The document discusses leveraging cost reductions through Mexico manufacturing shelters. It describes how shelter operations have evolved over three phases to provide more comprehensive support services and optimize economies of scale. Initially, shelters focused on reduced labor costs but now consolidate supply chains and administration. The ideal shelter provides a full suite of management services from a centralized location to lower overall costs through economies of scale.
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Shelter History in Mexico
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9. Shelter Operator’s legal entity on behalf of Manufacturer International Manufacturer Manufacturer’s legal entity sub- contracting Shelter Operator services SHELTER SERVICES EVOLUTION: PHASE 1 Mexico Shelters: An Evolution in Services
10. SHELTER SERVICES EVOLUTION: PHASE 1 Shelter Operator Responsibilties: - compliance with all Mexican regulations - answering to Mexican authorities Shelter Operator’s legal entity on behalf of Manufacturer International Manufacturer Mexico Shelters: An Evolution in Services
12. Single Cost Advantage: Reduced Labor SHELTER SERVICES EVOLUTION: PHASE 1 Shelter Operator’s legal entity on behalf of Manufacturer International Manufacturer UPSIDE Mexico Shelters: An Evolution in Services
13. SHELTER SERVICES EVOLUTION: PHASE 1 Shelter Operator’s legal entity on behalf of Manufacturer International Manufacturer DOWNSIDE Higher costs for supply & delivery chains, and administrative expenditures Mexico Shelters: An Evolution in Services