Consumers who want to get their money back after a supplier loses a contract will need to know how to navigate the supply chain.
The Wall Street Bulletin reports the Electric Power Supply Association, an industry trade group, says the supply chains of electric appliance manufacturers are complicated and complex to navigate.
A common misconception is that an appliance manufacturer’s supply chain consists of a warehouse or warehouse facility in one state, and a factory in another state.
But the supply networks of suppliers are usually not in this configuration, the association says.
A few things to keep in mind about supply networksThe supply network is not always the same, according to the association.
The supply networks in which a manufacturer might assemble a battery pack in China, for example, may not be in the same network as the network that assembles the battery pack.
The supply networks between battery pack assembly plants in China and battery pack manufacturers in North America are not always in the exact same configuration.
The association says that’s because there are so many variables involved.
For example, a battery assembly plant in China may have several different manufacturing facilities in North American that all manufacture different batteries.
Another example is the supply network that is used to transport batteries from one factory in China to another factory in North Carolina.
The battery manufacturing process may not always be the same as the process used for shipping the batteries.
And a manufacturer may use different suppliers for various parts of the battery assembly process.
A lot of these supply networks are not clear and don’t always align.
For example, the supply of batteries is usually in the hands of three different manufacturers in different countries.
It may be in North Dakota, South Dakota, and Montana, according the association, but the batteries shipped to those manufacturers may not necessarily be the batteries that are shipped to the batteries in China.
The association suggests consumers use this information to make informed purchasing decisions.
The group says consumers can learn more about supply chains by visiting their local supply chain provider and reading the terms and conditions of the supply contracts that they sign.