RE: Minimum Orders eVU....Aug
posted on
Mar 31, 2006 06:35AM
What is the minimum order the manufacturer will accept is the question?
I get this one every day. Answers vary.
It depends on the type of manufacturing done at a particular facility. We own factories in Korea that are all custom work and we produce product in a similar price range to the eVU. Those OEM deals can be for as little as 300 units -- less if there is an ongoing monthly production. In fact, a small factory likes small and steady production vs ramp up and die out production which can create labor union problems.
Labor rates in Korea are similar to the US when benefits are included. Today`s CNC machines can crank out parts in minutes and at any quantity level -- it just costs more per unit to make fewer thingies.
For my business, order quantities would need to be higher (40 ft container range depending on the size of the thingie) if production moved to Indonesia...and even higher if taken to high volume, low cost China factories.
John