Your client Baxter International Inc. is a large pharmaceutical company based in the United States. The company primarily focuses on pharma products to treat hemophilia, kidney disease, immune disorders and other chronic and acute medical conditions.
The client Baxter just got U.S. Food and Drug Administration (FDA) approval for a new Insulin glargine based anti-diabetic drug that is expected to become a big hit for the company. A previous market study shows that the demand will be very high for this new diabetes drug. Therefore, your client Baxter International will have to either expand its current factory in Texas or build a new one in Virginia, closer to the port.
How will you approach this problem and help your client make a decision? Which of the two options would you recommend?