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Global Supply Chain and Value Chain as a Relocation Strategy

Global Supply Chain and Value Chain as a Relocation Strategy

José G. Vargas-Hernandez, Omar C. Vargas-González
Copyright: © 2023 |Pages: 19
ISBN13: 9781668476642|ISBN10: 1668476649|ISBN13 Softcover: 9781668476659|EISBN13: 9781668476666
DOI: 10.4018/978-1-6684-7664-2.ch027
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MLA

Vargas-Hernandez, José G., and Omar C. Vargas-González. "Global Supply Chain and Value Chain as a Relocation Strategy." Handbook of Research on Designing Sustainable Supply Chains to Achieve a Circular Economy, edited by Yanamandra Ramakrishna and Siti Norida Wahab, IGI Global, 2023, pp. 554-572. https://doi.org/10.4018/978-1-6684-7664-2.ch027

APA

Vargas-Hernandez, J. G. & Vargas-González, O. C. (2023). Global Supply Chain and Value Chain as a Relocation Strategy. In Y. Ramakrishna & S. Wahab (Eds.), Handbook of Research on Designing Sustainable Supply Chains to Achieve a Circular Economy (pp. 554-572). IGI Global. https://doi.org/10.4018/978-1-6684-7664-2.ch027

Chicago

Vargas-Hernandez, José G., and Omar C. Vargas-González. "Global Supply Chain and Value Chain as a Relocation Strategy." In Handbook of Research on Designing Sustainable Supply Chains to Achieve a Circular Economy, edited by Yanamandra Ramakrishna and Siti Norida Wahab, 554-572. Hershey, PA: IGI Global, 2023. https://doi.org/10.4018/978-1-6684-7664-2.ch027

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Abstract

This chapter aims to critically analyze the implications that the national protectionist policies have on the global supply and value chains and the relocation of production. The analysis is based on the assumptions that the global economy is facing the possibility of decoupling many trade connections, and this trend favors deglobalization processes that have long been promoted by populism, nationalism, and economic protectionism. It is concluded that global supply, production, and value chains, although being economically efficient, are no longer any more secure under national protectionist policies, and therefore, the relocation of production processes is mainly due to the increase in the level of income and wages of the developing countries that are the destination, and which reduce the advantages to relocate.

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