The AGSB Advantage
The very recent flood in Thailand caused the contraction of its economy by more than l0% for the last quarter. But more disruptive and worrisome is the effect on the flood on Japanese car companies outputs and electronics. Their output declined because of lack of spare parts coming from Thailand; they could not produce and deliver because of the flood.
I heard from my students that many companies that have integrated manufacturing base in Asean and interlinked with Thailand suppliers are planning intensely for contingency if Thailand floods, or any disaster should hit any countries where their suppliers are located?
Why is this contingency planning important?
How can we make some factories disaster proof?
Will this flood cause companies to relocate elsewhere (like the Philippines?)
What opportunities do you see?
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