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How is production quality becoming a more important standard for importers of Asia’s exports?
Q&AIn the past decade, importers’ procurement strategies have greatly changed. The objectives of these offices now focus on reducing the number of quality issues, reducing the cost of monitoring quality, and more generally reducing the total cost of ownership of the products purchased. Therefore, importers are demonstrating that the tradeoff between production quality and cost savings is shifting in favor of higher quality exports. The advantages of cost savings of 10 to 20 percent as well as labor cost savings are becoming increasingly negligible.
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