Topic of Presentation

Retailers from Europe should buy from China or neighbouring European countries? Give decision factors.

Neighbouring European countries

Norway Russia Belarus Moldova

Northern and eastern Border

South Eastern Border

Turkey

Western Border

Serbia Bosnia and Herzegovina Montengro Albania Macedonia

World Map

3 FACTORS AFFECT PURCHASE DECISION

Economic factor
Control over quality of the component Reliability of suppliers Impact of the decision on Suppliers and Customers

Fuctional Factor
Incremental production cost per unit Purchase cost per unit Production capacity available to manufacture

Psychological Factor
Cultural Influences Physical drives Social Factors OTD SNP

DECISION FACTORS FOR RETAILERS

Qualitative Factors

Quantitative Factors

China or Neighbouring countries ?

CHINA
Cheap Labour Abundant Resources Ability to generate large quantities Free zone development

Neighbouring European Countries

High quality Reduced transportation costs Cultural similarities

THE END