What is Your Supply Chain Risk Exposure?

Tuesday, March 10, 2009 1:55
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In this month’s China Economic Review, I have a small opinion piece called Impact Winter that explores the level of supply chain risk that this new economic environment is inducing.

It is an important question that I feel anyone sourcing or manufacturing in China must consider, and it was only yesterday that I received the following about one of our own suppliers:

I met with XYZ today.  He secretly took a 12 hour train ride to SH last night and called me this morning to tell me he’s in Shanghai and wants to meet.  To make a long story short, he is asking if we can take another container off of his hands.  Given the current sales, I told him that might be impossible.  I know he is having cash flow problems though.

It is a note that I have seen several times before about the same supplier as he is in a sector that was feeling the pain 18 months ago, and it highlights the despiration that some are feeling now.

I hope you will take the time to consider the points I make in the article, and also, I would suggest you review my recent interview of Dan Chamorro where he discusses this issue as well

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