Abstract
Auto manufacturers today face many challenges: The industry is plagued with excess capacity that drives down prices, international competitors are seizing share at both ends of the market and consumers are well informed about options and prices. All these factors combine to heighten competitive pressures, squeeze margins, and leave manufacturers struggling to increase revenues and market share.
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Notes
- 1.
The US Bureau of Economic Analysis estimates “Final sales of motor vehicles to domestic purchasers” at $518 billion in 2004.
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Acknowledgements
The authors thank their contacts at the North American operations of a European auto manufacturer for their tireless and patient support and encouragement. The authors also want to recognize the efforts and contributions of Thomas Drtil, Stefan Lier, Matthias Pauli and Claus Reeker, Master’s students who contributed to the evaluation of the Ship-to-Average policy.
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Matoglu, M.O., Vate, J.V. (2011). Build-to-Order Meets Global Sourcing: Planning Challenge for the Auto Industry. In: Kempf, K., Keskinocak, P., Uzsoy, R. (eds) Planning Production and Inventories in the Extended Enterprise. International Series in Operations Research & Management Science, vol 152. Springer, New York, NY. https://doi.org/10.1007/978-1-4419-8191-2_10
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