USAuto and Labor Costs
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This paper examines the USAuto case study to determine the best approach for USAuto to use in employing AutoMex as a cheap source of labor for producing its cars. The company faced the dilemma of developing a new car, yet need to avoid the risk of piracy of its newly developed hybrid engine concept.
From the Paper:"USAuto wants to employ AutoMex's low-cost labor to build its cars but it wants to protect its proprietary design for the new hybrid engine it has developed. It needs to decide the best way to accomplish that with outrisking piracy while still meeting AutoMex's needs sufficiently to provide a suitable offer. Situation Analysis Issue and Opportunity Identification: The negotiations between USAuto and AutoMex failed for a number of reasons. The issues that clearly impacted the failed negotiations include distributive negotiations, historical exploitation of Mexico by the..."
Cite this Case Study:
USAuto and Labor Costs (2008, December 01) Retrieved April 14, 2021, from https://www.academon.com/case-study/usauto-and-labor-costs-122656/
"USAuto and Labor Costs" 01 December 2008. Web. 14 April. 2021. <https://www.academon.com/case-study/usauto-and-labor-costs-122656/>