November 24, 2021
The Brookline Tab of Wicked Local, recently published insight from Arzum Akkas, Assistant Professor in Operations and Technology Management, on the global supply chain crisis that has become more evident during this holiday season. The article discusses the high demand for toys that store owners are experiencing much earlier than usual.
The supply chain crisis has compelled many manufacturers to raise prices, causing store owners to increase their own prices to maintain profit margins. This dynamic is especially at play for independent toy stores, which are competing with large corporations with more resources to overcome some of the logistical challenges. As a result, the supply chain has been experiencing disruptions and workforce shortages since earlier this year. As Arzum explains, “due to the [COVID-19] pandemic, we have been having labor issues due to various reasons.” She goes on to elaborate that increasing demands and shrinking capacities have created a “vicious circle” that led to a global supply chain disruption.