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The challenges in Chinese procurement
Companies say they have tapped only a fraction of the savings possible from purchasing in China and are giving local procurement offices greater autonomy to get more.Resistance from headquarters staff and fierce competition for experienced people in Chinese purchasing offices, however, are impeding the shift.Companies are overcoming these and other hurdles by taking measures such as helping suppliers improve the quality of their products and rotating purchasing staffers between the home office and the Chinese sourcing operation.
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© 1992-2003 McKinsey & Company, Inc
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