Wednesday, June 13, 2007

Multi-national 3PLs not getting returns in China

According to a recent publication by China Supply Chain Council (CSCC) and Global Supply Chain Council, many multi-national 3PLs in China, despite the initial euphoria of having acquired or entering into JVs with successful Chinese counterparts, have yet to show an equitable return on their investments in China.

In fact, despite the initial promise of having door-to-door capabilities stretching from sourcing of raw materials and manufacturing of goods in China all the way to delivering finished products to the hands of consumers in the developed world have yet to reap justifiable returns. It seems that many of these multi-national 3PLs are still offering their services as if they were mere freight forwarders, and are having serious problems in getting their new offerings to the consciousness of shippers.

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