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Sher-Wood Hockey Inc.
Group Research Project One
Global Logistics Management Executive Summary
Sher-Wood is one of Canada’s most respected most innovative market and valuable brand in the hockey equipment industry founded in 1949 with its headquarters located in Sherbrooke, Quebec. Sher-Wood Hockey has multiple viable opportunities for reaching new demographics, market expansion, and lowering manufacturing costs for the hockey stick sector of the company. In 2013 Canada cut import tariffs and duties on hockey gear between 2.5% and 18%, this reduction causes the landed costs of importing to decrease. Outsourcing manufacturing also allows for currency hedging contract to be made between Chinese partners and Canada to protect themselves against unexpected changes in currency exchange rates [1]. The only way the firm can keep their hockey sticks at a competitive price point and still make a profit is to engage in outsourcing their manufacturing of hockey sticks to China as mentioned previously.
Sher-Wood hockey’s decision to begin full outsource of manufacturing for their hockey sticks in 2011 was an method to maintain their competitiveness in the global hockey stick market, the Standardization Administration allows Sher-Wood Hockey Inc. the ability to lower production costs while still maintaining confidence that their products will be delivered with high quality standard. China is an optimal environment for Sher-Wood to outsource their production efforts to because of lower labour costs, lower overhead costs, proximity to resources and involvement in the world trade organization. Sher-Wood Hockey Inc.’s investment into China allows for reach of new demographics, market expansion, and lowering manufacturing costs for the hockey stick sector of the company. With the firms outsourcing of the production sector for hockey sticks Sher-Wood is able to concentrate

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