Question: or the final discussion, we will consider the complexities of global supply chains and international logistics. To start, watch the following short video outlining Elon
or the final discussion, we will consider the complexities of global supply chains and international logistics. To start, watch the following short video outlining Elon Musk's plans for entering the Chinese Electric Vehicle (EV)Links to an external site. market. From the video, we learn that Tesla seeks to have a manufacturing presence in China that will serve the Chinese EV market. Through this expansion initiative, Elon Musk anticipates the following benefits: Avoidance of current import tariffs and duties Tax incentives offered for in country production Reduction of international freight costs Simplified distribution system of EV's sold to Chinese customers While the benefits seem clear, there are numerous complexities, potential issues and risks associated with this strategy. Identify 2-3 additional costs that may be incurred, resulting from the in-country manufacturing and distribution approach; explain how these might be quantified. What is a key risk of supply chain globalization in China and how might Tesla mitigate the risk
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