Reshoring Operations and Economic Impact

Mr. Evans discusses reshoring, the process of bringing business operations back to the home country after offshoring. He explains the trend's rise over recent years, citing examples like Hornby and Apple. Key reasons for reshoring include increased flexibility, shorter lead times, and lower transport costs. Economic factors such as rising wages in developing countries and the competitiveness of the UK workforce also play a role. Reshoring can improve public relations and production control. In the US, policies like 'America First' encourage reshoring through tax revisions.

What is the primary difference between reshoring and offshoring?

• Reshoring involves moving operations overseas.

• Offshoring is bringing operations back to the home country.

• Reshoring is bringing operations back to the home country.

• Offshoring involves increasing domestic production.

Which company is mentioned as an example of reshoring?

• Lego

• Hornby

• Mattel

• Hasbro

Why might a company choose to reshore its operations?

• To improve responsiveness to demand

• To decrease flexibility

• To increase production costs

• To reduce workforce skills

How do shorter lead times benefit companies that reshore?

• They increase production costs.

• They allow for quicker response to demand changes.

• They reduce the need for skilled labor.

• They decrease product quality.

What economic change in developing countries affects reshoring decisions?

• Increase in transportation costs

• Decrease in workforce skills

• Increase in wages

• Decrease in production costs

How has the competitiveness of the UK workforce influenced reshoring?

• It has made reshoring more expensive.

• It has had no impact on reshoring.

• It has decreased reshoring.

• It has increased reshoring.

What is a public relations benefit of reshoring?

• It increases offshore production.

• It creates negative publicity.

• It reduces corporate control.

• It generates positive public relations.

Which policy is associated with encouraging reshoring in the US?

• Global Trade Initiative

• America First

• Domestic Reduction Act

• Offshore Expansion

What action did President Trump take to encourage reshoring?

• Increased corporate taxes

• Reduced corporate taxes

• Banned offshoring

• Subsidized overseas operations

Which company was mentioned as reshoring a significant amount of money?

• Amazon

• Google

• Microsoft

• Apple