Product details

Fashion Designs International Inc (FDI) sells woman's apparel to retailers in North America and Europe. Production is outsourced to manufacturers in Canada and the United States. The company's profits have grown rapidly, primarily due to the talents and work ethic of its founder, who is also the CEO and sole shareholder. The net profit level desired by its owner has not yet been reached. The CFO has determined that the quickest way to reach the owner's desired profit levels would be by moving production overseas. He has estimated future income and expense growth rates, and how costs would change with a switch to overseas manufacturing. The case allows students to perform various calculations related to the potential move of production activities overseas and provides students the opportunity to discuss important quantitative, qualitative, and potential ethical issues in a small business environment.