This is necessary to avoid the higher tariffs charged for exporting from the US to the EEC. The initial expense incurred to setup this extra center would soon be recovered by the ability to price competitively within Europe to regain slipping European market share; in addition to the market share recapture the new quality control facility would increase Teleleader's production capacity...
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The Malaysia Mexico mix dilutes the risk involved with inflation and foreign exchange rates. For example, if manufacturing becomes too expensive in Mexico because the rate of inflation far exceeds the rate of foreign exchange, making the dollar coasts associated with production too expensive, Teleleader would still have the production facility in Malaysia to fall back on...
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