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An Interview With State Rep. Barca & Ohnstad: Part 3

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Vertical Integration and the Supply Chain

FCW- “Foxconn’s leader, CEO Terry Gou, is known for vertical integration- he is even referred to as the “father of vertical integration”. Do you think that Foxconn will incorporate this concept into the 1,200 acre site? In their other locations, they have chicken farms, restaurants, housing, etc.- everything right within the same complex?”

 

Barca- “No, there is a commitment to spend 1.4 billion buying from Wisconsin companies.  I suppose they may have some sort of housing that could be part of this project, but nothing has been said about this. I know they already signed agreements with companies like Rockwell Automation.  The  American situation is certainly different than it is in other countries.”

Ohnstad- “There might be some ongoing housing needs related to management or something, but I don’t think they are going to make this facility like the ones in China. If workers are making 52,000 a year they will have a lot more choices available to them then the people who work in China. The Rockwell agreement is huge- they signed it at the same time they were here to meet with the Governor and sign the agreement. Rockwell is know worldwide as a leader is automation, do making LCD monitors for them is a big deal, as well.”

 

Read the other parts of the Barca/Ohnstad interview here:

Part 1       Part 2       Part 3        Part 4      Part 5

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