Voltas has outsourced ~10% of its ACs to Virtuoso. Do all the tier 1 brands opt for a higher number of EMS manufactures or do they concentrate to a few (less 3 for example)?
I am curious to know how the industry operates. On the one hand, a large number of manufacturers makes sense to avoid concentration but also raises issue of non-uniform quality for a single product line.
As far as i know Voltas only started outsourcing to Virtuoso otherwise Voltas does rest of the 90% on their own.
I think nobody likes to have many EMS manufactures due to quality and operational concerns and outsourcing manufacturing to focus on brand building is something everyone would consider.
Voltas has outsourced ~10% of its ACs to Virtuoso. Do all the tier 1 brands opt for a higher number of EMS manufactures or do they concentrate to a few (less 3 for example)?
I am curious to know how the industry operates. On the one hand, a large number of manufacturers makes sense to avoid concentration but also raises issue of non-uniform quality for a single product line.
As far as i know Voltas only started outsourcing to Virtuoso otherwise Voltas does rest of the 90% on their own.
I think nobody likes to have many EMS manufactures due to quality and operational concerns and outsourcing manufacturing to focus on brand building is something everyone would consider.