Report
Rising Consumer Market in China to Present New Opportunities for Global Businesses
RALEIGH, N.C., March 31, 2011 — China benefits in more ways than one from its role in the global supply chain, according to Tompkins Associates’ new report, China is Changing Supply Chains Around the World: Facts and Trends.
Written by Greg Hazlett, Principal, Tompkins Associates, the report explores China’s role in shaping the world economy. It discusses how global business is achieving profitable growth through the usual ways (sourcing and production) as well as through the new approach (selling domestically in China to the new class of consumers). At the same time, Chinese suppliers are also recognizing the value of the new consumer market.
“Companies around the world have come to China to leverage the relatively low labor costs for their manufacturing and production,” says Hazlett. “In turn, the Chinese suppliers have been educated by their customers, honed their manufacturing skills, and have increasingly begun to face the consumer market directly.”
Chinese companies are not only manufacturing branded products in China for sale in North American and European markets, but they are now opening up their own manufacturing facilities in closer proximity to their new customer bases.
“By leveraging China’s low-cost labor to decrease manufacturing costs now, Western companies may see Chinese manufacturing companies competing with them in their own back yards in the future,” Hazlett adds.
The paper also examines advances in China’s distribution and technology capabilities as the country grows into a global supply chain hub. Learn more about how China is Changing Supply Chains Around the World and what growth opportunities are hot in China.
About Tompkins Associates
Tompkins Associates transforms supply chains for profitable growth. For more than 35 years, Tompkins has evolved with the marketplace to become the leading provider of growth and business strategy, global supply chain services, distribution operations consulting, information technology implementation, material handling integration, and benchmarking and best practices. The company is known for innovative, practical solutions that improve supply chain performance and produce value-based results. Headquartered in Raleigh, NC, Tompkins has offices throughout North America and in Europe and Asia. For more information, visit www.tompkinsinc.com.