Global Sourcing Model

A major supermarket chain in Brazil, Compretudo sources six different product lines from two different countries. Three product lines, described as shipments A, B and C come from different sources in your country. Please identify this country. This is the Group 1 consignment. The other three product lines, described as shipments D, E and F come from three different sources in a neighbouring country. Please identify this country. This is the Group 2 consignment. Compretudo wants the six shipments to be loaded into one dry 40 foot container by a consolidator with a warehouse next to the major port of export closest to your location and sent by ship to Brazil. There are two final destinations of the cargo in Brazil. The first location in Brazil will receive the Group 2 consignment: • Shipment D:22 pieces measure 120 x 125 x 55cm and weighs 4700kg • Shipment E:10 pieces measure 160 x 60 x 100cm and weighs 2600kg • Shipment F:18 pieces measure 60 x 45 x 130cm and weighs 1700kg The second location in Brazil will receive the Group 1 consignment: • Shipment A:10 pieces measure 160 x 60 x 100cm and weighs 4000kg • Shipment B:20 pieces measure 120 x 80 x 130cm and weighs 4000kg • Shipment C:6 pieces measure 80 x 120 x 40cm and weighs 2000kg
In 1500 words describe: (a) the range of factors that may have contributed to Compretudo’s decision to outsource to your country and the neighboring country and the type of cost elements that could have been included in their calculation of “total landed cost” and (b)the roles and relationships between the different logistics parties in: 1. getting these goods along the entire supply chain from the suppliers in your country and a neighboring country to one place of consolidation in your country and loading the container; 2. the carriage of the goods by sea from your country, importing the goods into Brazil and distributing the two consignment groups to the consumers in Brazil.