The Discussion of Relationship between Cost Factors and Control Mechanism in Different Location

• Main Authors: You-chun Chen, 陳岫均
• Other Authors: Chyi Jaw
• Format: Others
• Language: en_US
• Published: 2008
• Online Access: http://ndltd.ncl.edu.tw/handle/32331237354661381370

碩士 === 雲林科技大學 === 企業管理系碩士班 === 96 === Companies invest overseas to pursue the comparative advantage. Manufacture wants to get the lower production cost and higher product quality. But when they choose the lower production cost, they need to take the risk and difficulty of the overseas monitor. When they raise the competition advantage, they also raise the transaction cost and agent problem. In these years, made in China is a trend because of its low production cost. But there are many impure products in China. Consumers are losing their reliance to the China products. The manufacture companies also have a dilemma. In this research, we use the comparative advantage, transaction cost and agent problem to discuss the problems and bring up the effective control mechanism.