Download Bus 4 Research | BUS - Business Research and more Quizzes Business Research Methods for Managers in PDF only on Docsity! TERM 1 Why is the Uk a good place to operate a manufacturing business in? DEFINITION 1 Workforce produce higher quality products Manufacturers don't just compete on cost they compete on quality too Due to the Uks rules and regulations on education puts them infront of other countries Offshoring effects quality - could lead to complaints Productivity levels are higher - due to a more skilled workforce of the better education system, More stock to sell leads to higher revenue Higher quality = higher prices - Rolls Royce TERM 2 Aston Martin DEFINITION 2 Aston Martin- Had to recall 17,000 cars after a Chinese sub-supplier used counterfeit plastic in part of the accelerator pedal. Recalling the cars cost AM a substantial amount of money which then had effects on their profits, this money could've been spent on R&D which may have allowed them to innovategaining a competitor advantage with rivals.AM have a high rep for high quality cars so by recalling the cars may deter people from buying them. This will then damage there revenue,affects profits - which prevents them from being able to lower prices which could put them behind competitors TERM 3 Nissan DEFINITION 3 Biggest production site in Sunderland First UK site in history to produce more than 1,000,000 cars in just two years - effective workforce Puts them above other car competitors like Honda/Toyota Good rep with customers as cars are already made Happy customers spreads word of mouth - leading to more sale - means more profit to spend on other areas of the business - improve competitiveness TERM 4 Reasons why the UK isn't a goof place to manufacturer in DEFINITION 4 High production cost Rules and regulations in the UK for example the minimum wage Increased production costs could be spent on R&D which damages competitiveness Being to far away from suppliers = high transport costs - uncertainty about when items arrive - effects the critical path - delayed production- paying workers they don't need Caterpillar moved away from Uk to avoid $2.4Bn tax. TERM 5 Ford DEFINITION 5 Ford moved there production from the UK to Kocaeli in turkey, this was because the costs are much cheaper there Saving money on labour means they can keep up with competitors prices& spend more money on R&D Shutting down there Southampton plant affected 531 workers & another 750 from the Dagenham plant - damage there reputation in the Uk - loss of loyal customers Moving production to Turkey has made up for it - due to producing 185,000 cars compared to 28,000 at Southampton More cars for cheaper = higher profits
