Hello need help with a response to two peers on a discussion:
In your responses to two or more of your peers, address the following:
· Which product are you most surprised is available only due to globalization, and why?
· After seeing examples of events that affected the availability of local products or services, what category of events do you think would affect the global supply chain most often, and why?
Peer 1:
The very first thing that came to mind when thinking of a product that is available due to global trade is coffee. This is a lifeline to many of us that we need that good cup of coffee in the morning to start the day. Coffee beans are primarily grown in places like Brazil and Columbia, so they have to be sourced from other countries in order to provide on a global scale. Sticking with consumables, I would also think that many tropical fruits such as bananas are also items that due to more countries not having a suitable climate to support sustainable growth of this type of fruit. With global trade, we are able to enjoy bananas year-round even when it’s there’s snow on the ground in some areas. Lastly, local stores can provide a diverse selection of clothing, accessories, and textiles by tapping into global apparel and textile markets, which source materials and manufacturing from around the world. The impact of global trade on the local store is significant. Access to a wider variety of globally sourced products allows the local store to better cater to the diverse needs and preferences of its customers. This can increase foot traffic, sales, and the overall competitiveness of the store compared to larger retailers or online marketplaces.
One notable occurrence that significantly impacted product availability and pricing in local markets would be, what I consider the most obvious in current events, COVID-19. I think the impact that COVID had on many products and consumables would be cause for concern. One line of product that comes to mind would be electronics. With the disruption of COVID19, many products manufactured in Asia, more specifically China, saw a significant supply reduction due to the factories having to shut down during the height of the pandemic. Quickly supplies around the world dried up for many electronics, which caused a shortage. Once the shortage became more apparent but still with a steady demand, there were notable price increases of items. This supply chain disruption was not limited to electronics – I also saw shortages and price hikes for other globally traded goods like certain food items, personal care products, and auto parts. It really highlighted how interconnected the global economy is and how events in one region can have ripple effects that impact local markets. I’d say I notice these kinds of supply and pricing issues due to international events several times per year on average. Whether it’s natural disasters, geopolitical conflicts, labor strikes, or other disruptions, products that rely on global trade often see availability challenges and price fluctuations as a result.
Peer 2:
Three products I buy weekly at the local store that are only available due to global trade are prosecco, pasta, and starfruit. These products are only available to me because of global trade as they are made/grown in other countries. If something were to disturb that process, I would not be able to buy these products. If products became unavailable the local store would see a decrease in profits and potentially could affect local jobs.
An occurrence that comes to mind of a product being unavailable is during the COVID-19 pandemic. Cars were not being imported due to a shortage of computer chips, and car lots were empty. Car prices got high and were being sold above the sticker price due to the shortage. Used vehicle prices climbed as well because of the lack of new vehicles available. I remember there have been times when certain fruits have been unavailable due to weather conditions in other countries as well. It seems like every year or so, there is an item that becomes scarce for one reason or another in another part of the world. It is also common that when a product becomes more scare, that the price goes up. Recently, I remembered paying a high cost for produce due to droughts in Mexico.