COMPETITION FOR RESOURCES
The entire world is looking for less expensive manufac-
turing. This places a greater demand on resources in China,
Pakistan, India, Malaysia, and other countries; often pit-
ting, for example, a German company against an American
company for access to resources and local manufacturing
partners.
LACK OF EXPERTISE
Many U.S. companies enter globalization and foreign
sourcing without the necessary skills to develop a successful
inbound supply chain. The learning curve can prove to be
both costly and ineffective.
FORCE MAJEURE
The effects of “acts of god,” such as weather conditions,
climate, environmental conditions, and the potential effects
of physical geography, could present significant risks over-
seas that do not affect business ...