Why do firms split production across borders?
- Each place does its stage best or cheapest
- Managers enjoy long flights
- Labels look better with many countries
What does tracing a product mean?
- Listing its adverts
- Following it through countries, noting each stage
- Guessing where it was made
A long supply chain keeps working fine when one link fails.
Circle one: True False
A government taxes imports of steel parts. How does a firm building across borders respond?
- It plans around the barrier or shifts that stage
- It ignores all taxes forever
- It stops selling to every customer
A phone has chips from one country, screens from another, and assembly in a third. What does each move show?
- Random choices by bored managers
- Each stage placed where it runs best or cheapest
- A law forcing three-country labels
What do supply chain managers actually run each day?
- The colour of the packaging only
- The weather at every port
- The flow of parts, stock, and information
Two countries sign a deal cutting import taxes and sharing standards. What should follow for splintered production?
- All trade between them must stop
- Supply chains grow shorter everywhere
- Firms dare to split stages across those borders
A missing chip halts car plants on three continents. What does this prove about long chains?
- Cars need no chips at all
- Long chains are fragile at single links
- Ports never matter to factories