The Current Chinese Global Supply Chain Monopoly and the Covid-19 Pandemic

TL;DR

This paper analyzes the impact of Covid-19 on China's supply chain monopoly and explores contingency theory to address supply chain bottlenecks, emphasizing the need for the U.S. to boost domestic manufacturing to reduce dependency.

Contribution

It evaluates contingency theory's feasibility in preventing supply chain gaps and proposes strategic shifts towards domestic production to enhance resilience.

Findings

U.S. needs to increase domestic manufacturing to prevent supply chain gaps.

Dependence on foreign products has increased vulnerability during Covid-19.

Strategic application of contingency theory can improve supply chain resilience.

Abstract

Because of the ongoing Covid-19 crisis, supply chain management performance seems to be struggling. The purpose of this paper is to examine a variety of critical factors related to the application of contingency theory to determine its feasibility in preventing future supply chain bottlenecks. The study reviewed current online news reports, previous research on contingency theory, as well as strategic and structural contingency theories. This paper also systematically reviewed several global supply chain management and strategic decision-making studies in an effort to promote a new strategy. The findings indicated that the need for mass production of products within the United States, as well as within trading partners, is necessary to prevent additional Covid-19 related supply chain gaps. The paper noted that in many instances, the United States has become dependent on foreign products, where the prevention of future supply chain gaps requires the United States restore its manufacturing prowess.