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Worldwide supply chain

What are the problems companies face when they expand their supply chain worldwide? What are your suggestions?

You should identify at least four problems/issues. You should use at least one additional resource. Make your claims and back them up with information from the reading and your other references. Add some of your own ideas. Be sure to indicate that these are your own.

Global Logistics Solutions: A Guide to the Problems Shippers Face, Andrea MacDonald. World Trade. Troy: May 2007. Vol.20, Iss. 5; pgs. 36 - 40.

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Most companies are not completely domestically located. As companies expand worldwide, their supply chains expand in complexity. The problems experienced by companies include technological barriers, political barriers, language barriers, and local competition.

1) Technological barriers
Not all countries are at the same level technologically. The supply chain does not simply transport products—it also disseminates information. Different countries have different levels of technology available to them. Because some countries do not have the information infrastructure that exists in the United States, a supply chain that has been expanded worldwide may have to go through more complicated processes and channels to travel from the supplier to the customer. In the United States, a company may assume that their product will be made visible to customers on the internet, and that customers have the technology to view the product. In other countries, however, the availability of technology may not be assumed.

My suggestion to the company is to consider non-technological ways to track its goods. The company will need to understand that information is not as easily kept track of in some countries as it is in the United States. Accept that there will be cases where the company will not know that the product has arrived safely until the ...

Solution Summary

The worldwide supply chain is discussed.