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Manufacturers don't need direct shipping access to consumers.
by mvdtnz 2y ago
Manufacturers don't need direct shipping access to consumers.
- toomuchtodo 2y agoI am an investor in an advanced manufacturing enterprise for spray nozzles (think beverage, ag, fuel applications). Time to end user is a consideration in the business the org does, based on my conversations with account managers. I admit how relevant this is is going to be a function of customer requirements and expectations, particularly around prototyping feedback loop (edit: a part being manufactured using an advanced CNC machine at ~4pm central time can be in the hands of a customer by 8am the next day, for example).
- dangus 2y agoWhy not have that? If you manufacture in the Midwest you have a labor force and education institute already oriented toward manufacturing, you have shipping proximity, low wages, and low cost of land and materials. What are you getting out of the Bay Area in comparison? SF’s bigger problem is convincing software tech companies (which are far more profitable than advanced manufacturing) to stay rather than leaving for lower cost talent-concentrated areas like Austin, the east coast, the Carolinas, and even offshoring into Costa Rica, Poland, and other hotspots for software talent. If you hire an entry level software engineer in Ohio or Indiana you can pay them five figures and they’ll buy a single family home for $300,000 or maybe even less.