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Java Source, Inc. Java Source, Ine. (181) is a small, Michigan-based processor and distributor of a variety of blends of coffee. The company buys cofiee beans from around the world and roasts, blends, and packages them for resale. JSI offers a large variety of different coffees that it sells to gourmet shops in one-pound bags. The major cost of the coffee is raw materials. However, the company’s predominantly automated roasting, blending, and packing processes require a substantial amount of manufacturing overhead. Although the production process started out in the early 1990s as a largely labor-intensive operation, the gradual switch to automation meant that currently, the company uses relatively little direct labor. The

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