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When introducing the X-Box gaming console,Microsoft had to decide if it shouldmanufacture the console or outsourcemanufacturing to a 3
-Microsoft primarily creates software and lackedthe manufacturing capabilities to make the X-Box
Microsoft decided to outsource production toFlextronics for four reasons
-Flextronics had been pursuing an industrial parkstrategy so that it could control its supply chain-Flextronics had a global presence-Flextronics could use Web-based informationsystems to share information with Microsoft-Microsoft trusted Flextronics