Three factors that lead a company to adopt a decentralized production configuration strategy are:
1. Geographical Factors: When a company has customers or suppliers in different regions, it may be more efficient to have production facilities in those regions to reduce transportation costs and increase responsiveness to local demand.
2. Cost Factors: Decentralized production can help reduce costs by taking advantage of lower labor costs, tax incentives, or other cost-saving measures in different regions.
3. Market Factors: Decentralized production can help companies respond to changes in demand more quickly by having production facilities closer to the market. This can help reduce lead times and increase customer satisfaction.