Re-globalisation and Supply Chain Reshoring: Motivation and Performance of Global Companies in Korea

February 28, 2022  |  Vol.8, No.2  |  PP. 1-12  | PDF

AUTHORS:

Eon-Seong Lee, School of Business, Pusan National University, Korea

KEYWORDS:

Reshoring Motivation and Performance, Global Supply Chains and Operations, Global Firms, Local Context, Differences by Country and Industry

Abstract

This study examines how reshoring-related motivations and performances, in response to re-globalisation, of global firms operating in Korea are different by country and industry. It develops six reshoring motivational factors with twenty-six items and three performance indicators with seven items, and analyses differences by countries (i.e., US, Japan and Korea) and by industries (i.e., traditional manufacturing, and technology and knowledge-based industries) for each item. Four hypotheses projecting the differences of reshoring motivations and performances are established from literature. Survey data are collected from global companies currently operating in Korea that have had reshoring experiences. A total of fifty-three (53) companies responded to the survey. This paper analysed differences in reshoring motivation and performance in the three countries by conducting a one-way analysis of variance to test the hypotheses. The results show statistically significant differences in terms of reshoring motivations and performances by countries, and noticeable differences by industries. American and Japanese firms are siliar in respect of reshoring motivation and performance, while Korean counterparts are different with regard to customer service, labour and country factors from the reshoring motivation, and the cost and organizational innovation elements from the reshoring performance. The research findings are an interesting addition to the literature given that existing differences for reshoring motivation and performance by country and industry were empirically examined in a local context. The results presented by the study is intended to provide strategic insights into the logistics and operational decisions to be considered when making reshoring-related decisions, as well as how to effectively manage dispersed global supply chains in an era of re-globalisation.

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References:

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Citations:

APA:
Lee, E.-S. (2022). Re-globalisation and Supply Chain Reshoring: Motivation and Performance of Global Companies in Korea. Asia-pacific Journal of Convergent Research Interchange (APJCRI), ISSN: 2508-9080 (Print); 2671-5325 (Online), FuCoS, 8(2), 1-12. doi: 10.47116/apjcri.2022.02.01

MLA:
Lee, Eon-Seong “Re-globalisation and Supply Chain Reshoring: Motivation and Performance of Global Companies in Korea.” Asia-pacific Journal of Convergent Research Interchange, ISSN: 2508-9080 (Print); 2671-5325 (Online), FuCoS, vol. 8, no. 2, 2022, pp. 1-12. APJCRI, http://fucos.or.kr/journal/APJCRI/Articles/v8n2/1.html.

IEEE:
[1] E.-S. Lee, “Re-globalisation and Supply Chain Reshoring: Motivation and Performance of Global Companies in Korea.” Asia-pacific Journal of Convergent Research Interchange (APJCRI), ISSN: 2508-9080 (Print); 2671-5325 (Online), FuCoS, vol. 8, no. 2, pp. 1-12, February 2022.

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