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| Author: | Blakley, D. Doyle, B. Murray, L. W. |
| Title: | Improving the effectiveness of offshore production agreements in dynamic product markets. |
| Journal: | Management International Review
1987 : VOL. 27:3, p. 26-37 |
| Index terms: | PRODUCTION MANAGEMENT OFFSHORE INDUSTRY EFFECTIVENESS |
| Language: | eng |
| Abstract: | High-tech products, especially electronics, have been shown to have relatively short product life cycles. When successful, new products have high initial rates of growth in sales. Producers must react quickly to demand growth if maximum profit potential is to be realized within an environment of potential price erosion. Working capital requirements are directly proportional to the growth rate of demand: the more successful the product, the more critical working capital management becomes. Producers of high-tech (high-growth) products are forced to make large investments in working capital to support the growth of demand for their products. |
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