Unit 3: Not all companies want to move to China!

This is a useful, short article which illustrates the importance of strategic planning. Dewhirst Group is a major supplier of clothing to M&S - indeed around 90% of its sales are for that retailer. Faced with increasing pressure on prtofit margins, Dewhirst went through a painful process a decade ago by closing down all of its UK clothing factories and offshoring its production in low-labour cost countries like Bangladesh. Some good, short insights here from the Dewhirst CEO on the importance of looking to the long-term, and on why the business decided not to invest in production facilities in China.