In
chapter sixteen, Friedman explains how his dell laptop was built. He explains
how dells supply chain works and I had no idea that it was as redundant as it
was. The laptop he ordered had the possibility of getting parts from over 30
different suppliers and shipped from nearly anywhere in the world. This gives
Dell the advantage of literally never being supply blocked. If one supplier is
unable to deliver the product they need, there are multiple other suppliers
ready to ship the parts needed to complete the laptop. I found it very
interesting how Dell is also able to control their supply chain through the use
of promotional offers. The example the book gives is so many people order a
40GB HDD (Hard Drive) that the supply chain cannot keep up. Dells response to
this is to offer 60GB HDD's for $10.00 more for a limited time only. This
changes how many 40GB HDD's are ordered and ensures that the supply chain will
not hit a stopping point. Whenever I by a computer part or I am just simply
looking at the deals online, it never occurred to me why certain deals exist.
It makes more sense to me now, I can imagine the majority of the deals we find
online are a result of something similar to Dells HDD example.
Chapter
sixteen also covers how the terrorist group Al-Qaeda uses global supply chains
in order to recruit more people and spread their ideas and thoughts throughout
the world. The flattening of the world has not only made it easier for
businesses and manufactures thrive, it has also allowed other organizations
thrive as well. Al-Qaeda uses the flat world to recruit new people and spread
their word through the use of the world wide web. This unconcerned medium
allows them complete control over the message they want to deliver without
having to get any attention from local media and news casts.
"The
Curse of Oil" is the term Freidman uses to describe the problems and
issues countries have with their government and economy. Because of the demand
for oil, governments often let the power run to their head when they are the
ones who are in charge of it. The curse of oil comes when the ones in charge of
the oil focus solely on themselves, knowing that they can get anything they
want through selling their oil at a high price. They don't rely on the people
to produce products and export them to make their economy thrive. A direct
result of the curse of oil is under developed communities, cities, countries,
etc. They are neglected because they are not needed. The money from the oil is
not used for the people as it should be.
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