Ikea Global Sourcing Challenges Case Study Example | Topics and Well Written Essays - 1250 words

Ikea Global Sourcing Challenges - Case Study ExampleAs the parole stresses if the child labor evidence being utilized at Rangan Exports is precise, the supplier is in direct infringement of IKEAs clause of no child labor. Barner has two exceed pick decisions in managing this circumstance. In the first place, she can end the contract with the supplier in light of their rupture of the no child labor procurement. This option is legitimate and reliable with. The potential disservice of this option is that it may deny IKEA of a lucrative supplier relationship, and it might briefly slice off feeler to Indian floor covering sources. In that capacity, it might antagonistically effect IKEAs main concern. Barners other alternative is to give the supplier a notice thus far look after relations, with the admonition that the supplier quit utilizing child laborers. This would have the upside of keeping up a conceivably lucrative supplier relationship.This authorship highlights thatit would l ikewise give IKEA the chance to instruct suppliers about the perils of child labor. On the drawback, this activity would be in spite of IKEAs set up policies. It could make an moving-picture show on different suppliers that IKEA may furtively excuse child labor while straightforwardly censoring it.Neglecting to do as such would send the do by message to different suppliers, expanding their dealing power, and damages IKEAs particular policies. Besides, it leaves IKEA open to charges of exploitative conduct.