What is it about?
Solar ovens are a low-cost cooking option, and they are simple to manufacture. To serve customers in east Africa, and taking into account labor costs, costs for parts, and costs for shipping the finished ovens, is it better to manufacture in the US, China, or in east Africa? Based on this example, producers of other products for developing countries could use the same model to make manufacturing decisions for their products.
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Why is it important?
While major manufacturers are familiar with supply chain models and use them to make cost-effective decisions, manufacturers of small volume products for developing countries may not go through a formal decision process. Improved manufacturing decisions can provide economic benefit in developing countries.
Read the Original
This page is a summary of: Social enterprise factory location and allocation model: Small scale manufacturing for East Africa, Socio-Economic Planning Sciences, March 2019, Elsevier, DOI: 10.1016/j.seps.2019.02.009.
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