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Potential terrorist threats to global value chain management

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What are the major potential terrorist threats to global value chain management? What is the potential effect of these threats on the global value chain? What are some preventive measures and their effects on the global value chain?

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This solution discusses potential terrorist threats to global value chain management.

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What are the major potential terrorist threats to global value chain management? What is the potential effect of these threats on the global value chain? What are some preventive measures and their effects on the global value chain?

Terrorism poses both as a direct and indirect threat to the operations of a firm. It represents market imperfections and increases cost of doing trade and affects free flow of goods. Terrorism erodes profitability and disrupts global supply chains on an ongoing basis. Corporate would thus be challenged with setting operational redundancies and less reliable lead times and less demand scenarios. For example, post the terrorist attack of September 11, ...

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