MERCOSUR (Scenario)
Bravo Luggage Company is a Latin American firm based in Buenos Aires, Argentina. Bravo has seen a sharp increase in orders over the last few months and needs to increase the amount of material imported from other countries. Currently, the materials used to manufacture Bravo luggage come from suppliers in Paraguay. Bravo managers have been approached by suppliers from Mexico and China who are both offering very competitive prices on materials.
-Which of the following questions would be most important for Bravo managers to evaluate when determining which supplier to use?

Question

Quizplus · Accepted Answer

The cost of materials shipped from the different countries will directly impact Bravo's profitability and ability to remain competitive. While it is important to consider the impact on the brand name and consumer buying decisions, these factors are secondary to the cost and availability of materials. The question about MERCOSUR membership of other countries is not relevant to the decision at hand.

MERCOSUR (Scenario) Bravo Luggage Company Is a Latin American Firm Based in Based