Category Archives: Global Contexts

Global Impact on the US oil pipeline supply chain configuration

An article in the New York Times (17 Nov, 2011) describes the ripple effect of decreased Venezuelean crude supply (due to the political stress in Venezuelan-US relations) on capacity utilization at Texas refineries that process heavy crude. The alternative crude … Continue reading

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Thai floods, hard drive price increases and Dell Impact

An article in the New York Times (Nov 16, 2011) describes hard drive prices rising from $10 to $25 due the Thai floods, and their impact on Toshiba and Western Digital plants in Thailand. Earlier reports suggested that around 25% … Continue reading

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Crashing rare earth prices and impact

An article in the New York Times (Nov 15,2011) describes the 67% drop in prices for several rare earths including neodymium, cerium etc.  The rapid price increase in recent years was caused by China, which produces 97% of the world’s … Continue reading

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Topitop – the “Andean Zara” in Peru ?

A Wall Street Journal article (nov 14, 2011) describes the growth in the middle class from 41% to 51% of the population in the last decade in Latin America.  Defined as people earning 45 % to 70% of the per … Continue reading

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In Alabama -conflict between competitive agricultural products and strict immigration laws

An article in bloombergbusinessweek (Nov 14,2011) describes the impact of stricter immigration laws in Alabama – the near disappearance of workers from Guatemala who worked in the tomato fields and fish processing plants.  Given retail competition from importers who pay … Continue reading

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Global steel demand and Arcelormittal’s capacity adjustment

An article in bloombergbusinessweek (nov 14, 2011) describes the impact of the doubling of steel capacity in china from 2005 to 2010, the consequent global exports at cut rate prices of supply in excess of chinese demand, and its impact. … Continue reading

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Apple’s supply chain strategy – more insights

An article in bloombergbusinessweek (Nov 7,2011) describes Apple’s plans to invest $ 7.1 billion in its supply chain and commit $ 2.4 billion in prepayments to suppliers. It describes Apple’s decisions to buy such large volumes of high-end drills that … Continue reading

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US auto jobs growth and supply chain impact

An article in bloombergbusinessweek (Nov 7,2011) describes growing employment in the us auto industry, projected to be 88,000 by 2015. The reasons – a 10 % sales increase this year, production to rebuild inventory lost due to the earthquake in … Continue reading

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Fair trade usa vs fair trade international – flexibility or selling out ?

An article in bloombergbusinessweek (Nov 7,2011) describes a decision by the Fair Trade USA group to break away from Fair Trade International and enable growth of large OEMs and retailers. This requires permitting fair trade labels on chocolate bars that … Continue reading

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US Natural gas production and the return of manufacturing ?

An article in Bloombergbusinessweek (Nov 7, 2011) describes the rise of shale gas extraction, suing fracking, and the US becoming the world’s largest natural gas producer. With natural gas becoming a low priced energy alternative to coal, with lower greenhouse gas emissions … Continue reading

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