Compare the assembly line in China to that in San Francisco along the following dimensions : ( 1 ) volume or rate of production , ( 2 ) required skill of the workers , ( 3 ) level of automation , and ( 4 ) amount of raw materials and finished goods inventory
Compare the assembly line in China to that in San Francisco along the following dimensions : ( 1 ) volume or rate of production , ( 2 ) required skill of the workers , ( 3 ) level of automation , and ( 4 ) amount of raw materials and finished goods inventory
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Compare the assembly line in China to that in San Francisco along the following dimensions : ( 1 ) volume or rate of production , ( 2 ) required skill of the workers , ( 3 ) level of automation , and ( 4 ) amount of raw materials and finished goods inventory
![Case: The Tao of Timbuk2*
The local manufacturing is focused on the custom
messenger bag. For these bags, orders are taken over the
Internet. The customers are given many configuration,
size, color, pocket, and strap options. The bag is tailored
to the exact specifications of the customer on the Tim-
buk2 assembly line in San Francisco and sent via over-
night delivery directly to the customer.
Recently, Timbuk2 has begun making some of its
new products in China, which is a concern to some of
its long-standing customers. The company argues that it
has designed its new products to provide the best pos-
sible features, quality, and value at reasonable prices and
stresses that these new products are still designed in San
Francisco. Timbuk2 argues that the new bags are much
more complex to build and require substantially more
labor and a variety of very expensive machines to pro-
duce. It argues that the San Francisco factory labor cost
alone would make the retail price absurdly high. After
researching a dozen factories in China, Timbuk2 found
one that it thinks is up to the task of producing these
new bags. Much as in San Francisco, the China factory
employs a team of hardworking craftspeople who earn
good wages. Timbuk2 visits the China factory every four
to eight weeks to ensure superior quality standards and
working conditions are met.
On the Timbuk2 website, the company argues it has
the same hardworking group of bag fanatics designing
and making great bags, and supporting the local com-
munity and the increasingly competitive global market.
"Timbuk2 is more than a bag. It's more than a brand.
Timbuk2 is a bond. To its owner, a Timbuk2 bag is a
dependable, everyday companion. We see fierce, emo-
tional attachments form between Timbuk2 customers
and their bags all the time. A well-worn Timbuk2 bag
has a certain patina-the stains and scars of everyday
urban adventures. Many Timbuk2 bags are worn daily
for a decade or more, accompanying the owner through
all sorts of defining life events. True to our legend of
'indestructibility,' it's not uncommon for a Timbuk2 bag
to outlive jobs, personal relationships, even pets. This is
the Tao of Timbuk2."
What makes Timbuk2 so unique? Visit its website
at www.timbuk2.com and see for yourself. Each bag is
custom designed by the customer on its Website. After
the customer selects the basic bag configuration and
size, colors for each of the various panels are presented;
various lines, logos, pockets, and straps can be selected
so that the bag is tailored to the exact specifications of
the customer. A quick click of the mouse and the bag is
delivered directly to the customer in only two days. How
does it do this?
This San Francisco-based company is known for
producing high-quality custom and classic messenger
bags according to the customer's personally customized
order, using a team of approximately 25 hardworking cut-
ters and sewers. Over the years, it has fine-tuned its plant's
production line to make it as efficient as possible, while
producing the highest-quality messenger bags available.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fca1f3d15-9fae-4a1e-917d-f7a5588081a2%2F44cb898f-dcd5-49ea-8a6c-fa5ee18da931%2Fnlbvetp_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Case: The Tao of Timbuk2*
The local manufacturing is focused on the custom
messenger bag. For these bags, orders are taken over the
Internet. The customers are given many configuration,
size, color, pocket, and strap options. The bag is tailored
to the exact specifications of the customer on the Tim-
buk2 assembly line in San Francisco and sent via over-
night delivery directly to the customer.
Recently, Timbuk2 has begun making some of its
new products in China, which is a concern to some of
its long-standing customers. The company argues that it
has designed its new products to provide the best pos-
sible features, quality, and value at reasonable prices and
stresses that these new products are still designed in San
Francisco. Timbuk2 argues that the new bags are much
more complex to build and require substantially more
labor and a variety of very expensive machines to pro-
duce. It argues that the San Francisco factory labor cost
alone would make the retail price absurdly high. After
researching a dozen factories in China, Timbuk2 found
one that it thinks is up to the task of producing these
new bags. Much as in San Francisco, the China factory
employs a team of hardworking craftspeople who earn
good wages. Timbuk2 visits the China factory every four
to eight weeks to ensure superior quality standards and
working conditions are met.
On the Timbuk2 website, the company argues it has
the same hardworking group of bag fanatics designing
and making great bags, and supporting the local com-
munity and the increasingly competitive global market.
"Timbuk2 is more than a bag. It's more than a brand.
Timbuk2 is a bond. To its owner, a Timbuk2 bag is a
dependable, everyday companion. We see fierce, emo-
tional attachments form between Timbuk2 customers
and their bags all the time. A well-worn Timbuk2 bag
has a certain patina-the stains and scars of everyday
urban adventures. Many Timbuk2 bags are worn daily
for a decade or more, accompanying the owner through
all sorts of defining life events. True to our legend of
'indestructibility,' it's not uncommon for a Timbuk2 bag
to outlive jobs, personal relationships, even pets. This is
the Tao of Timbuk2."
What makes Timbuk2 so unique? Visit its website
at www.timbuk2.com and see for yourself. Each bag is
custom designed by the customer on its Website. After
the customer selects the basic bag configuration and
size, colors for each of the various panels are presented;
various lines, logos, pockets, and straps can be selected
so that the bag is tailored to the exact specifications of
the customer. A quick click of the mouse and the bag is
delivered directly to the customer in only two days. How
does it do this?
This San Francisco-based company is known for
producing high-quality custom and classic messenger
bags according to the customer's personally customized
order, using a team of approximately 25 hardworking cut-
ters and sewers. Over the years, it has fine-tuned its plant's
production line to make it as efficient as possible, while
producing the highest-quality messenger bags available.
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