4 ms·
What percentage of labor cost would a company like Frito lay have to reach before they consider moving the company to another country? I think about Oreos and
by underseacables 5y ago
What percentage of labor cost would a company like Frito lay have to reach before they consider moving the company to another country?
I think about Oreos and how they are made in Mexico now, and I always wonder what was the calculus behind that. How much money are they saving?
Is there a generally recognized point where labor is so expensive that outsourcing begins to make more sense?
Edit: my bad grammar
- crackercrews 5y agoThe U.S. keeps sugar prices artificially high, and sugar is the first ingredient in Oreos. [1] That is why the candy companies fled Chicago for Canada. Probably also drove Oreo mfg out as well. https://en.wikipedia.org/wiki/Oreo https://en.wikipedia.org/wiki/Oreo