Reshoring vs. Offshoring: Evaluating the Strategic Shift in Global Supply Chain Networks

Abstract

In response to supply chain disruptions, many companies are reevaluating their sourcing strategies, shifting from offshoring to reshoring and nearshoring. This paper explores the factors driving this shift, including geopolitical tensions, rising labor costs, and the need for supply chain resilience. By analyzing case studies from manufacturing and technology sectors, we assess the advantages and challenges of reshoring strategies. The paper provides insights into cost-benefit analyses, government incentives, and future trends shaping global supply chain configurations.