Impact of competitive strategy and cost-focus on global supplier switching (reshore and relocation) decisions

The aim of this paper is to analyze how global suppliers' decisions (reshore and relocate) are influenced by the buyer’s cost-focus and competitive strategies, based on the survey data collected from US textile and apparel industry. The paper found that buyers with distinct competitive strategies (e.g., made-in USA, speed-to-market) are likely to have higher reshoring activities. Compared to small and medium companies, large companies and retailers are more cost-focused. In addition, cost-focused companies are more likely to change their international suppliers.