Procurement - The problems areas for global supply do not apply to domestic supply.  True  False

How will suppliers be selected, managed, and evaluated to improve the sustainability initiatives of global organizations?

Discuss the following statement: statement supply chain management not only buys parts or services from suppliers- it buys a suppliers' performance capability.

Zara's Supply Chain Vulnerability   Despite the proven success of the aforementioned supply chain strategy, Zara is not problem free. To elaborate, its production is still heavily concentrated in Spain, where average wages are relatively. high as compared to low-cost sourcing countries such as Bangladesh, and thus the current manufacturing practice may undermine its philosophy of offering affordable clothing lines. Any weather, labor, or terrorist disruptions to the area will have a serious impact on its global distribution, because there are few alternative distribution centers in Europe. Because production is carried out mostly in a small radius of Northern Spain, Zara is also vulnerable to financial instabilities in Europe as most of its cost base is denominated in Eures, which has been devalued due to recent financial crisis in Europe. Finally, unstable oil prices resulting from the political unrest in Middle-Eastern countries will affect profits because twice-weekly air express…