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Use Enterprise Architecture to Guide Outsourcing
IN THE EARLY 1970S , Mazda and Isuzu entered the U.S. market for small pickup trucks. But rather than manufacturing the trucks themselves, they outsourced the final assembly to Ford and GM. Why? Because of the price of chickens in Germany.1
Ten years earlier, a trade war had erupted between the United States and West Germany over the sale of U.S. poultry in the West German market. Concerned about the health of its domestic industry, the European Economic Community, led by West Germany and France, designated poultry as an important growth industry and tripled the tariffs on U.S. poultry. Exports ...
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