TY - CHAP
T1 - Location Flexibility in Global Supply Chains
T2 - The Efficiency-imitability Tradeoff and Sustained Competitive Advantage
AU - Jensen, Peter D. Ørberg
AU - Manning, Stephan
AU - Petersen, Bent
PY - 2022
Y1 - 2022
N2 - This explorative study, which complements research on manufacturing, supplier, and governance flexibility, identifies and aims to fill a gap in extant research related to firms’ location flexibility in global supply chains. In an increasingly dynamic and globally integrated economic environment, firms are compelled to develop the capacity to swiftly relocate tasks and resources in order to reduce the impact of location-specific risks and to benefit from location opportunities as they emerge. From this perspective, the study outlines basic modes for developing location flexibility in order to sustain competitiveness in global sourcing and discusses the managerial tradeoffs between cost efficiency and imitability associated with these modes. We also touch upon various tradeoff-shifting mechanisms and propose principles for combining location-flexibility modes in a balanced way
AB - This explorative study, which complements research on manufacturing, supplier, and governance flexibility, identifies and aims to fill a gap in extant research related to firms’ location flexibility in global supply chains. In an increasingly dynamic and globally integrated economic environment, firms are compelled to develop the capacity to swiftly relocate tasks and resources in order to reduce the impact of location-specific risks and to benefit from location opportunities as they emerge. From this perspective, the study outlines basic modes for developing location flexibility in order to sustain competitiveness in global sourcing and discusses the managerial tradeoffs between cost efficiency and imitability associated with these modes. We also touch upon various tradeoff-shifting mechanisms and propose principles for combining location-flexibility modes in a balanced way
U2 - 10.1007/978-3-031-06003-8_12
DO - 10.1007/978-3-031-06003-8_12
M3 - Book chapter
SN - 9783031060021
T3 - Contributions to Management Science
SP - 253
EP - 279
BT - The New Frontiers of International Business
A2 - Merchant, Hemant
PB - Springer
CY - New York
ER -