Module 3

What is the difference between offshoring and outsourcing? Friedman states on pg. 137, “Offshoring, which has been around for decades, is different from outsourcing.”  Offshoring is moving a whole factory to different locations. Outsourcing is when you take a function that a certain company was performing in –house and giving that to another company to perform that same function.

I wanted to explore the different definitions of supply chains; the one definition that stood out to me and made the most since to me was from http://www.investopedia.com/terms/s/supplychain.asp their definition states, “The network created among different companies producing, handling and/or distributing a specific product. Specifically, the supply chain encompasses the steps it takes to get a good or service from the supplier to the customer. Supply chain management is a crucial process for many companies, and many companies strive to have the most optimized supply chain because it usually translates to lower costs for the company. Quite often, many people confuse the term logistics with supply chain. In general, logistics refers to the distribution process within the company whereas the supply chain includes multiple companies such as suppliers, manufacturers, and the retailers.”

Wal-Mart gained an advantage through controversial means.  Wal-Mart started by offering the lowest prices they could, it worked to their benefit. People would invest and sell to Wal-Mart because they knew their products will be sold. When a customer thinks of this store what do you think of? They think of the lowest prices possible, that’s what makes this company a billion company. Wal-Mart also is amazing in restocking, have you ever been to a local Wal-Mart store and been out of stock in something you needed or wanted? Very unlikely.

Google has affected business all over the world in a huge way good and bad. When I personally search for a restaurant in my area Google has a section where you can see people who have rated and made comments about the business. If there is an overall bad rating of a business do you think I would want to experience that? Most likely no, if a company has all positive ratings and comments yes; I am most likely want to go to that certain place. Google has made it at your fingertips to find anything out about a business. You can find location, ratings, what kind of merchandise/products they sell, and even pricing. Honestly I don’t know what I would do without Google they have made life easier not just for businesses but for many other things. I bet not one person in the time of age have gone to Google for one thing.