Coral Drugs

Please follow the instructions below.
The book to read the case is  Johnson purchasing and Supply Management, 16E
Case synopsis

Shirley Black glanced at her watch. It was 1 p.m. on January 25, 2001 and only two hours remained before her meeting about Coral Dandruff Shampoo with the vice president of purchasing. As merchandise group coordinator at Coral’s head office in Columbus, Ohio, Shirley was trying to decide whether to recommend switching from a large shampoo manufacturer to a small local supplier.
Immediate issue
Whether or not to switch from a large distant shampoo manufacturer to a small low-cost local producer.

Basic Issues
Supplier selection
Supplier relationships
Inventory management and logistics
Improving customer value

Respond to the following:

If you were in the position of Shirley Black, what would you recommend to the vice president of purchasing? Why?
Do you agree with the way Shirley handled the issue so far? What would you have done differently?

Sample Solution

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