In recent years, global supply chains face great challenges driven by events such as trade wars, the Covid-19 pandemic, and the Russia-Ukraine War. Since the disruptions caused by such shocks are more systematic and the duration is harder to predict compared to natural disasters or other...

Due to the U.S.-China trade war, multinational firms (MNFs) may develop new contract manufacturers (CMs) outside China to evade the high tariff on Chinese exports to the U.S. market. We investigate a sourcing game where competing MNFs decide whether to develop new CMs in a new region to overcome...