Stay in China, move to Vietnam or move to Mexico?
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The prompt
A fictional company sells 1,000,000 kitchen appliances a year in the United States, all made in China. Factory cost per unit: China USD 20.00, Vietnam USD 21.50, Mexico USD 24.00. Freight per unit: USD 1.20, USD 1.30 and USD 0.50. For this exercise, assume extra US tariffs of 25 percent of factory cost on goods from China, 12.5 percent from Vietnam and 0 percent from Mexico (USMCA-qualifying). Days of stock in transit and in safety stock: 60, 55 and 15, at USD 0.02 per unit per day. Moving costs USD 3 million for Vietnam and USD 6 million for Mexico. What should the company do?
Practice with a partner
1. Send the interviewer link to a friend. They read the case aloud and hold the answers.
2. You open the candidate view: you see only the prompt, a timer and a notes box.
3. Speak the case out loud. Your partner shares data when you ask, then scores you with the rubric.
Interviewer view
For the person running the case
Candidate view
For the person answering the case
Clarifying questions, with the interviewer's answers
My notes on this case
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