Shaping the Future of Small Businesses
A growing number of American companies are moving their manufacturing back to the United States, which is referred to as “reshoring”. With increased costs and the environmental impact of shipping goods overseas, decreased wage disparity, cheaper domestic energy, and pro-business legislation, many businesses are bringing their manufacturing facilities closer to the consumer. All of the financial factors mentioned above – coupled with an increased desire for product personalization and a decreased tolerance for waiting, has resulted in a trend towards local manufacturing.
Reshoring also allows manufacturers to recover from trade secret thefts and supply chain disruptions. Supply chains that reside close to their operation will allow them to maintain lower inventory levels and meet demand for rapid adjustments to unique products.
In the past, small businesses had to latch onto a larger supply chain or cooperate with other small businesses to build their order numbers high enough for overseas manufacturing. Now that it’s proving more cost-effective to bring manufacturing back home, another phenomenon is occurring: a resurrection of Unites States competitiveness.
With big business reshoring, smaller businesses can take advantage of those newly created local ecosystems and thrive domestically. Reshoring brings back desirable jobs that have been lost to decades of offshoring. So if you are one of the few with a creative mindset for new product enhancements, or an affinity to restore local manufacturing pride, reshoring could assist you in bringing your products to the market cheaper, faster and more efficiently.