00:00What is nearshoring?
00:02It involves companies moving production and services closer to their home market.
00:07It used to be the opposite.
00:10Offshoring to distant low-wage countries was the norm, usually to save costs.
00:15Nearshoring is different. It's closer, but still abroad.
00:19But why change what worked for decades?
00:22One reason the Covid-19 pandemic shows that global supply chains can break down
00:27and produce where it's cheapest isn't always reliable anymore.
00:31So companies calculate total costs, transport, risk, management.
00:37Proximity can ultimately be cheaper and faster.
00:41The IT sector is leading the trend, mostly due to the following advantages.
00:46Nearshoring makes cooperation easier, same time zones, fewer language barriers
00:50and often similar cultural practices, all of which help projects run more smoothly.
00:55German firms are working more with partners in Poland or Czech Republic, for example.
00:59But also geopolitical tensions are growing fear for most businesses,
01:03pushing the trend of bringing production back home even more.
01:06Take the trade war between the US and China on computer chips.
01:10Nearshore outsourcing can also lead to dependency on partners
01:13and hidden costs for travel, management and coordination often add up.
01:18It's a trend driven by efficiency, but success depends on more than geography.
01:25And in addition, I would SAY, if I'll give you somehal Her vården from other Syrophic Museum for three weeks.
01:28Thanks a lot.
01:28Thank you for supporting the Japanese example.
01:28It's very!!!
01:28Many of these projects we're gonna apply.
01:28... joka years ago, has an commute.
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