INSTRUCTIONS
Format
- . Your textbook must bereferenced.• Additional guidance and the grading rubric are posted on Brightspace underthe “Final Paper” section
The textbook is Global Business Today. 12th edition. Hill, Charles and Hult, Thomas (2022) McGraw Hill. You can use chatgpt to cite it and get info.
My topic is A major problem in international business today is the heavy dependence of global supply chains on China for manufacturing and production. For many years, companies have relied on China because of its low labor costs, efficient infrastructure, and large manufacturing capacity. However, recent events such as the COVID-19 pandemic, trade tensions between the United States and China, and shipping disruptions have revealed the risks of relying too heavily on a single country for production. When factories shut down or trade policies change, companies around the world experience delays, shortages, and increased costs. The key problem is determining whether multinational companies should continue relying heavily on China or diversify their supply chains to other countries in order to reduce risk. My motivation for examining this issue comes from how often supply chain disruptions have been discussed in the news and how they have affected everyday consumers. During the pandemic, many products became difficult to find due to factory closures and shipping delays. This made me realize how interconnected the global economy is and how dependent many companies are on manufacturing in China. I am interested in understanding how businesses can balance efficiency and low production costs with the need for more resilient and stable supply chains in the future. Several international business concepts discussed in class relate to this problem. One key concept is comparative advantage, which explains why China became a major global manufacturing hub due to its lower production costs and large labor force. Another important concept is global supply chain management, which focuses on how companies coordinate production, transportation, and distribution across multiple countries. I will also examine outsourcing and offshoring, which many multinational companies use to reduce costs by producing goods in foreign markets. Finally, the concept of risk diversification will be important because companies may need to spread production across multiple countries in order to reduce dependence on a single location and make their supply chains more stable.