Question

2. Discuss the six strategic roles of a foreign policy.

3.The Bruhaha Brewery is planning to expand internationally. The company has identified six critical location factors and their relative weights. The relative performance scores for each of the three potential sites are shown in the following table. Which site should be selected?

Scores (maximum 100)

Factor                              Weight                       A          B          C

Proximity of market           0.25                        100         90           80

Quality of life                       0.30                       90           60           60

Supplier base                      0.20                      80           100         70

Labor costs                         0.15                       70           90           50

Taxes                                   0.10                       60           80           83

Answer 1

2. Six strategic roles of a foreign factory policy

1. Offshore Factory
2. Source Factory
3. Server Factory
4. Contributor Factory
5. Outpost Factory
6. Lead Factory

3.

Factor	Weight	A	B	C
Proximity of market	0.25	100	90	80
Quality of life	0.3	90	60	60
Supplier base	0.2	80	100	70
Labor costs	0.15	70	90	50
Taxes	0.1	60	80	83
Total of Weight * factor		84.5	82	67.8

The factor with the respective weight is multiplied and the total is calculated.

The weighted relative performance score is high for the site A. Hence Site A should be selected.