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Dell outsourcing plan not easy (science news)

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By Johns

 Dell Inc plans to make fewer computers itself and rely on contract manufacturers to cut costs, but the company could find it hard to get rid of its North American factories at a good price.

The worlds second-largest PC maker said in April it would outsource more manufacturing, and the Wall Street Journal reported on Friday that Dell was trying to sell most of its factories within the next 18 months.

Analysts said the most likely buyers of Dells plants are big contract manufacturers, most of which are based in Asia because production costs are lower there.

They questioned how much cost savings Dell can get, since it would likely have to give the buyer of its plants an accompanying personal computer manufacturing deal. They will have to lock in a long-term production contract as well because no one will buy facilities unless theres business to go with it, Cross Research analyst Shannon Cross said.

I just dont know how much they get for them. They may also transfer the manufacturing assets to a partner. Dell wants to boost its profit margins to levels enjoyed by rivals such as Hewlett-Packard Co and pour some savings into new product development, analysts said. Some 58 percent of Dells 5 million square feet (465,000 sq m) of manufacturing and distribution space is in the United States, according to regulatory filings.

Twenty-two per cent is in Asia and 20 per cent is split between Ireland and Poland. It has manufacturing plants in Brazil, Florida, North Carolina, Ohio, Tennessee and Texas. Competitors have done it over the years. They have migrated to outsourced manufacturing, Cross said, citing HP, the worlds top PC maker.

Read full article here: Offshore Outsourcing World. We are in offshore business and we are here to provide latest information on offshore outsourcing.

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By Art Dash

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How Could Poor Credit Affect You?
By Peter Kenny

 Having a poor credit rating is something that many people have had to learn to put up with for many years, and this has severely impacted upon their lives in many ways. Whilst there was once a stigma attached to having poor credit over recent years more and more people have found themselves in this situation, with many households struggling to keep up with repayments on their debts and bills. Having bad credit has become more commonplace now, and there are certain companies that offer solutions for those with bad credit. However, bad credit can still make life difficult and more expensive in many different ways, which is why it is so important for people to either maintain their good credit or to get their bad credit back on track as quickly as possible.

One of the main ways in which bad credit will affect your future is by restricting your access to any form of affordable finance, and in some cases restricting your access to finance altogether. Some examples of these restrictions are highlighted below:

Mortgages: The world of mortgages has been in turmoil for some months, and both accessibility and availability when it comes to mortgages has been restricted at the best of times recently. For those with damaged credit getting an affordable mortgage is likely to be pretty impossible, and you may find that to get a mortgage you either have to put down a huge deposit or you have to pay an interest rate that is so high that you will never be able to keep up with repayments.

Credit cards: Most traditional credit card lenders will not hand out credit cards to those with bad credit, which means that you will have to go through one of the lenders that offer credit cards to those with damaged credit. You will find that these credit cards have no special features such as rewards or longer interest free periods, and the interest charged if you spread your balance is likely to be very high. Also the credit limits will most likely be quite low.

Loans: In many cases those with damaged credit cannot get an unsecured loan because the risk to the lender is too high. Therefore if you have bad credit you may find that you only loan option is a secured loan, and this means that you will have to be a homeowner, and even then you will be paying a far higher interest rate than someone with good credit.

Car finance: If you have bad credit and are looking to buy a car you may find that the only way that you can get the finance that you need is through a dealership that caters for those that have been refused credit elsewhere. You will end up paying high rates of interest and will have to choose a vehicle from that showroom, robbing you of affordability and choice.

Peter Kenny has been writing financial articles for 10 years and is a writer for The Thrifty Scot, please visit us at Debt Consolidation Loan and Compare Credit Cards

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Tuesday, September 9th, 2008 at 5:30 am and is filed under news. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.