Why do Swedish clothing firms choose single or multiple sourcing?

University essay from Företagsekonomiska institutionen

Author: Jonas Löfgren; Mikael Weinholtz; [2008]

Keywords: ;

Abstract: This thesis is about the Swedish clothing industry and their production sourcing strategies in China, why they chose between single or multiple sourcing and the factors behind the choice. Further on this thesis take up theory about supply chain, procurement, outsourcing and the different sourcing strategies. According to theory possible factors why the firms choose between single and multiple are price, quality, JIT, risk, delivery and relationship with the supplier. The empirical material is collected through a quantitative survey and one interview. Analyze from the empirical study was contradictious to the theory and showed that size was one of the major factors in the decision between single and multiple sourcing. But also factors as delivery, total cost and risks seemed to be of importance.

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