How does the host country see reshoring? : An empirical research from Chinese supplier side

Detta är en Master-uppsats från Högskolan i Jönköping/IHH, Företagsekonomi

Författare: Yuyao Duan; Yiting Wang; [2017]

Nyckelord: Reshoring; Offshoring; Outsourcing; Drivers; Factors;

Sammanfattning: Background: Fierce international competition drives companies to reconsider how to approach the global market. Strategies, such as offshoring and outsourcing are commonly implemented to realize cost reduction and better profit performance. However, an increasing number of studies indicate that a growing trend of industrial production moving from previous offshore outsourcing sites back to their home/neighboring countries (i.e. from low-cost to high-cost regions), which the phenomenon is also called manufacturing reshoring. The drivers behind of it are diverse. Simultaneously, most of the existing researches investigate the reshoring phenomenon from the perspective of either reshoring initiators’ (western company) or their home country, while few study has been carried on by standing on the host countries’ point of view.        Purpose: The purpose of this thesis is to investigate and verify the current existing reshoring drivers, which were suggested based on western manufacturers’ perspective, from Chinese supplier companies’ view. Firstly, the reshoring drivers of the framework will be carefully explored in the cases. Secondly, based on the empirical findings, the similarities and differences comparing with the literature will be presented, and the implications of research findings will be given.      Method: This research is conducted through qualitative case studies of six companies under the deductive methodology. The framework of reshoring drivers is based on comprehensive literature review. The empirical data is collected through semi-structured interviews and secondary data. To have a thorough understanding of our findings, the individual case analyses are the foundation of the final cross-case analysis.      Conclusion: Thirty-three reshoring drivers are investigated and verified from a host country’s perspective. These factors are identified through reviewing 17 peer-reviewed articles and categorized into five dimensions: “Buyer”, “Supplier”, “Home country”, “Host country”, and “Global competitive dynamics” aiming for better understanding the current phenomenon of revoking offshore outsourcing. The research acquires the valuable findings regarding reshoring through interviewing six Chinese companies. Moreover, the similarities and differences of our empirical findings comparing academic research are analyzed. The implication of this study can contribute to the academic field to have a different point of view for understanding manufacturing reshoring.

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