Globalization of Supply Chain Management - 1422 Words

Conclusions The globalization of supply chain management is the natural outcome of today’s expanding consumer markets as companies struggle to meet the dynamic needs of growing markets and new customer segments. It has led to a high degree of specialization under an ever-expanding world market. People with special skills can work with little overheads and market globally. Small companies can flourish. Introduction The pace of globalization on the supply chain continues to foster opportunities, challenges and uncertainties for companies around the world. Almost every business is involved in one or more supply chains and Globalization now has an impact on every company, large and small.[1] The purpose of this report is to:†¦show more content†¦Freer trade means more trade, which results in increased financial flows. As trade and financial flows increase, capital redistributes laterally and, in theory, that redistributed capital can pull impoverish countries up from the bottom. The idea of free trade is based on the writings of eighteenth century economist Adam Smith. Smith spoke of â€Å"laissez-faire† economics in his book The Wealth of Nations, and taught that privatized business and trade promotes more economic activity than state controlled business and thus could provide even more money from the state through the collection of income taxes.[7] The whole principle of supply chain management is about buying the right things at the right time and at the right price, and shortening the delivery cycles. A high degree of specialization has become possible under an ever-expanding world market. People with very special skills can even choose to work at home and market globally. Small companies can flourish. Components made all over the world are being assembled at the place where it can be most cheaply done. In turn the final products are sold to the place where profits are highest. Since globalization has blown up in the last few years this seen aShow MoreRelatedGlobalization Is A Process Driven By International Trade Through Various Countries Essay1277 Words   |  6 PagesGlobalization is one of the most influential process that affects our economies today through global communication, transportation technologies, foreign investment etc. It is a process driven by international trade through various countries. Defining globalization, globalization is the process of interaction and integration among the people, government, and business of different nations. 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